PipeHawk Regulatory News (PIP)

17 Mar 2006 07:00

EMBARGOED: NOT TO BE RELEASED UNTIL 7.00AM ON 17 MARCH 2006 PipeHawk plc ("the Company") Acquisition of QM Systems Limited The Company announces that it has entered into a conditional agreement toacquire the entire issued share capital of QM Systems Limited ("QM") for aconsideration of 3,250,000 new Ordinary Shares in the Company, which are valuedat ‚£747,500, based on the closing middle market price of the Company's shareson 16 March, 2006. The acquisition agreement is conditional on Admission of thenew Ordinary Shares to trading on AIM.QM is a test solutions company whose principal customer is Smiths Aerospace,for whom it is acting on a long term outsourcing agreement to design and supplytest solutions in connection with the Joint Strike Fighter programme.In the year ended 31 July, 2005 QM achieved a profit before taxation of ‚£229,374 on turnover of ‚£2.05 million. At that date it had net liabilities of ‚£35,087.The Company intends to apply QM's technology to assist in the development ofthe operational landmine detection vehicle through to production, a grantapplication for which has been submitted to the European Union.Application will be made for 3,250,000 Ordinary Shares to be admitted totrading on the AIM Market and dealings are expected to commence on 23 March,2006.For further enquiries please contact:PipeHawk plc Telephone: 01420 590990 Gordon Watt 07836 609370 ENDPIPEHAWK PLC