Acquisition , Fundraising & Change of Dire...

The Core Business plc (the "Company" or "Core Business")

 Proposed acquisition of Amirose International Limited, Placing and Subscription
   for New Shares, Issue of Warrants and Convertible Loan Stocks, Admission to
 trading on AIM of the Ordinary Shares and the New Warrants, Trading Update and
                               Change of Directors

3 July 2007

The  Company  is  pleased  to announce that it has entered  into  a  conditional
agreement  to  acquire, subject to shareholders' consent and  Admission  of  the
enlarged share capital of the Company to trading on AIM, the entire issued share
capital   of  Amirose  International  Limited  ("Amirose")  for  a  total   cash
consideration  of £2,600,000, (subject to a £1 for £1 increase or  reduction  if
the net asset value of Amirose at Completion is greater or less than £1,234,000)
to  be financed in part by the issue of Placing Shares and Subscriber Shares, in
part  from  available  cash  resources, and  in  part  from  the  issue  of  the
Convertible Loan Stocks.

The Acquisition constitutes a reverse takeover for the purposes of AIM Rules and
is,  accordingly,  conditional upon shareholder approval in general  meeting.  A
document  that contains information on the proposals and details of the  EGM  at
which such approval will be sought has today been sent to shareholders.

Additional information on the enlarged group can be found below.

May Louise Jennings has today resigned as a Director of the Company.  She will
remain as an employee of the Company and the decision has been made to allow her
to focus on developing the brand distribution and brand ownerships activities of
the Company.

Jack Gordon, the current Managing Director of Amirose, has agreed, subject to
completion of the acquisition of Amirose, to join the board of the Company.
Further details regarding Jack Gordon can be found below.


For further information, please contact:

The Core Business plc
Stirling Murray, Chief Executive            020 7483 4300

Ellis Stockbrokers Limited
Neil Badger                                 01293 517 744

ARM Corporate Finance Limited
Nick Harriss                                020 7512 0191


Information on the Enlarged Group

Background to and reasons for the Acquisition

When  Core  Business was admitted to trading on AIM in March 2006, the Directors
stated that they saw an opportunity to build a beauty management group with  the
capability  of generating capital growth through the development of its  own  or
licensed  brands,  the  ability to provide a full brand  management  consultancy
service on behalf of clients and to distribute brands.

The  Directors  believe that the acquisition of Amirose, which  brings  its  own
portfolio  of  brands, the ability to `white-label' products and an  established
distribution  and logistics facility, represents a good opportunity  to  develop
this  strategy.  The  Directors believe that Core Business'  network  of  retail
contacts  will help to facilitate the entry of Amirose brands into new  channels
of  distribution and Amirose will provide Core Business with access to low  cost
manufacturing and packaging.

Information on Core Business

Core Business, which is based in Central London, was established in 2004 by  its
Chief  Executive,  Stirling Murray, to concentrate on the creation,  development
and  distribution of personal care products and beauty brands from  make-up  and
skincare to men's grooming and hair care. The Company's activities include:

  ·    Consultancy and brand management

     Projects have included launching and developing a range of brands on behalf
     of  clients  (including formulation, packaging, design  and  pricing),  the
     preparation and implementation of UK entry strategies, creating  brand  and
     marketing strategies, advising on UK entry strategies and listing brands in
     mass and premium retail channels.

  ·    Brand distribution

     The Company has secured the exclusive UK distribution rights for a globally
     recognised  beauty brand across a number of categories and has  achieved  a
     listing  in  Superdrug;  the  Company  is  negotiating  the  exclusive   UK
     distribution rights for a number of other overseas brands.  The Company  is
     also  negotiating  a joint venture agreement with a French  mass  fragrance
     brand.

  ·    Brand ownership

     An  important  part of the Company's growth strategy is  the  ownership  or
     licensing  of  brands; the Company now holds a 17.5 per  cent  interest  in
     Blockhead Brands Limited, for which it recently launched the Blockhead  sun
     care brand.

