20th Apr 2005 09:00
TeleCity PLC20 April 2005 20 April 2005 TeleCity plc ("TeleCity" or the "Company") Statement regarding continuing discussions On 24 January 2005 TeleCity announced that it had received an indicativeproposal regarding a possible offer for the Company. The Board of TeleCitywishes to clarify that discussions are ongoing. The announcement of 24 January 2005 was in response to an approach received bythe Board of TeleCity from its largest shareholder, 3i Group plc ("3i Group"),concerning a possible offer for the Company. 3i Group approached the Board withan indicative proposal for taking TeleCity private and sought access to duediligence data to enable it to progress discussions which it had been pursuingwith the aim of achieving a consolidation in the European data centre sector.The Company made a further announcement on 26 January 2005 and discussions havebeen ongoing since that time. Talks involving multiple parties are by theirnature complex and time consuming. The Board of TeleCity continues to believe that consolidation amongst theprincipal European data centre participants will deliver benefits to bothcustomers and shareholders. A combination with one of TeleCity's key competitorswould deliver synergies, improve overall sector dynamics and will accelerate therealisation of TeleCity's potential. While discussions with 3i Group have been ongoing, TeleCity's management hascontinued to focus on delivering value to shareholders through realising thepotential of TeleCity's current portfolio of data centres, strong customerrelationships and product and service offering. TeleCity has performed wellduring the first quarter of 2005 and the Company's sales pipeline remainsrobust. The Company plans to announce its results for the quarter to 31 March 2005 on 9May 2005. Further announcements in connection with the ongoing discussions with3i Group will be made as and when appropriate. There is no guarantee that thesediscussions will lead to an offer being made for the Company. Any offer would belikely to be solely in cash. This announcement has been made with the consent of 3i Group. Enquiries: TeleCity plcRicky Hudson 020 7519 4877 ---ENDS--- This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
3i Group