ISG.L Regulatory News (ISG)

23 December 2015

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN, INTO, OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF THAT JURISDICTION

ISG plc ("ISG")

POSTING OF RESPONSE TO OFFER DOCUMENT AND PUBLICATION ON WEBSITE

ISG plc announces that it has today posted to shareholders its circular (the "Circular") explaining why it believes shareholders should reject the offer from Cathexis UK Holdings Limited ("Cathexis") at 143p per share (the "Offer").

The key points made in the Circular are as follows:

· Cathexis' inadequate Offer fails to reflect the recent growth and future potential of ISG's core fit out businesses.

· Cathexis is an astute investor which has bought its ISG shares at times when the share price has been low and now sees further value in ISG shares at shareholders' expense.

· Cathexis is not paying an adequate premium for control of ISG and the dividend is at risk if it seizes control of ISG.

ISG rejected an indicative offer proposal from Cathexis in June 2015. Since then the prospects for ISG's core fit out businesses have strengthened.

The Board unanimously rejects the Offer and recommends all shareholders do the same and take no action in respect of their shareholding.

The Circular is available to view at http://investors.isgplc.com/

Enquiries:

ISG plc

Numis

Disclaimer

Numis Securities Limited, which is authorised and regulated in the United Kingdom by the Financial Conduct Authority, is acting exclusively for ISG and no one else in connection with the Offer and the contents of this announcement and will not be responsible to anyone other than ISG for providing the protections afforded to its clients nor for providing advice in connection with the Offer or any matter referred to herein.

Publication on Website

A copy of this announcement will be available on the Company's website (www.isgplc.com) by no later than 12 noon (London time) on 24 December 2015.The content of the website referred to in this announcement is not incorporated into and does not form part of this announcement.

Responsibility statement

The Directors of ISG accept responsibility for the information contained in this announcement. To the best of the knowledge and belief of the Directors, who have taken all reasonable care to ensure such is the case, the information contained in this announcement is in accordance with the facts and does not omit anything likely to affect the import of such information.