K3 Business Technology Group Regulatory News (KBT)

1 Feb 2007 17:01

SiRViS IT PLC01 February 2007 SiRViS IT plc Approach to acquire SiRViS IT plc Date: 1 February 2007 SiRViS IT plc ("SiRViS IT" or the "Company") announced on 11 December 2006 thatit is in receipt of an approach from K3 Business Technology Group PLC ("K3") toacquire the Company at a price of 4p per share, subject to certainpre-conditions and assumptions, one of which was a Board recommendation. The Board and its advisers have evaluated the approach and taken soundings fromshareholders holding a significant percentage of the issued share capital of theCompany. In addition K3 have been given the opportunity to conduct due diligenceon the Company. K3 accepted this opportunity and has now concluded its review. The Board believes that the approach by K3 is wholly opportunistic andsignificantly undervalues the Company. Accordingly the Board has today advisedK3 that it would not recommend an offer at a cash price of 4p per share. This new information is drawn to the attention of the Company's shareholders asit may have a bearing on both the likelihood of K3 announcing a firm intentionto make an offer at all or on the terms including the price outlined in theapproach. This announcement is made with the approval of the Board of the Company, but wasnot made with the agreement or approval of K3. There can also be no certaintythat an offer will be made nor as to the terms on which any offer might be made. Further announcements will be made in due course. Enquiries: Peter Addison 07831 107850 SiRViS IT plc Chairman John Simpson 020 7512 0191 ARM Corporate Finance Ltd Nominated Adviser The Directors of the Company accept responsibility for the information containedin this announcement. To the best of the knowledge and belief of the Directorsof the Company (who have taken all reasonable care to ensure that such is thecase), the information contained in this announcement for which they acceptresponsibility is in accordance with the facts and does not omit anything likelyto affect the import of such information. ARM Corporate Finance Limited, which is regulated in the United Kingdom by theFinancial Services Authority, is acting as financial adviser to the Company inrelation to the matters referred to in this announcement and no one else andwill not be responsible to anyone other than the Company for providing theprotections offered to clients of ARM Corporate Finance Limited nor forproviding advice in relation to the matters referred to in this announcement. Updates on the Company's activities are regularly posted on its websitewww.sirvisit.co.uk This information is provided by RNS The company news service from the London Stock Exchange