CIP Merchant Capital invests in CareTech, buys more Orthofix stock

CIP Merchant Capital announced an investment in CareTech Holdings - a provider of specialist social care services supporting adults and children with a wide range of complex needs in more than 250 specialist service centres - on Tuesday.

The AIM-traded firm said it had acquired 950,000 ordinary shares in CareTech for a total consideration of about £3.2m.

It said that in the year ended 30 September, CareTech had net income attributable to its shareholders of £26.5m, and as at 30 September, had net assets of £208m.

“CareTech now constitutes the company's fifth portfolio company,” the CIP board said in its statement.

It also acquired a further 6,000 common stock in Nasdaq-listed medical devices company Orthofix Medical for a total consideration of approximately $0.32m.

Those shares were purchased in addition to the 9,000 common stock purchased on 11 and 12 March, as CIP had previously announced, for a total consideration of $0.5m.

“Following these further acquisitions of common stock, CIP Merchant Capital is now interested in 112,000 common stock of Orthofix,” the board confirmed.

In the year ended 31 December, Orthofix had net income of $13.8m, and as at 31 December, had net assets of $335.4m.