CSS Stellar PLC
18 September 2002
18 September 2002
CSS Stellar plc
Investment in North American golf businesses.
The Board of CSS Stellar plc ('CSS Stellar' or the 'Group') is pleased to
announce the acquisition of a 30 per cent. interest in Dallas, Texas based golf
agency Hambric Sports Management ('Hambric') and a 50 percent interest in
StandOut Sports and Entertainment ('StandOut').
Consideration for both investments is a total of $1,474,000 (£951,000),
comprising cash of $465,000 (£300,000) and loans and working capital of
$700,000 (£452,000) and the issue of 160,000 Ordinary Shares of 50p each in CSS
Stellar ('Ordinary Shares') at a price of 124.6p per Ordinary Share.
The Board does not expect the transactions to contribute to earnings in 2002.
Hambric was formed just over two years ago and has already become one of North
America's leading golf management companies. Currently, the firm manages the
careers of PGA stars Justin Leonard, Bob Tway, Steve Flesch, Bob Estes, and LPGA
rookie sensation Lorena Ochoa. As part of the Hambric deal, Rocky Hambric (who
has more than twenty years experience in the golf representation industry) will
become the overall CEO of CSS Stellar's Golf client division, leading the
company's efforts in both North America and Europe.
StandOut, also based in Dallas, Texas, oversees sponsorship packaging, sales
management and corporate campaigns and organises events for a number of
corporate clients. These include AT&T Wireless and Palm. The partnership
between CSS Stellar and StandOut and will combine the sponsorship and corporate
marketing programs of the two companies to plan, manage and execute golf
marketing efforts for a number of corporate clients in North America.
Julian Jakobi, CEO of CSS Stellar commented:
'The investment we are making today in Hambric Sports Management and StandOut
Sports and Entertainment significantly strengthens our position in the global
golf community, an area in which we have spent a significant amount of time
seeking the right partner in the USA. Rocky will be instrumental in our plan to
grow our golf business in Europe and our corporate resources will help him
strengthen Hambric Sports Management in North America.'
Listing Application
Application will be made for the 160,000 Ordinary Shares now being issued to be
admitted to AIM. Admission of the Ordinary Shares is expected and dealings are
expected to commence on 23 September 2002.
Enquiries:
CSS Stellar plc 020 7078 1400
Julian Jakobi, Chief Executive
Sean Kelly, Finance Director and Deputy Chief Executive
Weber Shandwick Square Mile 020 7950 2800
Ben Padovan or Sally Lewis
This information is provided by RNS
The company news service from the London Stock Exchange
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