News: Vision Eye Institute to hit acquisition trail with $10M kitty

Vision Eye Institute (ASX:VEI) has outlined a clear strategy of growth by acquisition, with the company raising $10 million from a placement of 16.75 million shares at $0.60.

Acquisition targets include day surgeries with ophthalmic specialists and other disciplines, medical centres and other opportunities in the day surgery and medical precinct space.

Currently VEI is Australia’s largest provider of ophthalmiccare, diagnosing and treating people with eye disorders and diseases.

The company is currently focused on the east coast of Australia, with seven consulting clinics in Queensland, five in New South Wales and six in Victoria.

Each of these states also has day surgeries and laser refractive suites.

Any acquisitions made by the company have the potential to boost revenue in the short term.

During FY14 revenue increased $3.5 million with EBITDA of $26.0 million in line with mid point of guidance

Profit after tax increased 40% to $13.2 million reflecting significantly lower interest expense and $1.9 million one off insurance proceeds. EPS was 7.9 cents per share.

During FY 14 a fully franked final dividend of 1.25 cents was paid.

 

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