Northern Bear Regulatory News (NTBR)

5 Feb 2007 08:57

Northern Bear Plc05 February 2007 For immediate Release 5 February 2007 Acquisition of MGM Ltd Acquisition of residential and commercial property refurbishment specialist The Board of Northern Bear PLC ("Northern Bear" or "the Company") is pleased toannounce the acquisition of MGM Ltd ("MGM"). MGM, based in the North East, is aprovider of specialist services relating to the refurbishment of commercial andresidential property and listed buildings. The directors of Northern Bearbelieve that this acquisition is a good strategic fit for the Company's group. In the year ended 30 April 2006, MGM reported turnover of over £6.4 million, anoperating profit of £116,000 and net assets of £764,000. The consideration to be paid for the entire issued share capital of MGM is £2million ("the Consideration"). The Consideration is to be satisfied by thepayment of £1.3 million in cash from the Company's existing resources and by theallotment of 715,015 Ordinary Shares in the capital of the Company, having anapproximate value of £700,000. These shares will be issued at completion and areexpected to begin trading on AIM on 8 February 2007. As a result of the issue of new shares as part of the Consideration, the issuedshare capital of the Company will now comprise 12,008,034 Ordinary Shares of 1peach, with each share carrying the right to one vote. For further information contact:Northern Bear PLCGraham Forrest, Chief Executive Officer Tel: +44 (0)191 371 2934 Dawnay, Day Corporate Finance LimitedSunil Sanikop Tel: +44 (0) 207 509 4570Jonathan Garbett Tel: +44 (0) 207 509 4570 This information is provided by RNS The company news service from the London Stock Exchange