Current trading

Since  Admission to AIM in March 2006, the Company has won seven new consultancy
contracts,  including one with Boots.  The Company also launched  the  Blockhead
range   into   premium   retail  outlets  and  through   the   retail   websites
www.mankind.co.uk, www.mann.co.uk and www.hqhair.co.uk.

The  Company  has  recently signed a five year agreement with Accesoires  Beauté
Cosmetique  for  the  exclusive distribution rights in  Great  Britain  for  the
leading  French  Elite  Models Fashion beauty accessories and  colour  cosmetics
brand,  which  features  professional hair accessories,  manicure  products  and
colour cosmetics. Elite Models Fashion, which was founded in 1971, is one of the
world's  most prestigious modelling networks and has represented internationally
famous  models such as Monica Belluci, Naomi Campbell, Cindy Crawford and  Linda
Evangelista.

The  Company  reached an exclusive arrangement with Superdrug to distribute  the
Elite  Models  Fashion  beauty accessories brand exclusively  in  100  Superdrug
stores  in March 2007. Agreement has subsequently been reached to roll  out  the
product  range to over 350 stores from August 2007. In addition the Company  has
reached  an exclusive three year agreement to launch the colour cosmetics  range
in 200 Superdrug stores from September 2007.

The  Company  has  also  signed  a five-year agreement  with  Accesoires  Beaute
Cosmetique  for  the  exclusive distribution rights in  Great  Britain  for  the
Princesse Lili children's hair accessory brand.

In addition, the Company has signed a two-year agreement with Filtral SA for the
exclusive distribution rights for Elite Models Fashion sunglasses.

Information on Amirose

Amirose, which is based in Hainault, Essex, was incorporated in February 1997 by
its  Chief Executive, Jack Gordon, as a sales and marketing company specialising
in  both  the  mass market and budget sectors of the personal  care  and  beauty
business, serving both the professional and consumer beauty markets.

It   manufactures  and  distributes  a  wide  range  of  cosmetic  products  and
accessories under its own brand names to outlets such as Savers and Asda and  to
the independent pharmacy and drug sector. It also supplies own-label products to
a number of retailers, including Marks and Spencer and Sephora.

Relationships  have  been  established with Far Eastern manufacturers,  enabling
Amirose  to source products competitively at a low cost of goods and to  benefit
from  strong  margins. Amirose is in the early stages of developing  its  export
market  and has built a growing relationship with distributors in Australia  and
South Africa.

The  Directors  believe  that  two brands sold by  Amirose,  Purederm  and  Skin
Benefits have the potential to move into major retail chains in the UK.

The  following is a summary of the audited financial information of Amirose  for
the  three  financial  years ended 30 June 2006 and  the  six  months  ended  31
December 2006. This summary has been extracted from the Accountants' Report  set
out in Part 4 of this document, which should be read in full.

                                              Six months
                           Years ended 30 Juneended
                                             30 December
                       2004    2005   2006     2006
                       £000    £000   £000     £000

Turnover              1,189   1,148  1,352      771

Gross profit            640     550    700      367

Operating profit        387     287    425      240

Pre tax profit          393     301    451      259


Directors and Proposed Director

Directors

Mark Nicholas Watson-Mitchell, aged 60, Non-Executive Chairman

Mark is the Executive Chairman of both Addworth Plc, which is an `active capital
investor', and Yellowcake Plc, an investor in uranium companies. He is also  the
Non-Executive Chairman of BestGames Holdings Limited, an investor in online  and
mobile gaming companies, Gaming Ventures Plc, a potential investor in the online
and  mobile  gaming  market, NCI Vehicle Rescue Plc, a  vehicle  assistance  and
recovery company and Oil and Gas Support Services Plc, which intends to  provide
specialist personnel, procurement and logistics management services.

Mark  has previously worked for four firms of stockbrokers and a fund management
business  and  for  the last thirteen years he has been increasingly  active  in
investment research of smaller UK quoted companies. He is the principal  of  SQC
Research,  which specialises in preparing investment information and comment  on
smaller quoted companies for investment professionals.

