Hayes Advisory has taken over aged care equipment maker K Care and expects the company will be sold following the closure of its Perth factory.
Alan Hayes was appointed Receiver and Manager to the company on 7 April 2017 and is conducting a sale of the business, according to the company’s website.
K Care Healthcare Equipment is a wholly Australian owned business that manufactures and distributes hospital, residential aged care and community care equipment for the Australian and international markets.
Its products include that are branded OxfordEME, Kerry, K•Care, Air Comfort, My Comfort and My Mobility.
K Care’s turnover was understood to be about $30 million but increased competition from overseas had impacted profit in recent years.
Established in 1976 as KDB Engineering, the company’s original two brands (K•Care and Kerry Equipment) became and continue to be market leaders in Australia.
In 2002 the business was acquired by Australian public company Hills Holdings. In 2005 Air Comfort (McCann Smith) was acquired and in March 2009 all five brands were brought together under Hills Healthcare Equipment.
In February 2013, the business was acquired by private equity enterprise Anacacia Capital backed by the management team.
In addition to K Care Healthcare Equipment, Anacacia Capital has a successful investment track record in business units operating in numerous industries including healthcare and distribution.
In December 2013 the K Care range was boosted through the acquisition of market leading healthcare manufacturer OxfordEME.
According to the West Australian, Anacacia is believed to have written off its near $20 million investment before the receivership, with its two board nominees resigning last month.
K Care has a fulltime Research & Development team consisting of six industrial designers and engineers tasked with developing new product and improving the design of existing product.
It had been operating from five sites in Australia including Perth, Sydney (two locations), Melbourne and Brisbane though last week 70 staff in Perth were laid off, with WestBusiness reporting that none of the parties interested in buying the business could see how to operate the business from Western Australia.
Should you be interested in buying the business, please contact Stephen Walton (email@example.com) at Hayes Advisory.
All creditor enquiries should be referred to the Voluntary Administrators, Ernst & Young (firstname.lastname@example.org).