28th Mar 2008 07:02
RPS Group PLC28 March 2008 RPS GROUP PLC("RPS" or "the Group") Acquisition of Land Management Unit Trust (trading as "Koltasz Smith"). RPS announces the acquisition of Koltasz Smith, a consultancy based in Perth,Western Australia providing town planning and urban design advice to the landdevelopment industry. Koltasz Smith was established in 1984 as a partnership, with its ownership beingtransferred to a Trust the following year. It operates from two offices inWestern Australia, providing town planning and urban design advice to landownersand developers. This is a buoyant market in Western Australia and hasencouraging prospects. Koltasz Smith will be integrated with RPS's existing businesses in Perth. Itsresults will be recorded in the Planning and Development segment of the Groupresults. We expect strong synergies to develop with the part of our existingbusiness which provides environmental assessment and land quality advice tosimilar blue chip clients in Western Australia. The business was purchased from the founder and managing director and five ofhis colleagues who together are the Unit holders of the Trust. They have allsigned service agreements and will be remaining with RPS for at least two years.The other 26 Koltasz Smith staff have also joined RPS and are now engaged inthe combined business going forward. In the year ended 30 June 2007, Koltasz Smith had revenues of A$ 4.8 million(£2.2 million and profit before tax of A$ 1.0 million (£ 0.5 million). Theassets and liabilities of the Koltasz Smith operating business are owned by theUnit holders. RPS is acquiring the assets necessary to ensure the continued operation ofKoltasz Smith, along with certain liabilities, for a maximum total considerationof A$ 6.5 million (£3.0 million) all of which will be paid in cash. A$ 3.9million (£1.8 million) was paid at completion. Subject to certain operationalconditions being met, the balance of the consideration A$ 2.6 million (£1.2million) will be paid, in two equal parts, on 28 March in 2009 and 2010. Brook Land, Chairman of RPS commented: "Our business in Australia is a great success. It demonstrates how we can buildthe full range of RPS services around an offering that originally focussedexclusively on our Energy activities. Koltasz Smith is one of the leadingplanning consultancies in Western Australia and further extends the services weoffer in that market. We anticipate continuing to build all our services inAustralia on a national basis." 28 March 2008 RPS is an international consultancy providing advice upon the development ofnatural resources, land and property, the management of the natural and builtenvironments and the health and safety of people. We trade in the UK, Ireland,the Netherlands, Poland, North America, South East Asia and Australia andundertake projects in many other parts of the world. ENQUIRIES RPS Group plcDr Alan Hearne, Chief Executive Tel: 01235 863 206Gary Young, Group Finance Director College HillJustine Warren Tel: 020 7457 2020Matthew Smallwood This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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