Coats Regulatory News (COA)

6 Feb 2008 07:00

Guinness Peat Group PLC05 February 2008 Not for release, publication or distribution, in whole or in part, in, into or from the US, Canada or Australia or any jurisdiction where to do so would constitute a violation of the laws of such jurisdiction. 05 February 2008 Increased Cash Offer by Strand Partners Limited on behalf of GPG Acquisitions No. 5 Limited (a wholly owned subsidiary of Guinness Peat Group plc) for the entire issued and to be issued ordinary share capital of NEWBURY RACECOURSE PLC Further re: Lapsing of the Increased Offer GPG announced earlier today that its Increased Offer for Newbury Racecourse hadlapsed. As Newbury Shareholders will be aware from the various GPG documents,the motivation behind the Original Offer was to protect GPG's investment, giventhe Newbury Board's intention of entering into the proposed joint venture withDavid Wilson Homes Limited ("DWH") for a 10 year property redevelopment. As adirect result of GPG's offer Shareholders have been provided with a substantialamount of information which the Newbury Board would otherwise not have madepublic. The level of acceptances for the Increased Offer, together with theNewbury shares held by GPG, indicate that at least 35% of the Company has severedoubts in respect of the DWH contract, significantly more than the approximately22% of the Shares represented by the Newbury Board. Given this, GPG has served a requisition on the Company requesting that theNewbury Board call a meeting of Shareholders (i) in line with best practicecorporate governance for such a material transaction, to consider the proposedDWH contract; and (ii) to consider resolutions proposed by GPG for thereconfiguration of the Newbury Board so that Shareholder nominees occupy four ofnine board seats. Newbury has obtained a written commitment from DWH which wouldenable the Company, at any time up to July 2008, to enter into a contract forthe residential redevelopment. Nonetheless, GPG believes that little purpose isserved by the Newbury Board delaying such a meeting and calls upon it to convenean Extraordinary General Meeting forthwith. Commenting on the Increased Offer Blake Nixon, Chairman of GPG Acquisitions,said "We are pleased with the scrutiny that has been applied to the DWH contractand the level of support which has come about as a result of our offer. The DWHsaga, together with the support we have garnered, raise serious issues regardingthe Newbury Board's mandate as custodian of the Company's assets. We lookforward to the owners of the business making their decision at the ExtraordinaryGeneral Meeting on the appropriate way forward for Newbury Racecourse". Enquiries: GPG Acquisitions No. 5 Limited Tel: (020) 7484 3370Blake Nixon, Director Strand Partners Limited Tel: (020) 7409 3494Simon Raggett Citigate Dewe Rogerson Tel: (020) 7638 9571Kevin Smith Strand Partners Limited, which is authorised and regulated in the United Kingdomby the Financial Services Authority, is acting exclusively for GPG Acquisitionsand no one else in connection with the Increased Offer and will not beresponsible to anyone other than GPG Acquisitions for providing the protectionsafforded to customers of Strand Partners, or for providing advice in relation tothe Increased Offer or in relation to the contents of this announcement or anytransaction or arrangement referred to herein. This announcement does not constitute, or form part of, an offer to sell orpurchase or an invitation to purchase or subscribe for any securities or thesolicitation of an offer to sell, purchase or subscribe for any securities,pursuant to the Increased Offer or otherwise. This information is provided by RNS The company news service from the London Stock Exchange