Stirling Michael Murray, aged 53, Chief Executive

With  a  proven  track  record of developing brands  Stirling  has  successfully
managed  companies in both turnaround and growth environments and has worked  in
the  international cosmetics and fragrance industry for over 27  years.  He  has
held senior UK and international management and board roles for industry leaders
including  Revlon, Estée Lauder, Rimmel and Bourjois (Chanel) and has  led  both
subsidiary  and  regional businesses. Between 1998 and 2002, while  he  was  the
General Manager and a Director of Bourjois, its turnover grew from £16m to  over
£22m.

Stirling has been a guest lecturer in Marketing at The London College of Fashion
and  is  a  frequent speaker at brand and industry conferences.  He  is  also  a
director of Re-think Cosmetics Ltd, a 50 per cent. associate of the Company, and
Blockhead Brands Ltd, in which the Company holds a 17.5 per shareholding.

Alastair John Kennedy, aged 43, Finance Director

Alastair  is  a  Chartered Accountant with an extensive range of  financial  and
commercial experience. He has considerable experience of working with businesses
to  achieve  their  strategic  goals and establishing  financial  processes  and
systems to support rapid growth.  After qualifying with Ernst & Young in  London
he  spent  his  early career in Australia where he worked for large  retail  and
building  material companies.  In 2000, he joined Electronic Arts,  the  world's
largest  interactive games developer where he provided financial and  commercial
leadership to their UK Studio.

Alastair  is  Finance Director of Intandem Films Plc and Branded  Entertainments
Plc and has worked on a part-time basis for The Core Business since April 2006.

Melissa Jane Gilmour (B.Comm, DipJ, ASI), aged 37, Non-Executive Director

Having  graduated  with  a  commerce  degree  in  New  Zealand,  Melissa  gained
significant  merchandising, branding and retail experience as a territory  sales
manager for Bendit, at that time a leading Australasian hair accessories brand.

Melissa  came  to the UK on a postgraduate scholarship in 1997 and  subsequently
worked in London as a research analyst for a number of companies.

She  subsequently spent three years preparing independent research notes on  AIM
and  at the time OFEX companies for various London-based corporate advisers. She
has  worked  as a research analyst for Axis International plc - a Mayfair  based
corporate  finance  company specialising in turnaround situations,  and  Griffin
Corporate Finance Ltd, part of Griffin Group plc. Melissa is an Associate of the
Securities Institute (ASI) and is an Executive Director of Addworth Plc.

Proposed Director

Jack Gordon, aged 61 Proposed Executive Director

Jack  opened  his first hair salon in 1966 in partnership with his wife,  Susan.
Over the next 20 years they built a successful chain of 5 salons in Essex.   The
salons  also  sold  beauty  products, and eventually Jack  started  distributing
beauty  products  wholesale as well as retail.  In the 1990s,  Jack  decided  to
concentrate  on  the  wholesale sector, selling the retail  operations  to  fund
expansion in this area.   Amirose was incorporated in 1997, and since then, Jack
has  built  this  into  a  successful  wholesale  beauty  products  distribution
business.

Jack will also be subscribing £200,000 for 20,000,000 Ordinary Shares at 1p  per
Ordinary Share on completion of the Acquisition.

Information Required Under Schedule 2(g) of the AIM Rules regarding Jack Gordon

Current Directorships:

Amirose International Limited.

Directorships held in the last 5 years:

Amirose (London) Limited

Save  as disclosed above, there is no further information that requires disclose
regarding Jack Gordon under Schedule 2(g) of the AIM Rules

Details of the Acquisition

On  3  July  2007, the Company entered into the Acquisition Agreement  with  the
Vendors under which the Company conditionally agreed to purchase all the  issued
share capital of Amirose. The consideration for the acquisition is £2.6 million,
(subject to a £1 for £1 increase or reduction if the net asset value of  Amirose
at  Completion  is  greater or less than £1,234,000)  which  will  be  satisfied
entirely  in  cash.  The  cash consideration, together with  the  costs  of  the
transaction  is  to  be financed by the issue of Placing Shares  and  Subscriber
Shares,  from  available cash resources, and the issue of the  Convertible  Loan
Stocks.   Completion  of the Acquisition Agreement is conditional,  inter  alia,
upon  completion of the Placing, the passing of the Resolutions  and  Admission.
The  estimated cash expenses of the Proposals are £450,000.  In addition,  4.45m
shares are being issued at the equivalent to the Placing Price in settlement  of
fees of £44,500 in relation to the Convertible Loan Stocks and CEF.

