PHSC Regulatory News (PHSC)

2 Oct 2008 12:45

PHSC plc Acquisition of Inspection Services (UK) Ltd

PHSC plc, the Aylesford-based provider of health, safety and environmental services to corporate and public sector clients, is pleased to announce the successful completion of the purchase of the entire share capital of Inspection Services (UK) Ltd.

Inspection Services (UK) Ltd is a specialist in the examination of plant and equipment such as lifts and compressors. They offer inspection and certification services throughout the UK, enabling businesses to comply with statutory and non-statutory obligations. Originally formed in 1992, the company derives much of its work from a network of insurance brokers and enjoys a very high level of repeat business. In their last financial year, Inspection Services UK Ltd recorded pre-tax profits of ‚£40,000 on revenues of ‚£221,000.

A consideration of ‚£180,000 has been paid in cash on completion for the goodwill of the business. In addition, approximately ‚£2,000 of non-cash assets will be purchased at fair value and cash assets will be purchased at par. Subject to the new subsidiary achieving pre-tax profits of not less than ‚£ 60,000 in the twelve months following acquisition, a further payment of ‚£25,000 will become due on the first anniversary. All the above payments are funded entirely from PHSC plc's current cash reserves.

Inspection Services (UK) Ltd will operate from PHSC's Aylesford premises.

For further information, please contact:

Stephen KingPHSC plcTel: 01622 717700Ruegg & Co LimitedNominated AdviserGavin BurnellTel: 020 7584 3663