Business
Completion of Acquisition
Completion of Acquisition.
About this update from Inspiration Healthcare Group Plc
[{"type":"text","content":"\n India Hospitality Corp.\n20 July 2007\n\n\nFor Immediate Release 20 July 2007\n\n\n India Hospitality Announces Completion of the Acquisitions of Mars Restaurants\n and SkyGourmet Catering\n\n\n\nNew York, NY. - July 20, 2007 - India Hospitality Corp. (LSE: IHC, IHC or India\nHospitality), today announced that it has completed the acquisition from Navis\nCapital Partners and its Affiliates of India-based Mars Restaurants Private\nLimited (MRPL or Mars), an emerging hotel and restaurant company, and SkyGourmet\nCatering Private Limited (SCPL or SkyGourmet), an airline catering company\noperating out of four locations in India, in a transaction involving cash and\nshares and valued at approximately US $110 million. IHC's ordinary shares and\nwarrants are expected to be re-admitted to trading on the AIM market of London\nStock Exchange plc on 24 July 2007.\n\n\nThe acquisition and certain other related matters were approved at an\nextraordinary general meeting of IHC shareholders held on July 17, 2007.\n\n\nUnder the terms of the acquisition agreement, IHC paid the sellers of MRPL and\nSCPL approximately US $110 million of which approximately US $91.6 million was\npaid in cash with the remainder comprising 3,066,667 new ordinary shares in IHC.\nAdditional management incentives may become payable if the businesses achieve\ncertain performance targets.\n\n\nFollowing completion of the transaction (but prior to any repurchase of IHC\nordinary shares pursuant to repurchase rights offered to shareholders who voted\nagainst approving the acquisition at the extraordinary general meeting of IHC\nheld on July 17, 2007), prior India Hospitality shareholders own approximately\n88.9% of IHC and insiders, including Hayground Cove Asset Management and Navis\nCapital Partners, hold approximately 51.1%. There will be no change in the\ncomposition of the Board of Directors of Mars or SkyGourmet which includes\nrepresentatives of Navis Capital Partners and its Affiliates. Mr. Sanjay Narang,\nthe founder of both Mars and SkyGourmet, continues as the President of both\ncompanies and along with his current management team, will continue to manage\nand have an active role in the businesses.\n\n\n\nNavis and its affiliates have also been granted an option to subscribe in\naggregate for up to US $75 million of new ordinary shares in IHC, which, if\nexe...