Wynnstay Regulatory News (WYN)

7 Aug 2006 07:01

Wynnstay Group PLC07 August 2006 Wynnstay Group plcWYN.L Wynnstay Group Plc Acquisition of Glasson Group (Lancaster) Limited Wynnstay Group plc ("Wynnstay"), the agricultural and retail group, is pleasedto announce the acquisition of the entire issued share capital of Glasson Group(Lancaster) Limited ("Glasson Group" ), for a total consideration of £2.5m,satisfied by £2.0m in cash on completion and £0.5m in secured loan notes, dated4 August 2008. Established in 1977 and based at Glasson dock, near Lancaster, Glasson Group isinvolved in the importation, shipping and trading of animal feed materialstogether with fertiliser blending and the manufacture of pet and specialityproducts. In the year ended 31 May 2005, Glasson Group generated sales of £36.3mand operating profits of £261,000. For the year ended 31 May 2006, the GlassonGroup is expected to have performed similarly to the previous year. The acquisition is in line with Wynnstay's stated strategy of acting as aconsolidator within the agricultural supplies industry, whilst at the same timedeveloping its joint venture activities. Glasson Group complements theactivities of Wynnstay's Arable and Feeds Divisions as well as the activities ofsome of its joint ventures. It also widens Wynnstay's geographic reach adding anew customer base that extends throughout the North of England to the South ofScotland. The directors of Wynnstay consider, having consulted with its Nominated Adviser,WH Ireland Limited, that the terms of the transaction are fair and reasonableinsofar as its shareholders are concerned. John Davies, Wynnstay's Chairman, commenting on the purchase, said, "Malcolm Lowe, the founder and chairman of Glasson Group, has developed asuccessful, well managed business over a number of years. The business fits well with Wynnstay's activities and we look forward to workingclosely with the management at Glasson to develop the business further in thefuture." Enquiries: Wynnstay Group plc Bernard Harris, Managing Director T: 01691 828512 Paul Roberts, Finance Director Biddicks Katie Tzouliadis T: 020 7448 1000 WH Ireland Limited David Youngman T: 0161 832 2174 This information is provided by RNS The company news service from the London Stock Exchange