Acquisition

RNS Number : 5055E

Spice PLC

29 September 2008

 

29th September 2008

Spice plc

Acquisition Mono Services Limited

Spice plc ("Spice" or "the Group"), the provider of Total Utility Support Services, is pleased to announce that its Distribution Division has completed the acquisition of Mono Services Limited ("Mono" or "the Company" ). 

Mono provides responsive and planned maintenance services to registered social landlords, local housing associations and local authorities in the North West of England. Prior to the acquisition, certain historic activities of Mono, including its insurance and commercial repair activities, were hived out of the Company and have not been acquired by Spice.

Mono has been acquired for £0.45 million payable in cash. No deferred consideration is payable. It is estimated that the recurring annual turnover of the acquired business will be approximately £5 million. The audited financial statements of Mono for the year ended 31 December 2007, including historic activities not now being acquired by Spice, show turnover of £17.4 million and an operating profit of £0.7 million. Net assets at 31 December 2007 were £0.7 million. 

Mono is located near Eccles in the North West of England, close to where Spice's gas maintenance activities are headquartered. The acquired business employs 123 staff of which there are 98 trade professionals (including electricians, plumbers and joiners). Mono has been acquired from Mavinwood plc.

Simon Rigby, Chief Executive Officer of Spice, commented:

"Increasingly local authorities require bundled services including combining gas maintenance services with responsive repairs. As a "complete service solutions" provider we will be in a very strong position to meet the requirements of our clients.

Synergy benefits with existing Spice businesses create the opportunity for efficiency gains and growth opportunities."

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For further information, please contact:

Spice plc                                    Tel: [phone]

Simon Rigby, Chief Executive Officer

Oliver Lightowlers, Group Finance Director

Andrew Catchpole, Group Strategy and Development Director

Financial Dynamics                   Tel: [phone]

Billy Clegg

Caroline Stewart  

KBC Peel Hunt                        Tel: [phone]

Julian Blunt  

NOTES TO EDITORS

Spice plc

Spice is a total utility infrastructure support services business. The Group's operations were founded in 1996 and have their origins in the electricity industry, though the range of activities has since been expanded into the water sector, niche telecommunications services, statutory gas inspections, energy management and facilities management. Spice's businesses have a common theme of delivering and co-ordinating infrastructure services to customers, and the technological element within the product mix has been built up significantly over the course of the last three years.

 

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