Renew Holdings PLC Acquisition (5173N)

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RNS Number : 5173N

Renew Holdings PLC

01 February 2016

Renew Holdings plc

("Renew" or the "Group")

Acquisition

Renew (AIM: RNWH), the Engineering Services Group supporting UK infrastructure, announces the acquisition of Nuclear Decontamination Services Limited ("NDSL"), a small specialist nuclear services business operating at Sellafield and at other UK nuclear installations. Following the acquisition these specialist services will be provided through Shepley Engineers Ltd ("Shepley").

For the year ended 31 January 2015, NDSL recorded revenue of GBP188k and a profit before taxation of GBP105k from which the directors drew GBP82k in dividends. The acquisition cost is expected to be c. GBP235,000 payable in cash of which GBP200k represents goodwill with the balance representing working capital. The final consideration will be determined from completion accounts to be prepared in due course. The whole consideration will be paid from Renew's existing cash resources.

By acquiring the complementary skills of NDSL, Shepley will be able to offer an expanded range of services at the nuclear sites where it operates. The acquisition follows on from those of PPS Electrical Ltd in 2006 and Mothersill Engineering Ltd in 2009 which broadened the capabilities of Renew's integrated offering and have contributed to the strong growth of Renew's nuclear services business over the last ten years. This acquisition enhances Shepley's ability to deliver on the recently awarded ten year GBP500m Decommissioning Delivery Partnership framework for Sellafield Ltd.

Enquiries:

 
 Renew Holdings plc                                   Tel: 0113 281 4200 
 Brian May, Chief Executive 
 John Samuel, Group Finance 
  Director 
 
 Numis Securities Limited                             Tel: 020 7260 1000 
 Stuart Skinner (Nominated 
  Adviser) 
 James Serjeant (Corporate 
  Broker) 
 
 Walbrook PR                  Tel: 020 7933 8780 or renew@walbrookpr.com 
 Paul McManus                                         Mob: 07980 541 893 
 Lianne Cawthorne                                     Mob: 07584 391 303

About Renew Holdings plc

Engineering Services, which accounts for 85% of Group revenue and 90% of operating profit, focuses on the key markets of Energy (including Nuclear), Environmental and Infrastructure, which are largely governed by regulation and benefit from non-discretionary spend with long-term visibility of committed funding.

Specialist Building focuses on the High Quality Residential market in London and the Home Counties.

For more information please visit the Renew Holdings plc website: www.renewholdings.com

This information is provided by RNS

The company news service from the London Stock Exchange

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