11th Apr 2006 13:01
Babcock International Group PLC11 April 2006 11 April 2006 Babcock International Group PLC Babcock completes disposal of non-core businesses Babcock International Group PLC ("Babcock" or "the Group") today announces thecompletion of its programme of disposals of the non-core businesses acquiredwith Peterhouse Group PLC in 2004. The disposal programme has been completed following the sale in February 2006 ofthe loss making IETG business, the environmental and flow monitoring unit (netassets approximately £0.1 million) and earlier this month, the disposal of EPSGmbh, the German based events and site services business (net assetsapproximately £ 1.3 million); and the sale of Eve Trakway Limited, the UK basedsite access and events business (net assets approximately £8 million). Allthree businesses were sold to their respective management teams. Theconsideration received for these businesses was £ 8.0 million, including £2.3million in unconditional deferred payments. The turnover of these businesses in the period up to disposal totalledapproximately £26 million of which circa £5.3 million related to IETG, which wasreported within the Group's Health, Safety and Environmental division. Both EPSGmbh and Eve Trakway Limited were reported within the Networks division. Commenting on these transactions, Peter Rogers, Chief Executive Officer ofBabcock, said: "The sale of these businesses brings to an end the disposal programme that wasinitiated following the acquisition of Peterhouse Group PLC. The nature ofthese operations did not align with the core activities and competencies ofBabcock and we believe that their future development is more assured outside ofthe Group. We are now fully focused on growing our core businesses bothorganically and by acquisition." For further information please contact: Babcock International Group PLCPeter Rogers, Chief Executive 020 7269 7291 Financial DynamicsSusanne Walker / Richard Mountain 020 7269 7291 Notes to editors: About Babcock International Group PLC Babcock International Group PLC is an asset management business. We managefixed infrastructure and mobile assets. Babcock integrates labour, technicalcapabilities, systems and supply chain partners to meet the outsourcing needs ofcustomers for 'mission-critical' capabilities. In the year to 31 March 2005 sales from continuing business were £745 million.In June 2004 Babcock acquired the Peterhouse Group which brought; Rail andNetworks to the Group. The Group operates across five core business segments: Defence Services, supplying facilities management, equipment support andtraining services to the armed forces. Technical Services, providing engineering and logistical support to both thedefence and civil sectors in the UK. Engineering and Plant Services supplying design, installation and maintenancesupport to the energy sector in Africa and the US. It also holds the Volvofranchise for construction equipment in Southern Africa. Rail, providing design, renewal and installation services for the UK railinfrastructure. Networks, supporting the design, maintenance and renewal of power transmissionand cellular telecommunications networks in the UK. Babcock's head office is in London and the Company's shares are quoted on theLondon Stock Exchange in the support services sector (EPIC:BAB). For furtherinformation, please visit Babcock's website at www.babcock.co.uk. Dealing Disclosure Requirements Under the provisions of Rule 8.3 of the City Code on Takeovers and Mergers (the"Code"), if any person is, or becomes, "interested" (directly or indirectly) in1% or more of any class of "relevant securities" of VT Group plc or of BAESystems plc or of Babcock International Group PLC, all "dealings" in any"relevant securities" of that company (including by means of an option inrespect of, or a derivative referenced to, any such "relevant securities") mustbe publicly disclosed by no later than 3.30 pm (London time) on the Londonbusiness day following the date of the relevant transaction. This requirementwill continue until the date on which the offer becomes, or is declared,unconditional as to acceptances, lapses or is otherwise withdrawn or on whichthe "offer period" otherwise ends. If two or more persons act together pursuant to an agreement or understanding,whether formal or informal, to acquire an "interest" in "relevant securities" ofVT Group plc or of BAE Systems plc or of Babcock International Group PLC, theywill be deemed to be a single person for the purpose of Rule 8.3. Under the provisions of Rule 8.1 of the Code, all "dealings" in "relevantsecurities" of VT Group plc or of BAE Systems plc or of Babcock InternationalGroup PLC by VT Group plc or BAE Systems plc or Babcock International Group PLC,or by any of their respective "associates", must be disclosed by no later than12.00 noon (London time) on the London business day following the date of therelevant transaction. A disclosure table, giving details of the companies in whose "relevantsecurities" "dealings" should be disclosed, and the number of such securities inissue, can be found on the Takeover Panel's website atwww.thetakeoverpanel.org.uk. "Interests in securities" arise, in summary, when a person has long economicexposure, whether conditional or absolute, to changes in the price ofsecurities. In particular, a person will be treated as having an "interest" byvirtue of the ownership or control of securities, or by virtue of any option inrespect of, or derivative referenced to, securities. Terms in quotation marks are defined in the Code, which can also be found on thePanel's website. If you are in any doubt as to whether or not you are requiredto disclose a "dealing" under Rule 8, you should consult the Panel. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Babcock