HMLH.L Regulatory News (HMLH)

10 Aug 2007 10:41

HML Holdings PLC10 August 2007 HML Holdings Plc ("HML" or "The Company") Acquisition of WA Ellis Property Management Limited HML Holdings Plc (AIM: HMLH) a leading provider of property management,insurance and ancillary services to residential property blocks, is pleased toannounce that it has acquired the business and assets of WA Ellis PropertyManagement Limited ("WAEPML"), a subsidiary of the Knightsbridge based WA EllisLLP, for a total consideration of £1.3 million. The consideration will besatisfied in cash and by the issue of 481,481 new ordinary shares of 1.5p in HMLat a price of 27p per share. Of the total consideration, 10% has been deferredand will be payable, in cash, 12 months after completion. HML recently raised£1.9 million by way of an institutional placing. WAEPML management accounts indicate revenues of approximately £869,000 withpre-tax profits of £123,000 for the year ended 30 April 2007. It is the thirdacquisition HML has made since the Company's AIM flotation last year and isexpected to be immediately earnings enhancing. The acquisition forms part ofHML's ongoing expansion programme, providing the Company with a strengthenedpresence in Central London. It also provides the Company with a platform fromwhich it can source new business opportunities. WA Ellis LLP is an independent firm of Estate Agents and Surveyors, establishedin 1868. It specialises in all aspects of residential property within PrimeCentral London, offering a range of services to both private and corporateclients, vendors, purchasers, relocation agents, tenants, landlords, investorsand developers. The firm has recently been expanding its reach throughoutKnightsbridge, Mayfair, Belgravia, Chelsea, Kensington and Notting Hill, and thepartners will use the acquisition capital to open new offices in the area. WAEPML's current portfolio consists of over 2,000 units under management,situated mainly in Central London. These range from intensively served apartmentblocks and prestigious new developments, to luxury mansion blocks and periodconversions. The team of experienced property managers, who will join theexisting HML team, act for institutional clients and property developers, aswell as many Residents' Management Companies, offering a service of the highestquality. Commenting on the acquisition, Rob Plumb, Chief Executive of HML, said: "Thisacquisition is of significant importance to HML for a number of reasons. Firstlyit complements our existing services in London, cementing our position as one ofthe leading property management service businesses operating in West and CentralLondon. Furthermore, the acquisition is an excellent fit within our existingbusiness infrastructure and property service offerings. The HML Group offers anextensive range of ancillary services such as building surveying, buildings andrelated insurance, health and safety inspections and company secretarialmanagement. We are also pleased that we will be maintaining an ongoingrelationship with WA Ellis LLP to ensure that our clients - current and future -continue to receive a quality and comprehensive service." Mark MacKenzie-Charrington, Partner of WA Ellis LLP, added: "We took a greatdeal of time and care to identify the right purchaser for the business. Theneeds of our customers and staff were foremost in our minds. Key to our decisionmaking process was finding a buyer with a strong reputation within the industryfor providing the highest standard of customer care. We feel we have found thisin HML and are looking forward to contributing to the success of the group as awhole." For further information please visit www.hmlholdings.com or www.waellis.co.uk HML Holdings Plc 020 7352 5179Richard Smith. Executive ChairmanRobert Plumb, Chief Executiveinfo@hmlholdings.com WA Ellis LLP 020 7306 1651Mark MacKenzie-Charrington, Partnermcharrington@waellis.co.uk Tavistock Communications 020 7920 3150John West / Paul Youngjwest@tavistock.co.uk Smith & Williamson Corporate Finance Limited 020 7131 4000Azhic Basirov / Siobhan Sergeant This information is provided by RNS The company news service from the London Stock Exchange