10th Jan 2007 07:01
ArmorGroup International plc10 January 2007 ArmorGroup International plc Acquires leading kidnap and extortion consultancy ArmorGroup International plc, the leading international provider of protectivesecurity services, today announces its acquisition of Neil Young Associates(NYA), one of the world's leading specialist kidnap and extortion consultancies,for a maximum consideration of £1 million. Neil Young Associates, which was founded by Neil Young in 1990, operates on aglobal basis and has particular expertise in providing governments,international corporations and private individuals with kidnap and extortion (K&R) prevention, training and response services, as well as other consultancyservices. NYA is a recognised world leader in this highly specialised market,and is an approved K&R consultancy for most of the world's largest insurers andspecialist risks brokers. NYA's exclusively retained consultants come from avariety of backgrounds, including the British Special Forces and intelligenceservices, and have worked on over 180 cases of kidnap for ransom and extortionin many different parts of the world. Kidnapping, detention and extortion are now some of the fastest growing crimesin the developing world, with around 15,000 reported incidents worldwide eachyear. The insurance market relating to K&R is estimated to be valued at around$250 million, based on the annual premiums paid for this service, and growing ataround 10-15% annually. ArmorGroup has agreed to acquire the entire issued share capital of NYA fromNeil Young for an initial consideration of £250,000 in cash. The remainder ofthe £750,000 consideration may be payable in three annual tranches, dependent onthe operating profits of NYA over the relevant period. Neil Young will continueto manage the growth of NYA, which will trade as NYA International Ltd. Dave Seaton, Chief Executive Officer of ArmorGroup, commented: "We are delighted to be announcing the acquisition of NYA which is a first classK&R specialist consultancy. This is a fast growing sector and we believe NYAwill be accretive to earnings in 2007. NYA's excellent reputation and wellestablished track record will ensure that ArmorGroup can meet client demands fortraining, contingency planning and response to the growing threat posed bykidnap and ransom, and makes NYA an important addition to the Group. "While NYA will continue to service its existing client base, it will also havea key role in developing consultancy services for ArmorGroup. This acquisitionwill further diversify the Group's revenue stream, in line with the Group'sstrategy, and will allow us to offer our global client base an even greaterrange of high quality security services. " For further enquiries please contact: ArmorGroup International plc Dave Seaton Chief Executive Officer Tel: +44 (0) 20 7808 5800 Patrick Toyne Sewell Director of Communications Tel: +44 (0) 20 7808 5848 Mob: +44 (0) 7767 498 195 Email: [email protected] Notes to Editors ArmorGroup International plc For over 25 years ArmorGroup has been recognised as a leading provider ofdefensive, protective security services to national governments, multinationalcorporations and international peace and security agencies operating inhazardous environments. ArmorGroup provides protective security services,security consultancy, security training and mine action services. It has 9,000highly trained and experienced employees and operations in 38 countries. Overthe past two years it has supported its clients in over 160 countries across theMiddle East, Africa, North and South America, the CIS and central Asia. ArmorGroup International plc is headquartered in London and listed on the LondonStock Exchange. It complies with the US Foreign and Corrupt Practices Act, 1997and the UK's Anti-Terrorism, Crime and Security Act, 2001 and has also beencertified to ISO 9001:2000 and to ISO/IEC 27001:2005. For more informationplease visit www.armorgroup.com. Kidnap and Ransom special risks • Kidnap & Ransom (K&R) insurance coverage exists for those companies which have international operations, as well as those that have employees who travel overseas. • K&R coverage usually provides companies with a combination of incident prevention and response resources, such as those offered by NYA, along with insurance which offers protection from the impact of ransom and expense payments. • NYA's prevention and response consultancy offers services which include: - Advising clients on contingency planning and response strategy; - Identifying practical options and eliminating impractical alternatives; - Helping clients assess the situation as it develops and reducing the element of risk to the unavoidable minimum; - Advice on liaison with the local and international authorities; - Providing advice on caring for the victim's family or dependants; - Advice on media relations policy. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
ARG.L