Biomedical firm spends €42m on acquisitions

GLOBAL CONSOLIDATED Aesthetics, a biomedical firm that counts Bill McCabe and the Cork-based Barry family among its investors, has paid almost €42 million for a group of companies that make silicone implants.

Documents recently filed at the Companies Office show the firm agreed last year to buy the group of four companies for a total of €41.8 million.

Global Consolidated Aesthetics, incorporated in 2007, is described as being involved in the supply of “medical and surgical equipment and orthopaedic appliances”.

The deal, which is outlined in the most recent accounts for Global Consolidated Aesthetics, comprised the purchase of Biosil Limited, Nagor Limited, Eurosilicone SAS and Dreamxcell International Limited.

A directors’ report contained within 2008 accounts for Global Consolidated Aesthetics lists the activities of the acquired companies as “the manufacture and distribution of silicone-based implantable medical devices”.

The companies have manufacturing facilities in the UK and France and distribute products around the world, with the exception of the US.

A small portion of shares was issued in lieu of cash, while the acquired firms had cash balances of almost €1.2 million.

The resulting cash outflow for Global Consolidated Aesthetics was €36.7 million.

The largest shareholder in Global Consolidated Aesthetics is listed as Oyster Technology Investments, which is based in the Isle of Man.

Oyster is the private investment vehicle of Mr McCabe, who is best-known as the founder of the Smartforce e-learning group.

Barry’s Tea Holdings is listed as a minority stakeholder.

Tony Barry of the Cork-based Barry family joined the Global Consolidated Aesthetics board in June 2008, as did Mr McCabe.

Mr Barry manages the Barry’s Tea business.

The 2008 accounts include a one-month contribution from the newly acquired companies, leading to a loss for the year.

“The directors have reviewed the operations of the group and are confident of returning to profitability in 2009,” notes the directors’ report.

For the year ending June 30th, 2008, Global Consolidated Aesthetics had revenue of almost €2 million, but operating costs amounted to €2.8 million. The operating loss for the year was €827,000, while the pretax loss was €1 million.

At that stage, the company employed 351 people, including 275 production staff.

Its wage bill amounted to €1.2 million.

The accounts list a number of related party transactions involving shareholders, including loans to Oyster Technology Investments and to Barry’s Tea Holdings.