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Secure PaymentSep 2024
The BBS Law Corporate Team led by Dov Black and Rebecca Mills with assistance from Shreena Parekh and Becky Tsang are proud to have acted on behalf of BSD Group Holdings on the sale of Empire Linen Services to Johnson Service Group, a textile rental and cleaning powerhouse. The £20.6 million acquisition cements Johnson Service Group’s market position adding to its expertise and broadening its service range.
Johnson Service Group provides essential services such as textile rental, cleaning, and care primarily for the service and healthcare sectors. This AIM-listed company has seen impressive growth in the first half of 2024 reporting a surge in sales, with revenues rising by 13.5% to £244.1 million. The company has strategically expanded its capabilities through its acquisition of Empire Linen Services and strategic capital investments. Empire Linen Services specialises in providing high-quality linen services to luxury hotels in London and the Southeast. The company employs around 170 workers and has built a strong reputation in the hospitality sector for its reliable and upscale linen solutions. This acquisition, finalised on 2 September marks a significant milestone for Johnson Service Group as it aims to enhance its service offerings and geographical reach, particularly in the luxury hotel segment.
Head of the Corporate Team at BBS Law, Dov Black stated “We are thrilled to have supported the shareholder of Empire Linen Services on this sale. This pivotal deal represents a milestone for both companies, opening the door to continued growth and innovation in the rental sector. We very much appreciate the positive feedback from our clients and also would thank the teams at Melinek Fine who provided tax and accounting advice to the seller, Hill Dickinson who acted as legal advisers to Johnson Service Group and PWC who provided tax advice to Johnson Service Group.”
The former directors of Empire Linen commented, “We are delighted with the support that we received on this sale from Dov and the BBS Team throughout. The strategic advice that we received, and their expertise made this deal far smoother for us than we envisaged”.