20 Apr 2012 07:00
NEWS RELEASE For Immediate Release
Billing Services Group Limited('BSG' or the 'Company')
Change of Director Role and Reconfirmation of 2012 Guidance
(April 20, 2012) San Antonio, Texas - BSG, a leading provider of clearing, settlement, payment and financial risk management solutions to the telecommunications industry, merchants and online stores, announces today that Mr. Greg Carter will step down as Chief Executive Officer of the Company on May 31, 2012 and become a non-executive Director of the Company with effect from that date.
As set out in the recent statement of annual results, the Company has continued to take a number of expense reduction initiatives in light of the industry environment and remains committed to taking appropriate countermeasures to ensure the continuation of strong cash flow and ongoing debt reduction. Mr. Carter's move to a non-executive position is just one such measure. Mr. Norm Phipps, the Company's Chief Financial Officer, will additionally assume the role of Interim Chief Executive Officer and join the Company's Board with effect from May 31, 2012.
The Company set out its expectations for the year ending December 31, 2012 in its statement of March 27, 2012. This guidance included estimated revenue of $74.0 million to $77.0 million and EBITDA of $16.5 million to $17.5 million. The financial impact associated with the previously announced cessation of enhanced services billing should not occur until later this year, and accordingly, the Company continues to believe that the performance for the current financial year will be within the guidance previously issued.
Commenting on this announcement Mr. Carter said, "Since joining BSG in 2004, I have had the distinct privilege to work with the finest employees in the industry and together, we achieved great success over the past eight years. While the Company faces some difficult challenges, I have full faith and confidence in Norm and the management team to once again succeed and position BSG for future growth. I am also pleased to remain with the Company as a member of the board of directors."
The Company's non-executive chairman, Pat Heneghan, said, "Greg has served BSG well in many capacities and I am delighted that he will remain on the board as a non-executive director. We are grateful for his leadership since becoming CEO in 2008."
Mr. Norm Phipps, age 52, is the Managing Partner of Phipps & Company, L.L.C., which is interested in 15,203,860 ordinary shares in the capital of the Company. Mr. Phipps has been a director of Burle Technologies, Inc. within the last five years. There are no further matters to be disclosed pursuant to paragraph (g) of Schedule 2 of the AIM Rules.
Inquiries:
Billing Services Group Limited +1 210 949 7000Greg CarterNorm Phipps
finnCap Limited +44 (0)20 7220 0500
Stuart Andrews
Henrik Persson
BSG Media Relations +1 210 326 8992Leslie Komet Ausburn
About BSG:
BSG is headquartered in San Antonio, Texas, USA and traded on the London Stock Exchange (AIM: BILL). For more information on BSG, visit www.bsgclearing.com.
Forward Looking Statements
This release contains certain "forward‑looking" statements and information relating to the Company that are based on the beliefs of the Company's management as well as assumptions made by and information currently available to the Company's management. When used in this release, the words "anticipate," "believe," "estimate," "expect" and "intend" and words or phrases of similar import, as they relate to the Company or its subsidiaries or Company management, are intended to identify forward‑looking statements. Such statements reflect the current risks, uncertainties and assumptions related to certain factors including, without limitation, competitive factors, general economic conditions, customer relations, relationships with vendors, borrowing arrangements, interest rates, foreign exchange rates, litigation, governmental regulation and supervision, seasonality, product introductions and acceptance, technological change, changes in industry practices, one-time events and other factors described herein and in other announcements made by the Company. Based upon changing conditions, should any one or more of these risks or uncertainties materialize, or should any underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected or intended. The Company does not intend to update these forward‑looking statements.