Last checked at 17 Mar 2010 07:00
Leeds Group Plc
("Leeds Group" or the "Company")
Related Party Transaction
Hemmers-Itex Textil Import Export GmbH ("Hemmers"), the principal trading subsidiary of Leeds Group, operates from premises in Nordhorn, Germany that are partly leased and partly owned by Hemmers. The leased part of the premises is jointly owned by Jörg Hemmers, Managing Director of Hemmers, and another individual, and the existing 5 year lease is due to end on 30 April 2010.
Hemmers has agreed to enter into a new 5 year lease effective 1 May 2010 on the same terms as the previous lease agreement, including an option for Hemmers to renew thereafter on terms yet to be agreed. The unchanged rental is €18,000 per month (net of any value added tax). In common with leases of this type, Hemmers is also responsible for the service charge and some maintenance of the building as well as holding appropriate insurance policies.
In accordance with the AIM Rules, the Directors of Leeds Group, having consulted with the Company's Nominated Adviser, Seymour Pierce Limited, consider that the terms of the lease renewal are fair and reasonable insofar as the Company's shareholders are concerned.
Enquiries:
Ewen Wigley Tel: 0113 391 9000
Leeds Group plc
David Foreman/Catherine Leftley Tel: 020 7107 8010
Seymour Pierce Limited