Rivington Street Holdings - Acquisition of IQ Holdings' Subsidiaries
24-12-2009

Rivington Street Holdings (“RSH”), the PLUS quoted media and financial services group, is pleased to announce that it has entered into a conditional agreement to acquire Rosslyn Research Limited (“Rosslyn”) and Viewpoint Field Services Limited (“Viewpoint”) from AIM quoted IQ Holdings for a consideration of approximately 5,200,000 ordinary 1p shares in RSH. The acquisitions, which are expected to be completed by the end of January 2010, are subject to the approval of IQ Holdings shareholders.

Rosslyn and Viewpoint are well established market research companies. The transaction offers cross-selling opportunities with RSH’s other media divisions as well as diversifying RSH’s operations away from being a purely stockmarket linked group. The Board of RSH believes these businesses complement the Group’s existing activities and following the implementation of a wide-ranging integration plan, the acquisitions will add shareholder value for RSH’s investors.

A number of synergies and margin enhancing initiatives, focusing on property and plc costs within the enlarged group, have already been identified by RSH which will start to be implemented in the New Year.

RSH believes that its balance sheet strength will allow it to capitalise, in a way that IQ Holdings could not afford to, on the multiple acquisition opportunities that exist in the fragmented market research market.

RSH Chief Executive Tom Winnifrith said:

“We are delighted to have agreed terms for our latest acquisition. We see plenty of scope to add to our bottom line and believe that once the integration is complete this will prove to be an earnings enhancing deal. We remain focused on growing our business both organically and via acquisition. We very much look forward to bedding in Rosslyn and Viewpoint and updating the market on our continued progress when, in a few weeks, we announce our results for the year to August 31st 2009.”

The Company announces that it has dispatched a circular to Shareholders enclosing full details of the acquisitions and a notice of a GM in respect of related matters.

ENDS

ENQUIRIES

Bishopsgate Communications
Nick Rome
 

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