ADVFN NewsWire (08:16) - Dee Valley Group has acquired Northern Gas Supplies and Blueprint Housing, the holding company of Energy Supplies UK, for £350,000 in cash, with a further £1.4m, less the audited liabilities of ESUK, Blueprint and Northern Gas, as at March 31. The further payment is expected to be substantially less than £1.4m.
Northern Gas and ESUK supply gas and electricity to a broad commercial and domestic customer base nationally. The acquisitions complement Dee Valley's existing energy supply business, North Wales Energy, and reflect the board's intention to grow the group's non-regulated activities.
Blueprint has no assets other than its investment in ESUK and cash balances of approximately £40,000 as at March 31.
In the year to August 31 last, ESUK incurred a loss before tax of £1,032,000, on turnover of £3,014,000, and had net assets of £1,409,000. In the year ended August 31, Northern Gas generated a profit before tax of £294,000 on turnover of £707,000. Northern Gas had net assets of £370,000.
Stuart Howarth, chief executive, said: "The expansion, in a controlled manner, of our non-core businesses is central to providing a balanced group that creates value for shareholders and opportunities for employees."
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