Osborne Clarke advises on Kitwave placing to part-finance Creed acquisition

Law firm Osborne Clarke said it advised broker Canaccord Genuity on the successful £31 million placing for AIM-quoted Kitwave Group plc, which is being used to part finance the latter's aacquisition of Cheltenham-based Creed Catering Supplies Limited.

Earlier this month, it was reported that Kitwave, the wholesale business headquartered in Tyne & Wear was to buy the Gloucestershire-based independent foodservice supplier.

READ MORE: Gloucestershire's Creed Catering Supplies to be sold for £70m

The net proceeds of the placing, which was heavily oversubscribed, will be used to part finance the initial consideration payable in relation to Kitwave's up to £70 million acquisition, said Osborne Clarke.

Completion of the acquisition, which is conditional upon the placing closing, is expected to be on or around September 27 this year.

Canaccord is acting as Kitwave's nominated adviser, sole broker and sole bookrunner in connection with the placing.

The Osborne Clarke team that advised on this transaction was led by Partner Jonathan King who was assisted by senior associates Stuart Miller and Oliver Woods and trainee Cordelia Lupson.

Creed's customers span the leisure, hospitality, education and care sectors.

Creed reported revenues of more than £130 million over the last 12 months, and an adjusted operating profit of £8.3 million.

In 2009 it opened a purpose-built distribution centre in Derbyshire to extend its geographical coverage and in 2017 it opened a further distribution centre in High Wycombe, Buckinghamshire.

The company has always played a central role in its home county of Gloucestershire, with its directors and staff actively supporting charities across the region.