Business
Statement re Capcon Holdings
Statement re Capcon Holdings.
About this update from Christie Group Plc
[{"type":"text","content":"\n Christie Group PLC\n22 March 2006\n\n\n Christie Group plc\n Offer to acquire the Audit and Stocktaking\n and the Commercial Investigations Divisions of Capcon Holdings plc\n\nChristie Group plc ('Christie') notes the announcement made today by Capcon\nHoldings plc ('Capcon') in relation to the proposals set out in the Circular\nsent to Capcon Shareholders on 3 March 2006 (the 'Circular').\n\nThe Circular states that in the event that the proposals are not approved by\nCapcon shareholders that 'it is unlikely that the (Capcon) Group would be able\nto meet its financial obligations as and when they fall due and may therefore be\nunable to trade unless alternative financing arrangements were made available'.\n\nAgainst this background, Christie confirms that on 10 March 2006 it submitted a\nlegally binding alternative offer to Capcon to purchase the businesses and\nassets (and to assume certain liabilities) of the Capcon Audit and Stocktaking\nand the Commercial Investigations Divisions (the 'Audit and Investigations\nBusinesses') (the 'Christie Offer').\n\nThe offer to acquire the Audit and Investigations Businesses as currently\nproposed in the Circular is an offer from Lakesong Trading Limited ('Lakesong')\nwhich is a company that has been formed, and is owned, by Mr Ken Dulieu and Mr\nClifford Cavender, both directors of Capcon, for the purpose of purchasing the\nAudit and Investigations Businesses for £400,000 for the assets and goodwill of\nthe Audit and Investigations Businesses plus a further £300,000 for the work in\nprogress (the 'Lakesong Offer').\n\nThe Christie Offer is to make this purchase through a wholly owned subsidiary of\nChristie on exactly the same terms as the Lakesong Offer and under a contract\nand timetable identical to that which is proposed to be entered into with\nLakesong save that the cash sum of £700,000 payable at completion will be\nincreased to £1.0 million. Christie confirms that it proposes to meet this\nconsideration in cash from its own resources and is able to do so immediately.\nChristie confirms that the Christie Offer is fully funded and without further\nconditions.\n\nThe Christie Offer was submitted on 10 March 2006 but was rejected by the board\nof Capcon in a letter dated 14 March 2006. Christie responded to Capcon Board on\n17 March 2006 and confirmed that the Christie Offer h...