Details of the Placing

The  Company  is  raising,  conditional, inter alia, upon  Admission  £1,000,000
(before  expenses)  through the Placing. The Placing Shares will,  when  issued,
rank pari passu in all respects with the existing Ordinary Shares, including the
right  to receive in full all dividends and other distributions declared,  made,
or paid thereafter.

Extraordinary General Meeting

Set out at the end of this document is a notice convening the EGM to be held  at
the  offices of Marriott Harrison at 12 Great James Street, London WC1N 3DR,  at
9.30 am on 26 July 2007.

The future development of the Enlarged Group

The Enlarged Group will continue to develop the Core Business strategy, focusing
initially on maximising the synergies and benefits of the Acquisition, including
but not limited to:

·     The  opportunity to expand the Amirose business by introducing Amirose  to
  major  retailers such as Superdrug, Boots, and Sainsbury, with whom  the  Core
  Business has established links;

·     The  Directors also see an opportunity to increase sales and profitability
  through increasing export sales;

·    Maximising the potential for additional sales and profit through the cross-
  selling opportunities of each company's products and customers;

·      Generating  savings  by  switching  existing  or  future  Core   Business
  distribution agreements to Amirose's established distribution operation, based
  at its north east London warehouse; and

·     Accessing  Amirose's manufacturing and packaging expertise to reduce  Core
  Business's cost base for its licensed and own brands.


Subscription

The Directors, Addworth plc and others will be subscribing for Ordinary Shares
at 1p per Ordinary Share as follows:

                   Subscription        Number of ordinary Shares

Mark Watson
Mitchell           £15,625             1,562,500
Stirling Murray    £20,625             2,062,500
Alastair Kennedy   £10,625             1,062,500
Melissa Gilmour     £3,125               312,500
Addworth Plc       £50,000             5,000,000
Others             £50,000             5,000,000

Jack  Gordon will subscribe £200,000 for 20,000,000 Ordinary Shares  at  1p  per
Ordinary Share on completion of the Acquisition.

Details of the Convertible Loan Stocks and Committed Equity Facility ("CEF")

Trafalgar  Capital  Specialized Investment Fund  ("Trafalgar")  have  agreed  to
advance  £500,000  under the terms of the Senior Convertible Loan  and  £350,000
under  the  terms of the Mezzanine Convertible Loan as part of the financing  of
the  Acquisition.   In addition, they are providing the CEF, a committed  equity
purchasing  facility to provide additional working capital  to  the  Company  if
needed.

Warrants

Warrants  will be issued to Placees on a ratio of 1 Warrant for every 2  Placing
Shares  subscribed for.  The exercise price of the Warrants is 1p  per  Ordinary
Share,  and  may  be  exercised  at any time  up  to  and  including  the  fifth
anniversary of Admission.

Warrants  will  be issued to subscribers to the Subscription on  a  ratio  of  1
Warrant for every 2 Subscriber Shares subscribed for.  The exercise price of the
Warrants  is 1p per Ordinary Share, and may be exercised at any time up  to  and
including the fifth anniversary of Admission.

5,000,000  Warrants  will  be  granted  to  ARM  Corporate  Finance  Limited  on
Admission. The exercise price of the Warrants is 1p per Ordinary Share, and  may
be exercised at any time up to and including the fifth anniversary of Admission.

6,000,000 Warrants will be granted to Trafalgar on Admission. The exercise price
of the Warrants is 1p per Ordinary Share, and may be exercised at any time up to
and including the fifth anniversary of Admission.

8,500,000  Warrants will be granted to the Directors on Admission. The  exercise
price of the Warrants is 1p per Ordinary Share, and may be exercised at any time
up to and including the fifth anniversary of Admission.

An  application will be made to admit the New Warrants (as described  above)  to
Trading on AIM from the date of Admission.