WTG.L Regulatory News (WTG)

24 January 2012

Quindell Portfolio Plc

("Quindell" or the "Group")

Agreement with and potential acquisition of Silverbeck Rymer Solicitors

Quindell Portfolio Plc (AIM: QPP.L), the brand extension company and a leading practice provider of consultancy, software and outsourcing in its key markets, is pleased to announce that it will be partnering Silverbeck Rymer in providing a joint outsourcing offering to the UK insurance claim market, in particular the area of personal injury. In addition, the two firms have reached agreement in principle for the acquisition of Silverbeck Rymer by Quindell ("Acquisition"), subject to final legal agreement and approval from the Solicitors Regulation Authority ("SRA").

Silverbeck Rymer is one of the UK's top five legal services firms, operating primarily in the area of personal injury. During 2011, Quindell worked with Silverbeck Rymer to develop a market leading proposition for both the direct market and as a partner to any major brand, and Silverbeck Rymer is already a provider of a significant volume of business to the Group's insurance outsourcing operations.

The proposed Acquisition, which values Silverbeck Rymer at £19.31 million, will be satisfied by the payment of £10.25 million in cash and the issue of up to 120.8 million Quindell shares (equating to a value of 7.5p per new Quindell share), which will be subject to lock in arrangements ranging from 12 to 36 months. The Group has recently been offered a number of opportunities to raise additional debt in order to facilitate its expansion plans and the enlarged Group is expected to have sufficient facilities, coupled with internally generated cash, to meet the cash payment.

In the year to 30th April 2010, Silverbeck Rymer reported profits before tax of approximately £6 million, with business continuing to trade positively to the current day. As such the Directors expect that the Acquisition will be immediately and significantly earnings enhancing. Its most recently available management accounts show net assets of circa £8m million.

The Acquisition will be one of the first instances in the UK of a legal practice being acquired by a quoted plc and will require approval from the SRA. This clearance is expected to take a number of months and the vendors have granted Quindell the exclusive right to acquire Silverbeck Rymer until 31 December 2012, even in the event that a higher valued bid is received, to allow time for the process to complete.

Rob Terry, Chairman and Chief Executive of Quindell said:

"We are delighted to have reached an agreement, which represents a significant opportunity for everyone involved. Quindell will provide Silverbeck Rymer with the opportunity to grow through giving access to the Group's industry contacts and technology expertise, whilst partners and shareholders can share in the benefits of participating as holders of Quindell's equity.

Silverbeck Rymer is a robust business and performs well in its own right, however the combination of Quindell, Silverbeck Rymer and Mobile Doctors together represents a significant opportunity for us to address the issues faced by the insurance industry within one of its three key areas of claims leakage: personal injury. We look forward to continuing to work with the management at Silverbeck Rymer on their brand initiatives, and announcing in due course that we have concluded the formal agreement and obtained the necessary regulatory clearances to complete the acquisition at the earliest opportunity."

Jim Rymer, Chairman of Silverbeck Rymer said:

"We see significant benefits in being part of the enlarged group. Quindell has a rapidly growing presence in the insurance space and we firmly believe in its non-conflict approach to working with insurers. Its positioning as thought leader and belief in improving margins whilst lowering costs for the industry sits well with our philosophies of working alongside insurers to help combat fraud and other areas of cost escalation, whilst being an active promoter of fairness and protector of consumer rights and championing industry change."

For further information:

Notes to Editors:

About Quindell Portfolio Plc

Quindell, the Brand Extension Company, helps its clients and partners to utilise their brands enabling them to achieve greater sales, provide better service and extend the brand into new product offerings and alternative routes to market.

The Group works with over 2,000 brands from SMEs to blue-chips around the globe, with solutions applying to the following Sectors & related Supply Chains:

·; Telecoms, Utilities, Retail & E-commerce

·; Finance, Insurance, Health & Legal Services

·; Government & Public Sector

Quindell Portfolio joined the market through Mission Capital Plc. The Group was readmitted to the market on 17 May 2011 following the acquisition of Quindell Limited. On 18 July 2011, the Company was renamed Quindell Portfolio Plc. In December 2011, Mobile Doctors Group Plc was acquired increasing run-rate revenue to over £50 million and staff levels to over 600 including our off-shore capability.

Our Solutions

In addition to extending our clients' brands, Quindell's solutions are focused on generating improvements in efficiency and effectiveness in sales and service transactions with savings of over 20% against industry norms achieved.

Our Consultancy drives the business transformation for our clients, and is supported by leading edge technology, outsourcing, membership schemes and social media via repeatable solutions.

Our Software provides cloud based industry solutions to deliver the necessary framework to meet online, office and field based sales and service expectations of our clients and their customers.

Our "Sales" Technology Enabled Outsourcing leverages our own Business & Home Advisory Service brands to provide a White Labelled proposition for partners to extend into offerings for Telecoms, Utilities, Finance, Insurance, Health and Legal Services.

Our "Service" Technology Enabled Outsourcing covers a broad range of solutions and in insurance, already recognised as a market leader for independent medical evidence via a panel of circa 2,500 medical experts providing circa 11% of reports for UK Personal Injury claims.

For further information, please visit www.quindell.com