NWF Group buys Kent-based Geoff Boorman Fuels

19th Jul 2023 14:55

(Sharecast News) - Fuel, food and feed specialist NWF Group announced a fresh acquisition in its fuels division on Wednesday, acquiring the trade and assets of Geoff Boorman Fuels in its second fuels acquisition within the last year.

The AIM-traded firm said the acquisition aligned with its goal of expanding its fuels distribution business, where it currently held the position of the third-largest player in the UK market.

It described Geoff Boorman Fuels as a fuel distributor based in Edenbridge, Kent, with a customer base primarily consisting of domestic clients.

The acquisition would serve as a valuable complement to Home Counties Fuels, the group's commercial fuel distribution operation based in Kent.

It said the addition of Geoff Boorman Fuels would supports its growth plans in the south east region of the UK.

The group said it expected that the acquisition would contribute positively to its underlying earnings, adding that the transaction was completed with a cash payment of £2.6m using its existing cash resources.

"NWF's growth strategy is to both expand the geographic coverage of the fuels business within the UK and consolidate businesses adjacent to the existing depot network," the board said in its statement.

"NWF's acquisition of Sweetfuels - announced on 22 December 2022 - has been integrated as planned and is performing well."

The company said it would announce its final results for its financial year ended 31 May on 1 August.

At 1421 BST, shares in NWF Group were down 0.14% at 262.12p.

Reporting by Josh White for Sharecast.com.