Lms Capital Regulatory News (LMS)

29 Jun 2007 16:04

LMS Capital PLC29 June 2007 29th June, 2007 LMS Capital invests in Brockton Capital LMS Capital plc, ("LMS Capital" or "the Company"), the AIM-quoted investmentcompany with stakes in public and private UK and US companies and funds, todayannounces the acquisition of a 16.7% interest in Brockton Capital Fund 1 LP("Brockton Capital"), a real estate opportunity fund, and a 9% interest in theBrockton Capital management company (together, "Brockton"), from Derwent Londonplc ("Derwent") for £7.9 million in cash. Derwent acquired the asset as part ofits merger with London Merchant Securities plc. LMS Capital typically invests in companies and sectors that have the potentialfor superior growth over the medium to long term and where management hasextensive prior investment experience. These include the following sectors:Energy, Applied Technology, Media & Leisure and Healthcare & Medical. As statedpreviously by the Board, LMS Capital has been looking for opportunities in newsectors, in particular real estate where management has a strong track record. Brockton Capital was established in 2005 by property entrepreneurs David Marks(formerly of Blackstone) and Jason Blank (formerly of Merrill Lynch) and hasfunds under management of £135 million. The book value of Derwent's investmentin Brockton was £6.9 million as at March 2007 and the pre-tax loss attributableto it in the 10 months to 31 December 2006 was £174,000. The outstanding capitalcommitment is approximately £16 million, which has been assumed by LMS Capital. As a result of Robert Rayne's position as Chief Executive of LMS Capital andChairman of Derwent and his family's substantial interests in LMS Capital andDerwent, the acquisition of the stake in Brockton is a related party transactionunder the AIM Rules. The LMS Capital directors (with the exception of RobertRayne), having consulted with N M Rothschild and Sons Limited, consider theterms of the transaction to be fair and reasonable insofar as LMS Capital'sshareholders are concerned . # Ends # For further information please contact: LMS Capital plc 020 7935 3555Robert Rayne, Chief Executive OfficerMartin Pexton, Managing DirectorTony Sweet, Chief Financial Officer Brunswick Group LLP 020 7404 5959Simon Sporborg / Anisha Patel N M Rothschild & Sons Limited 020 7280 5000Duncan Wilmer About LMS Capital LMS Capital plc is an independent investment company whose shares are traded onAIM. The investment portfolio comprises investments in both the US and UK, witha spread of early stage and second round technology investments, developmentcapital and mature company buy-outs. This information is provided by RNS The company news service from the London Stock Exchange