Acquisition

30th Jun 2006 07:01

Shanks Group PLC30 June 2006 Friday 30th June 2006 Company Announcement Shanks Group plc: €63 million acquisition of Dutch Group: Smink Beheer BV Shanks Group plc, a leading European waste management company, has todayannounced the acquisition from the Smink family of the entire share capital ofSmink Beheer BV (Smink) for a gross consideration of €86m in cash, €63m net ofthe cash in the acquired entity. An additional €2.5m is payable upon expansionof the scope of a permit for the company's landfill activity. Smink is an established integrated waste collection, recycling and landfilldisposal business based in Amersfoort, east of Utrecht, in the Netherlands, withexpertise in commercial and industrial waste management. There is also anancillary infrastructure building activity (eg roads and drainage) operatinglocally. Smink employs some 170 people and processes approximately 0.5m tonnesof waste annually. Smink's last published results for the year ended 31 December 2005 showed aprofit before tax of €13.5m which included one-off gains totalling approximately€4.8m. Gross assets were €51.0m. Commenting on the transaction, Shanks Group plc Group Chief Executive, MichaelAverill, said: "We are delighted with this acquisition which expands ourgeographic coverage eastwards from our strong presence in the Randstadt area.As the Smink solid waste activities are similar to our existing business we willserve our target customers over a wider area. The acquisition is expected to beearnings enhancing in the current year." For further information contact: Michael Averill, Group Chief ExecutiveFraser Welham, Group Finance DirectorShanks Group plcTelephone +44 (0) 1628 554920 Or Ginny PulbrookCitigate Dewe RogersonTelephone +44 (0) 20 7282 2945 Ends This information is provided by RNS The company news service from the London Stock Exchange

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