Wynnstay Regulatory News (WYN)

13 Dec 2007 07:02

Wynnstay Group PLC13 December 2007 WYN.L13 December 2007 WYNNSTAY GROUP PLC ("Wynnstay" or "the Group") Acquisition of Two New Stores Wynnstay, the agricultural supplies and rural retail business, is delighted toannounce that it has acquired the goodwill and certain assets of Wrekin CountryStores ("Wrekin"). Wrekin has two stores in attractive retail locations, in Wellington, nearTelford, and Stafford. Each store sells a range of agricultural requisites,gardening, equine and pet products, as well as rural clothing, to both farmersand the wider rural community. As such, they represent an excellent fit withWynnstay's existing country store format. For the year to 31 May 2007, thebusiness generated a turnover of £1.6m. Wynnstay currently has 27 stores which cater for the farming and ruralcommunity, located across North & Mid-Wales, Shropshire, Staffordshire,Hereford, Worcestershire and Lancashire. The addition of these two new storesstrengthens the Group's presence in the Border counties. The Group has a strong history of successfully integrating retail acquisitions,with the introduction of its strategy historically driving margin improvementsat acquired stores. The Group believes that there is excellent potential forgrowth at both stores and following the acquisition, intends to introduceimproved purchasing, marketing and product offering in line with the practicesin place at existing stores. The initial consideration is £7,000 with a deferred consideration elementdependent on certain performance criteria for the two years followingcompletion. As part of the transaction, Wynnstay will acquire stock worthapproximately £260,000 and other assets of £32,500. Commenting on the acquisition, Bernard Harris, Managing Director of Wynnstaysaid, "Wynnstay has in-depth experience of the retail market, with 27 country storesin Wales and the Border counties, and an excellent track record in integratingnew stores. We are confident that we can use our expertise to maximise both stores'potential and we look forward to working together to grow the business." Press enquiries: Wynnstay Group plc Bernard Harris, Managing Director T: 01691 828512 Paul Roberts, Finance Director Biddicks Katie Tzouliadis T: 020 7448 1000 This information is provided by RNS The company news service from the London Stock Exchange