Payment of Earn-out Consideration (1349Z)

TIDMEVN

RNS Number : 1349Z

Environ Group (Investments) PLC

10 January 2011

10 January 2011

Environ Group (Investments) Plc ("the Company")

Payment of Earn-out Consideration

On 16 December 2009 the Company entered into an acquisition agreement ('Acquisition Agreement') with Neil Chapman and Christopher Arnott ('the Vendors'), pursuant to which the Company acquired the entire issued share capital of Intumescent Protective Coatings Limited ("IPCL").

As a result of IPCL achieving its earn out target for the year to 31 July 2010, the Vendors are due to be paid additional consideration of, in aggregate, GBP155,003, which is to be payable as to GBP38,751 by way of the issue and allotment of ordinary shares ("Ordinary Shares") of 1p each in the capital of the Company ('Additional Consideration Shares') which are to be issued at a price of 7p per share, and GBP116,252 in cash, in accordance with the Acquisition Agreement.

This will result in a total of 553,580 Ordinary Shares being issued.

Immediately following the issue and allotment of the Additional Consideration Shares, the Company's issued share capital will increase to 137,684,623, of which the Vendors holding will be as follows:

 
                     Number of Ordinary          Number of 
                        Shares prior to    Ordinary Shares 
                         earn out being      post earn out  Percentage holding 
                               achieved     being achieved       post earn out 
 
Neil Chapman                  5,378,151          5,654,941               4.11% 
Christopher Arnott            5,028,151          5,304,941               3.85% 
 

Application is being made for the Additional Consideration Shares to be admitted to trading on AIM with admission expected to take place on 13 January 2011.

For further enquiries, please contact:

Environ Group (Investments) Plc

Mark Sims, Chief Executive Officer Tel: [phone]

Nominated Advisor

Grant Thornton Corporate Finance

Gerry Beaney/Adam Suggett Tel: [phone]

Broker

Seymour Pierce Limited

Jacqui Briscoe Tel: [phone]

Financial PR

Bishopsgate Communications

Duncan McCormick/Natalie Quinn Tel: [phone]

[e-mail]

This information is provided by RNS

The company news service from the London Stock Exchange

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