Delling Group PLC
09 November 2007
For Release 7:00 am 9 November 2007
DELLING GROUP PLC (DLG.L)
The AIM-listed marketing support services group
In-fill Acquisition
Delling Group PLC ('Delling' or the 'Company'), the only listed marketing
support services group on AIM whose principal assets are in Scandinavia,
announces that it has exchanged contracts to take over the customers and staff
of the privately owned Swedish exhibition company Hennix Expo I Stockholm AB
('Hennix'), for a cash consideration of approximately £185,000, to be paid in
three equal instalments during November and December 2007.
In 2006 Hennix had an audited turnover of £1.6 million and reported a pre-tax
profit of £100,000. Delling is only taking the staff and customers of Hennix,
who will be integrated into Delling Expo, and not the fixed cost base. Therefore
the contribution to the pre-tax profits of Delling is expected to exceed
£100,000 per annum.
The Directors consider Hennix's customer base to be strong and it features a
number of blue chip companies in Sweden. The Directors believe that there is
considerable potential for the further development by Delling Expo of the Hennix
customer base.
Commenting, Geir Lolleng, CEO, Delling Group, said:
'This deal fits well into our business and should have a positive impact on our
revenues and earnings going forward. With our current main focus on improving
margins, we will only consider small in-fill acquisitions which contribute
immediately to improved margins and the further reduction of cost. As I have
mentioned previously, I strongly believe that our programme to reduce costs will
impact substantially as we move forward.'
For further information please contact:
Contact:
Delling Group Plc
Geir Lolleng, CEO Tel: +46765276024
www.dellinggroup.com
Adventis Financial PR
Tarquin Edwards Tel: 020 7034 4758/020 7034 4760
Nabarro Wells & Co Limited - Nominated Advisor
Hugh Oram Tel: 020 7710 7400
City Capital Corporation Limited - Broker
David Kent Tel: 020 7583 5800
Notes to Editors
Delling Group is a leading supplier of marketing support services for marketing
and communication departments throughout The Nordic countries.
Delling manages all fields of graphic support in many different forms and
formats including trade fairs, exhibitions and interactive digital solutions for
the web, mobile telephone marketing solutions, motion media for flat screens,
plasma or LCD.
It also supplies IT solutions which support and increase the efficiency of both
marketing and information departments. However, its major strength is that the
Group can deliver complete turnkey solutions, tailor-made for its customers'
every need. Delling also offers outsourcing solutions that can substantially
save costs and improve efficiency.
The Group's major activities are today concentrated in the Norwegian and Swedish
markets, however, it is quickly expanding into other Nordic areas, as well as
having customers and production facilities in Eastern Europe. It also has well
respected suppliers as far a field as China and Thailand.
Delling Group has today 130 employees. It is rapidly developing its organisation
by focusing on supplying its customers with the quality they demand, delivered
on time at the right price. Central to its philosophy lies the fact that its
customers will obtain greater effects and efficiency for every pound they invest
in marketing and information. The Group has strong growth, both through further
development of existing clients and establishment of many new relationships,
together with acquiring companies that enhance and further develop our business
concept.
Delling's goal is within the course of the next two years, through both
satisfied customers and recommendations, to be the largest and most profitable
company in the field of marketing support services within the Nordic countries,
and a significant player within Eastern Europe. In October 2004 it was the first
Scandinavian business to be listed on the Alternative Investment Market, the
London Stock Exchange's international market for smaller growing companies. This
has given Delling the access it needs to capital funds needed to maintain and
strengthen the further development of the Group.
This information is provided by RNS
The company news service from the London Stock Exchange
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