Acquisition

11 April 2011

Cello Group plc

Acquisition of Red Kite Consulting Group

Cello Group plc (AIM: CLL, "Cello", or "the Group"), the insight and strategic marketing group, announces the acquisition of Red Kite Consulting Group Limited ("Red Kite").

Red Kite is a UK based consultancy business which serves the pharmaceutical sector, advising on marketing strategy and market access issues. The business was founded in 1999 and clients include Abbott, Astellas, Bayer, Bristol-Myers Squibb, Pfizer, Roche, Sanofi-Aventis and Shire.

Red Kite will merge with Cello's existing pharmaceutical consulting business, MSI, and Jonathan Dancer, the founder of Red Kite, will join the Board of MSI as Managing Partner.

In March 2011, Cello announced the acquisition of MedErgy HealthGroup Inc., to serve as its primary US partner company servicing the US pharmaceutical market. The acquisition of Red Kite further accelerates Cello's focus on the pharmaceutical and health market and is consistent with its aim of becoming a leading global health services company.

Stephen Highley, Group Corporate Development Director for Cello, commented:

"Red Kite is a well established brand in the pharmaceutical space and this acquisition further reinforces our strong position in the healthcare market. We are looking forward to building on the exciting progress we are making in establishing Cello as a leading player in healthcare marketing globally."

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