Johnston Press PLC Regulatory News (JPR)

21 Jun 2005 07:08

Johnston Press PLC21 June 2005 For Immediate Release 21 June 2005 Johnston Press plc Acquisition of Score Press Limited The Board of Johnston Press plc ("Johnston Press") announces today that it hasentered into an agreement with EMAP plc ("EMAP") to acquire from EMAP theinterest EMAP will acquire in the share capital of Score Press Limited ("ScorePress"), conditional upon completion of the recommended offer, announced today,by EMAP for the entire issued and to be issued share capital of Scottish RadioHoldings plc ("Scottish Radio") not already owned by EMAP. Score Press, which is currently owned by Scottish Radio, publishes 45 localweekly newspapers in Scotland, Northern Ireland and the Republic of Ireland. Ofthese newspapers, there are 16 in Scotland, 24 in Northern Ireland and five inthe Republic of Ireland. Key assets include Morton Newspapers in NorthernIreland, Kilkenny People Holdings, Leitrim Observer and Longford Leader in theRepublic of Ireland and Angus County Press, Galloway Gazette and StornowayGazette in Scotland. In the last financial year to 30 September 2004, ScorePress reported revenues and operating profit of £35.1 million and £11.2 millionrespectively. As at 30 September 2004, Score Press had net assets of £55.5million. On 19 May 2005 Scottish Radio announced its interim results for the sixmonths to 31 March 2005. These reported Score Press revenues of £18.7 millionand operating profit of £6.1 million, up by 7% and 15% respectively on the sameperiod in the prior year. Under the terms of the agreement with EMAP, Johnston Press has agreed to acquireScore Press for an aggregate cash consideration of £155 million on a cash anddebt free basis. This consideration will be satisfied from Johnston Press'banking facilities. Johnston Press believes that Score Press represents an attractive andcomplementary addition to Johnston Press' existing portfolio. In addition tostrengthening Johnston Press' focused regional newspaper franchise in theconsolidating UK market, the transaction will establish a strong presence forJohnston Press in well-established and profitable markets in both NorthernIreland and the Republic of Ireland. The acquisition will also provideopportunities for operational and purchasing synergies. Johnston Press expects that the acquisition of Score Press will be earningsenhancing (excluding the impact of acquisition related exceptional items) in thecurrent financial year. PRESS ENQUIRIES Johnston Press plc 0131 225 3361Tim BowdlerStuart Paterson Buchanan Communications 020 7466 5000Richard Oldworth This information is provided by RNS The company news service from the London Stock Exchange