Acquisition

27th Sep 2007 14:39

Gourmet Holdings PLC27 September 2007 27 September 2007 Gourmet Holdings Plc ("Gourmet" or the "Company") ACQUISITION Gourmet, the London restaurant/cafe operator, is pleased to announce theexchange of contracts to acquire Amato, the cafe/patisserie concept based in OldCompton Street, London for £675,000 plus options as detailed below. Theacquisition consists of the leasehold interest in the property that Amatooperates from, associated operational assets, intellectual property andgoodwill. The Amato operational staff are also transferring to Gourmet.Completion is expected to occur in the near future and is conditional onlandlord consent to the lease assignment. The consideration of £675,000 comprises £650,000 in cash and £25,000 of sharesin Gourmet of which £67,500 cash has been paid as a deposit with the balancefalling due upon completion. The vendor, Shirepond Limited, will also be grantedoptions over the ordinary shares in Gourmet to the value of £150,000 that can beexercised at any time between three and six years from the date of completion.The option exercise price and share consideration element will be set at theaverage of the three day mid market closing prices up to and including the daybefore completion. Amato and the associated assets are being acquired at fairvalue and generated unaudited turnover and profit before tax of approximately£925,000 and £90,000 respectively in the year to 31 August 2007. Neil Blows, Chairman, commented: "The purchase of Amato is in line with the new Board's strategy of acquiring/developing a cafe/patisserie concept complementary to the Richoux brand. We willalso utilize the quality authentic Italian cakes and pastries produced by Amatoto supply our Richoux outlets. We are confident that we can develop the Amatobrand further and enhance profitability." EnquiriesGourmet Holdings 020 7491 3791Neil Blows Arbuthnot SecuritiesNick Marsh 020 7012 2000 Paul VanstoneCollege Hill 020 7457 2020Justine Warren This information is provided by RNS The company news service from the London Stock Exchange

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Related Shares:

Richoux Group