European Metals Holdings Regulatory News (EMH)

12 Jun 2006 07:28

European Motor Hldgs PLC12 June 2006 EUROPEAN MOTOR HOLDINGS plc ("EMH") ACQUISITION OF NEW DEALERSHIP The Board of EMH is pleased to announce the acquisition on 9 June 2006 of thebusiness and certain assets of the St Helens Land Rover dealership of theHartwell group in St Helens. The fixed assets, stocks and certain liabilities of the dealership have beenacquired for a net consideration of £0.5 million, satisfied in cash. The assetshave been acquired at valuation or book value and the consideration includes apayment for goodwill of £0.4 million. In addition, the EMH Group has enteredinto a short term lease of the dealership's existing property from the Hartwellgroup. The unaudited management accounts of the dealership for the year ended 30November 2005 showed a profit before taxation of £142,000 on a turnover of £15.7million. Commenting on the acquisition, Richard Palmer, Chief Executive of EMH, said: "This is a very good acquisition for EMH. The expansion of our Land Roverfranchises is part of our declared strategy for the Group and the location ofthe new dealership also represents a good fit with our existing Land Roverbusinesses in Chester and Preston and our other businesses in the North West." Enquiries: Richard Palmer Chief ExecutiveAnn Wilson Finance Director European Motor Holdings plc 01491 413399 This information is provided by RNS The company news service from the London Stock Exchange