11:29 AM EDT, 06/21/2024 (MT Newswires) -- K-Bro Linen Inc. ( KBRLF ) said Friday it closed the purchase of Buanderie C.M. Inc., a private laundry and linen operator serving the healthcare market, for an enterprise value of $12 million, on a cash-free, debt-free basis.

The deal includes the real estate for C.M.'s processing and storage facilities in North Montreal.

The company funded the deal entirely from its syndicated revolving credit facility. The deal is expected to be accretive to K-Bro after synergies.

"C.M. has been serving top-tier healthcare customers in the attractive Montreal market for decades. Our acquisition of C.M. expands K-Bro's healthcare customer base, increases healthcare volumes, adds additional healthcare capacity, and supports significant future growth opportunities," K-Bro chief executive Linda McCurdy said in a release.

K-Bro shares were last seen up $0.03 to $32.14 on the Toronto Stock Exchange.

Price: 32.14, Change: +0.03, Percent Change: +0.09