Cannon currently operates its textile rental business from laundries based in Glasgow, Manchester, Bristol, Newmarket and Balham with depots in Gateshead and Birmingham. OCS will continue to operate its washroom services business under the Cannon Hygiene brand.
The acquisition is conditional on a number of points including clearance from the Office of Fair Trading. There is also a right of rescission by either party if there is a material adverse change in the business prior to completion or if regulatory clearance has not been received by 29 May. The transaction is expected to be completed at the end of March.
On completion JAM will operate the existing Cannon laundries while reviewing the combined business structure.
