4th Jan 2008 07:00
Cape PLC04 January 2008 4 January 2008 Cape PLC ("Cape", the "Group" or the "Company") Pre-Close Trading Update and Appointment of Nominated Adviser Cape (AIM: CIU), the international provider of essential support services to theenergy and natural resources sectors, is pleased to announce its pre-closetrading update ahead of the preliminary results for the year ended 31 December2007, due to be released on 19 March 2008. Following a record level of activity in the first half of 2007, trading acrossall of the Group's operations has continued to be as strong with progress madein all key market sectors. Sales in each of the regional business units havegrown significantly year on year with each performing well ahead of expectations. All three of Cape's acquisitions in Australia are expected to makea positive contribution to the 2007 results. On 26 November 2007, Cape announced that its offer for PCH had been declaredunconditional. The offer closed on 20 December 2007. Cape has issued compulsoryacquisition notices to holders of all outstanding PCH shares. PCH is the key platform for the strategic step Cape has taken in 2007 toestablish a market leading position in Australasia, alongside the acquisitionsof TCC and Concept Hire. Integration planning is progressing well and earlyindications for the combined businesses in 2008 are very positive. Cape's management team is now firmly focussed on cash generation, integratingthe businesses acquired in 2007, delivering the associated synergies andensuring that all newly acquired services are pulled through the Group. Cape nowlooks forward to a sustained period of strong organic growth. Overall, Cape expects its results for the year ended 31 December 2007 to exceedcurrent market expectations. Expected levels of utilisation for the firstquarter of 2008 are high and the prospects for both the international energy andnatural resources sectors in which Cape operates remain very encouraging. In addition, the Company has appointed Hawkpoint Partners Limited as itsNominated Adviser with immediate effect. Collins Stewart Europe Limited remainsthe Company's broker. ENDS Cape PLCMartin May, Chief Executive +44 (0) 1924 876 276 Bell Pottinger Corporate & FinancialNick Lambert/ Victoria Geoghegan +44 (0) 207 861 3232 Hawkpoint Partners LimitedChristopher Kemball, Vice Chairman +44 (0) 207 665 4551Chris Robinson, Managing Director +44 (0) 207 665 4598 Notes to Editors Cape, which is listed on AIM (CIU), specialises in the provision of accessscaffolding, insulation, fire protection, specialist cleaning and otheressential services throughout asset life-cycles for major industrial clients inthe international energy and natural resources sectors. The Company employs c.12,000 people in 23 countries worldwide with its four mainmarkets being the UK, the Middle East, the CIS and Caspian and the Far East/Australasia. In the year ended 31 December 2006, strong organic growth enabledCape to report turnover of £295.5 million. Cape is also set to benefit fromseveral acquisitions completed in 2007, especially in the important Australasianregion where three companies with an annualised turnover of c. £125 million havebeen acquired. Cape's future growth is underpinned by several factors: • Global demand for energy within non-OECD countries which is expected to increase by 221% over the next 30 years. • Within the OECD, the desire on the part of energy producers/ users to extend the life of assets ahead of the next investment cycle. • An increasing appetite on the part of Cape's major customers to outsource non-core services and to look for bundled service proposals. • A preference on the part of blue chip clients to work with safe suppliers who have access to, and the ability to train, local workforces to exacting standards. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
CIU.L