Acquistion sees care company expand into North East
One of the largest independent domiciliary care providers in Yorkshire has expanded into the North East with the acquisition of a Newcastle company.
Springfield Homecare Services Ltd has completed on the acquisition of Newcastle domiciliary care business, Positive Life Choices (PLC).
The acquisition will mean that parent company, Springfield Healthcare Group, will see an increased turnover of more than £13m per annum.
The deal will give Springfield Homecare a presence in the North East, adding approximately 2,000 hours of care to the company.
The number of Springfield Homecare employees will also be boosted to over 800 following the deal.
The acquisition was financed following two investments totalling £4.4 million by the Business Growth Fund (BGF) in June 2012.
The BGF was established to help Britain’s growing smaller and medium sized businesses and backed by five of the UK’s main banking groups - Barclays, HSBC, Lloyds, RBS, and Standard Chartered.
PLC currently covers the areas of Newcastle, Gateshead and Darlington, specialising in providing care for individuals with learning disabilities.
The Newcastle-based firm works withing the supported living, domiciliary and respite care services, caring for older people, those with physical disabilities, mental health problems and sensory impairments.
Most work for PLC is currently contracted with the relevant local authority, the acquistion will allow Springfield Homecare to submit a variety of local authority tenders to get approval onto the new framework agreements.
The deal also offers the potential to expand PLC’s services into Durham, Sunderland, Stockton, Northumberland and other neighbouring areas.
Founded by 2007 by husband and wife team, Ian and Amanda Dickinson, PLC employs 90 staff and enjoys a turnover of approximately £1m per annum.
Amanda will continue to play an active role in the company following the acquistion as she takes on the mantle of General Manager.
She said: “I founded Positive Life Choices in 2007 to raise the standards of care in the community and believe that we have built a successful business in a short space of time.
“In order to develop and guarantee the future of the Company, we decided that we needed to become part of a larger organisation.
“We spoke to a number of other businesses looking at acquisition opportunities but having met the directors of Springfield, we were instantly impressed by their passion in delivering excellent care services, their belief in staff being trained to the highest standards and their forward thinking.
“I had no doubt in my mind and decided after only one meeting that I wanted to become part of the Springfield Group.
“I am delighted with the decision we made and believe that there is more financial stability for Positive Life Choices, greater opportunities for expanding the business, and more career opportunities for all.”
Springfield is focused on promoting a complete holistic care offering in the marketplace and extending the provision of specialist domiciliary care.
This brings the number of regional offices to six, and the number of local authorities that they work with to over ten.
Graeme Lee, founder and CEO of Springfield Healthcare said: “I am delighted to announce our acquisition of Positive Life Choices.
“This marks the start of an exciting period of growth into the North East for Springfield Home Care, alongside its existing progress within Yorkshire and Humberside.
“Amanda and the team have developed extensive knowledge in health and social care for adults with LD and this deal is an excellent way for us tap into this expertise and expand our holistic care offering.
“Her desire to be part of a larger group such as Springfield has helped both parties to agree a really positive deal moving forward.
“LD is an important strand to the future strategy of specialist care services that Springfield will offer to its clients around the North of England over the coming years. BGF’s funding is enabling us to source similar excellent opportunities across Yorkshire and the North East where we can invest quickly, professionally and in alignment with existing management teams.”
PLC represents the first acquisition that Springfield has made using BGF capital.
Of the £4.4 million invested by BGF, £1.47 million has already been used to fund the development on The Grange Care Village in Seacroft, Leeds which is expected to be completed in the autumn of 2013.
Seacroft Grange Care Village will consist of 79 care units and 17 independent apartments offering a range of holistic care options will be offered, from aspirational day care, dementia, nursing and end of life care.