Cardiff-based drug, alcohol and steroid testing company Cansford Laboratories has been acquired by Phenna Group.
Lexington Corporate Finance acted as the sole corporate finance advisor to the shareholders of Cansford on the 100% equity sale. The value of the deal has not been disclosed.
Cansford Laboratories was set up in 2010 with its founders having previously pioneered hair testing. Its methods are used by laboratories globally offering hair, oral fluid, nail, and dry blood spot testing with related services including collection and expert witness support.
John Wicks, chief executive of Cansford, said: “We are thrilled to be partnering with Phenna Group and I am convinced that They will provide exactly the support we need to help us deliver our exciting future growth plans. We have a great team culture and securing a partner that valued that was paramount in our decision making. I look forward to working with the Phenna Group team into the future.”
The team orchestrating the deal at Cardiff-based Lexington consisted of Thomas Edwards, Courtney Mattocks and Jade Burgess.
Director Mr Edwards said: “It came as no surprise to us that there was significant interest in Cansford from both trade and private equity buyers, considering the organisation’s impressive reputation as a leader in high quality drug, alcohol, and steroid testing.
“The business has scaled up considerably since its formation in 2010, thanks to the leadership of John Wicks and Lolita Tsanaclis, so it needed a buyer that matched this ambition. From working with Cansford it became clear that Phenna was the ideal fit.
“This transaction builds on Lexington’s strong credentials in the healthcare and testing, inspection, certification and compliance (TICC) sectors, increasing the total value of deals Lexington has advised on in 2023 to almost £150m.”
Phenna is a global provider (TICC) services and has made over 35 acquisitions since its inception in 2018. Its latest acquisition - the fifth so far this year - has been backed by Oakley, mid-market private equity fund with offices in London, Milan, Munich and Luxembourg. It invested in Phenna last November in a deal that valued Phenna at more than £1bn, and which provided an exit for Inflexion Private Equity.
Paul Barry, chief executive of Phenna Group said, “Cansford Laboratories is a business that we’ve admired for a while, and I’m absolutely delighted that John and Lolita have decided to partner with us. From our early engagements, it was very obvious our values and cultures aligned and that together, we could continue to build on their already impressive track record.
Emma Borrington, Owen James and Jacob Sims of Berry Smith provided legal advice to the shareholders.
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