CMA clears CareTech's £372m acquisition of Cambian

8th Feb 2019 08:01

(Sharecast News) - The Competition and Markets Authority has unconditionally cleared CareTech's £372m acquisition of Cambian Group.AIM-listed CareTech, which provides specialist social care and education services, said on Friday that it welcomes the announcement from the CMA.Chairman Farouq Sheikh said: "We are delighted by the CMA's decision and would like to place on record our appreciation to all involved during the CMA process particularly the executive teams at CareTech and Cambian."We will now move forward with the integration, creating value for all our stakeholders through the highest quality service offerings and significant synergies."The deal - which was agreed back in August 2018 - completed on 19 October but because of the CMA's inquiry CareTech has been operating the Cambian business separately.Liberum said: "While we expected this result given the lack of overlap between the businesses, we believe it was still an overhang on the shares which have performed poorly over the past couple of months."We continue to view the business as deeply undervalued. CareTech has a best in class management team and post today's announcement it can begin to integrate Cambian, extract meaningful synergies and raise margins at the business to a level more in line with the current CareTech business."