25th Sep 2006 14:09
SALE OF SEVERN TRENT LABORATORIES(US)Severn Trent Plc announces today the sale of its US analytical environmentaltesting firm Severn Trent Laboratories (STL) to TestAmerica Holdings, anaffiliate of H.I.G. Capital, for a cash consideration of approximately ‚£85million.The transaction is subject to US regulatory approval and is expected to becompleted by the end of December 2006. STL UK will remain part of the SevernTrent group.Mr Colin Matthews, Group Chief Executive, said "We announced in June thatfollowing our decision to demerge Biffa we wanted to concentrate on water.Therefore STL US was no longer regarded as core. Today's announcement continuesour strategic drive to create value through a focus on water."STL Chief Executive Officer Rachel Brydon Jannetta will remain with STL US andresign from the Severn Trent Plc Board on completion of the deal.For further information contact:Peter Gavan 02476 656114Director of Corporate Affairs 07901 517447Jonathan DaviesHead of Investor Relations 0121 722 4295David TrenchardTulchan Communications Group 020 7353 4200www.severntrent.comENDSEVERN TRENT PLCRelated Shares:
Severn Trent