30th Jun 2005 07:00
Intellego Holdings PLC30 June 2005 FOR IMMEDIATE RELEASE 30 June 2005 Intellego Holdings PLC ("Intellego" or "the Company") Acquisition and placing. The Board of Intellego is please to announce that today it has entered into anagreement effective 1st July 2005 to acquire the entire ordinary share capitalof Modinex Limited (Modinex) a UK based SAP training and implementationconsultancy for up to 5,000,000 new Intellego ordinary shares (shares). TheCompany also announces that HB Corporate has placed 2,100,000 new OrdinaryShares of 0.5p at 5p raising £105,000 before expenses. The funds raised are toprovide additional working capital for the enlarged Intellego business. Commenting on the transaction Edward Arnett Chief Executive of IntellegoHoldings said "Today's development enables Intellego to provide a more complete service-basedsolution for training in the SAP arena. On 29 June 2005 we announced that we hadsecured the exclusive UK and Irish distribution rights to an industry leadingSAP training solution from Team Trainer Net GmbH (TTN). By amalgamating thetechnology from TTN, with the requisite SAP expertise via our acquisition ofModinex we have opened up a point of entry into the SAP training market. Ourresults for the period ended 31st March 2005 demonstrated that we could win newcustomers and expand within our existing customers to maintain strong organicsales and margin growth. Today's announcement increases our capability in ourchosen markets of big-ticket software application training and workforcecompetency measurement. Consequently, in our opinion, we have enhanced thefuture value of our strategically available markets." Acquisition of Modinex Intellego has acquired the entire issued ordinary share capital of Modinexeffective 1st July 2005, largely on a deferred and contingent basis valuingModinex at £269,000 at yesterday's closing market price of 5.38p for Intellego'sordinary shares. 100,000 shares will be paid at completion. The balance of theconsideration for the transaction which is deferred and contingent upon thefuture performance of Modinex, will not exceed a further 4,900,000 shares andwill be paid in two tranches; up to 2,640,000 shares based upon performance inthe nine month period to 31st March 2006 and up to 2,260,000 shares in thesubsequent six month period to 30th September 2006. Modinex was founded by Mr Jaco Stander who previously worked for DeloitteConsulting as a SAP Managing Consultant in London and South Africa, where heconsulted on client engagements with various international businesses including;Vodafone, De Beers and Rio Tinto. Modinex started trading in September 2003 and focuses on the provision of SAPimplementation project consultancy and training services. In the eighteen monthperiod to 31 March 2005 Modinex achieved unaudited sales of £239,328 andearnings before tax of £138,408. Post acquisition Modinex will change its name to Intellego Technology TrainingServices Limited (Intellego TTS) and focus on winning SAP training projects inthe UK market using solutions which are based upon the TTN software simulationand user documentation tools and the products from Intellego's other keyvendors; XStream Software and Net Dimensions. Placing of Intellego Holdings Ordinary Shares The Company also announces that HB Corporate has placed 2,100,000 OrdinaryShares of 0.5p at 5p raising £105,000 before expenses. The funds raised willused to provide working capital for the enlarged Intellego business. Application has been made to the London Stock Exchange for the Placing andAcquisition shares, which will rank pari passu with the existing shares in issueto be admitted to AIM, and admission is expected to become effective onWednesday 6th July 2005. Contacts: Edward Arnett, Intellego Holdings Plc Tel : 0870 428 1250www.intellego-holdings.com Laurence Read / Leesa Peters Tel: 0207 618 8760Conduit PR Notes to Editors Intellego is a training and support services business and retailer of e-Learningcomputer software. It addresses the market sectors of; enterprise applicationstraining and high-risk workforce competency measurement. Intellego aims toprovide its solutions predominantly to large commercial and governmentalorganisations employing large workforces where there is a commitment to usinge-Learning in order to modernise and reduce the cost of workforce training. Its solutions are based upon a suite of award-winning software technologies,which are available exclusively in the UK and Ireland from Intellego. The powerof the majority of Intellego's solutions is derived from their utilisation ofprogramming-free technology. This has the potential to simplify, save time andthereby reduce costs in the courseware development process. Examples of trainingmaterials that can be produced using Intellego's solutions are:-e-Learningcourses based upon software simulations, skills assessments that establishreal-world software competence and in-application user guidance Solutions provided by Intellego may also be applied to meet the requirements oforganisations that wish to develop proprietary e-Learning courses, tests andassessments in non IT areas such as:- product information and demonstrations,regulatory compliance, internal policies and procedures etc and Helpdesksupport. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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