Offer Talks Terminated

26 Sep 2005 15:41

Sanctuary Group PLC26 September 2005 26 September 2005 The Sanctuary Group plc WITHDRAWAL FROM OFFER DISCUSSIONS The Board of The Sanctuary Group plc (the "Company") today announces thatfollowing a review of the discussions to date regarding a possible offer for theCompany, it has decided to withdraw from all remaining discussions with thirdparties who had previously expressed an interest. As announced on 21st September 2005, the Board is finalising a fundamentalreview of the business. This review addresses, inter alia, worldwide coststructures, the performance of revenue generating assets, premises andaccounting policies. Without compromising our high level of service and commitment to our artists andcustomers, the Company intends to make further additional and substantialannualised costs savings that will be implemented by the financial year-end. The Board continues to enjoy the support of its bankers. Executive Chairman, Andy Taylor commented. "As I stated last week, I am totally focused on repairing the short-term damageto what is fundamentally a robust business. We will be restructuring ourbusiness and supporting our artists throughout. The Board is are determined to steer the Company, which has an extremely strongroster of artists, and a strong 30-year track record, back to a profitabletrading position and back to sustainable long term growth." Ends For further information, please contact: Andy Taylor, Executive Chairman 0207 602 6351 Mike Miller, Finance Director 0207 602 6351 Philip RangerDirector, Corporate & Investor Relations The Sanctuary Group plc 07768 534641/ 020 7300 1323 Paul Downes Merlin 07900 244888/ 020 7653 6620Eddy LevitenHead of Corporate Communications The Sanctuary Group 020 7300 6542 This information is provided by RNS The company news service from the London Stock Exchange