LONDON, UK: Smartbox Holdings, a group company of CareTech Holdings, is acquiring REHAVISTA GmBH and its subsidiary company LogBUK.
Smartbox will pay a purchase price of €10m to be satisfied in cash on completion, expected on 30 November 2021. The transaction is being funded by the Group’s debt facility with CareTech subscribing for additional shares in Smartbox such that post-completion, CareTech will own 83% of Smartbox, with the remaining minority ownership continuing to be held by the Smartbox management team.
REHAVISTA is Germany’s largest provider of augmentative and alternative communication (AAC) products and services, employing over 170 staff.
The company, which has six offices across Germany, provides a range of AAC and assistive technology products and has a strong reputation for excellent service.
LogBUK is a subsidiary company to REHAVISTA, providing independent speech and language therapy to help AAC users achieve the best outcomes through specialist clinical support.
REHAVISTA’s reach and expertise is unparalleled in Germany, estimated to be the second largest funded AAC market globally after the USA.
With its deep knowledge of assistive technology and established routes to market, this acquisition provides a significant opportunity for Smartbox to expand the products and services available in Germany, expanding on the existing partnership between Smartbox and REHAVISTA, and across Smartbox’s global customer base, which spans more than 30 languages and 45 distributors.
REHAVISTA and LogBUK, headquartered in Bremen, generated revenue in excess of €16m in 2020. It is expected that the acquisition will be immediately earnings enhancing for CareTech.
Farouq Sheikh, Executive Chairman of CareTech said: “We have been delighted to support Smartbox in achieving significant organic growth since it joined the Group in October 2020. This acquisition is a natural but exciting next step for our Digital Technology division due to the close partnership that has been formed between Smartbox and REHAVISTA, since it began supporting Smartbox technology earlier this year.
“We shared our digital strategy and commitment to accelerate adoption of technology across our Group when Smartbox joined us, and we have already made great progress in this area thanks to our joint initiatives. The addition of REHAVISTA to the Group will further strengthen our combined specialist skill set, adding some of the best talent from one of the largest AAC markets in the world.”
Dougal Hawes, Managing Director of Smartbox said: “This is a unique opportunity to join forces with one of the leading companies globally in the assistive technology industry. REHAVISTA is known for its unrivalled knowledge of AAC and exceptional service and we know the business shares our passion for giving people a voice.
As a team of clinical and technology professionals with very similar values, we are thrilled to now be working so closely with our REHAVISTA colleagues. Although we recently welcomed them as one of our global partners, this closer relationship means we can deliver much more.
“Both of our teams are here to help people have a voice and gain greater independence. We now have the opportunity to learn from each other and achieve more for the people our organisations serve. This is our next step towards being part of a world where everyone has the opportunity to participate, regardless of cognitive or physical disability.”
Juergen Kohl, REHAVISTA’s CEO said: “The REHAVISTA family has been searching for a partner to develop itself and the German AAC market for a few years.
The CareTech and Smartbox family welcomed us and quickly showed us how agile and responsive they are. It became clear as our partnership developed how close our cultures were and their importance to both teams. We are extremely positive that over the coming years we will be able to develop and adapt new products and services within the German market; to serve our clients and help them prosper and participate in society.”