Sale of Stake in iTouch plc

28th Apr 2005 07:47

Independent News & Media PLC28 April 2005 INDEPENDENT NEWS & MEDIA PLC Sale of stake in iTouch plc for all-cash consideration of approx. €100 million Dublin/London -- 28th April 2005: Independent News & Media PLC ('INM') (ticker:INWS.I ; INWS.L) is today very pleased to announce that it has agreed to sellits entire shareholding of 152,840,212 Ordinary Shares in iTouch plc toFor-side.com Co. Ltd ('For-side') for an all-cash consideration. The sale of theGroup's shareholding - which constitutes 37.44% of iTouch plc's issued sharecapital - has been agreed at Stg£0.44 per share (approx. €0.65 cent), as part ofFor-side's offer for the entire share capital of iTouch plc announced today("the Offer"). This price represents a 26.6% premium to iTouch plc's closing middle marketshare price on 27 April 2005 and delivers a return for INM of over 300% on itsoriginal cash investment in iTouch plc. Upon the Offer becoming wholly unconditional, the Group's sale of this non-coreasset will result in total proceeds of Stg£67.25 million (approx. €100 million),equivalent to over €0.13 per INM share. The proceeds will be used by the Groupfor general corporate purposes and to further enhance the Group's market-leadingpublishing brands. For-side has today confirmed that it either holds shares, or has receivedirrevocable undertakings to accept the Offer, in respect of approximately 53.5%of the issued share capital of iTouch plc. Commenting on the announcement, INM's chief executive, Sir Anthony O'Reillysaid, "We are happy that a small idea, started in South Africa, has worked tothe benefit of the whole Group in such spectacular fashion. Having firstidentified and invested in this fledgling start-up back in 1997 and havinglisted it on the London Stock Exchange in August 2000, the receipt of €100million in cash will represent a remarkable and most rewarding journey for allof our shareholders. This very attractive return on our investment reflects ourstated objective of consistently delivering superior returns for ourshareholders. The disposal of this non-core asset follows the recentannouncement of the Group's expansion into the fast-growing Indian newspapermarket and record 2004 results." For full text of the announcement of the Offer issued this morning, please clickhere: Paste the following link into your web browser to download the PDF document related to this announcement: http://www.rns-pdf.londonstockexchange.com/rns/6365l_-2005-4-28.pdf -- ENDS -- 28 April 2005 For further information:Gavin O'Reilly Donal BuggyChief Operating Officer Chief Financial OfficerIndependent News & Media PLC Independent News & Media PLCDublin DublinTel: +353 (0)1 466 3200 Tel: +353 (0)1 466 3200 Ivan FallonChief Executive Pat WalshIndependent News & Media UK Murray ConsultantsLondon DublinTel: +44 (0)207 005 3800 Tel: +353 (0)1 498 0300 Mark Edwards Mark KennyBuchanan Communications K CapitalLondon DublinTel: +44 (0)207 466 5000 Tel: +353 (0)1 631 5500 This information is provided by RNS The company news service from the London Stock Exchange

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