CVS Group sells crematoria operation in £42 million deal

The CVS Group announced the sale of its crematorium operations in a deal worth more than £40 million.

A statement issued this morning (24 April) said the services were being acquired by a UK-registered subsidiary of Anima Care Holding, which is parent company to the Funecap Group, a European funeral services provider.

Contracts are said to have been exchanged and a deal worth £42.4 million is expected to be completed within five weeks.

No connection

CVS officials have insisted the sale is not connected to the ongoing Competition and Markets Authority investigation, which has expressed interest in such provision, among other areas.

The group’s statement said the decision to sell only followed what it called “an attractive approach by Funecap”, who will provide clinical waste disposal and cremation services to CVS practices and clients once the deal is completed.

The group said the money raised would support the continuing expansion of its Australian operations as well as “continued selective investment” in the UK.

Focus

The statement added: “This capital recycling is expected to be value accretive to the group in due course and allows CVS to focus on its core veterinary and diagnostics services, whilst continuing to provide a high-quality end to end client service.”

News of the sale appears to have been well received in the city, where the group’s share price was up by around 2% in latest trading.