29th Mar 2007 07:04
RPS Group PLC29 March 2007 RPS GROUP PLC("RPS" or "the Group") Acquisition of Geocon Group Services Ltd and the business and certain assets ofGeocon International Ltd, together known as "Geocon". RPS announces the acquisition of Geocon, a leading provider of consultancyservices to the oil and gas industry on an international basis. Geocon was established in 1982 and provides geological consultancy services tothe international oil and gas industry. From its operating base in the UK itundertakes projects for major oil and gas companies worldwide. The consultingservices that Geocon provides fit well with those that RPS currently offers itsclients, expanding both the range of services and the depth of resources thatRPS can deliver. The Geocon management team and staff are remaining with RPSand the Geocon business will become part of RPS's fast growing energyactivities. In the year ended 31 December 2006 Geocon had revenues of £7.8 million andprofit before tax of £1.0 million. Net assets at 31 December 2006 were £0.95million. RPS is acquiring the shares of Geocon Group Services Ltd, the Geocon UK holdingcompany and the business and certain assets of Geocon International Ltd, theinternational business, for a maximum total consideration of £6.35 million. Thevendor is Geocon Holdings Ltd, a Gibraltar registered company which, oncompletion, changed its name and ceased activity in the energy market.Consideration paid at completion was £1.9 million in cash, together with 511,726new RPS shares priced at 310.23 pence, valued at £1.6 million. Subject tocertain operational conditions being met, a further £0.95 million in cash willbe paid on each of the first, second and third anniversaries of the transaction. Alan Hearne, Chief Executive of RPS commented: "We see the acquisition of Geocon as an excellent opportunity to develop furtherour energy business. The depth of the Geocon resources, when added to those ofRPS Energy, will provide excellent support to our clients when the need for highquality professional advice in the world's oil and gas companies has never beengreater." 29 March 2007 RPS is an international consultancy providing advice upon the development ofnatural resources, land and property, the management of the environment and thehealth and safety of people. We trade in the UK, Ireland, the Netherlands,North America and Australia and undertake projects in many other parts of theworld. ENQUIRIESRPS Group plcDr Alan Hearne, Chief Executive Tel: 01235 863 206 College HillMatthew Smallwood Tel: 020 7457 2020 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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