RNS Number:2085M
Numis Corporation PLC
12 May 2005
EMBARGOED FOR RELEASE UNTIL 7:00AM THURSDAY 12TH MAY
NUMIS - POTENTIAL DISPOSAL OF ITS INTEREST IN COMDIRECT LTD
Numis Corporation plc ("Numis") announces that it has entered into a contingent
agreement to sell its 26.3% interest in comdirect Ltd. Together with other
shareholders in Execution Services Group Limited ("ESGL"), the holding company
of comdirect Ltd., Numis has entered into an arrangement of put and call options
in respect of their interest in ESGL with Boursorama SA, France's largest online
retail broker.
The put and call options can be exercised over the period 1 August 2005 to 30
September 2005 and, if exercised, would give Boursorama SA control over ESGL.
The ESGL shareholders have granted Boursorama SA a call option which if
exercised would result in the sale of ESGL in August this year. If Boursorama SA
have not exercised their call option by 1 September 2005, the ESGL institutional
shareholders, including Numis, each have an option to sell the entire issued
share capital of ESGL to Boursorama SA. This put option is exercisable until 30
September 2005. The exercise of the option by either party will be contingent
on, inter alia, the FSA approving the acquisition of ESGL by Boursorama SA.
In the event of either option being exercised, Numis would receive approximately
#14.0 million in cash, thereby realising an estimated pretax profit of #8.5
million less the share of profits equity-accounted for by Numis arising in the
period until the exercise of the option. The current book value of Numis holding
in ESGL is #4.5 million. Any proceeds from the disposal would be used in the
development of Numis' core business.
ESGL has no assets other than its holdings in comdirect Ltd, which is an online
retail brokerage. Numis has a 26.3% interest in the ordinary share capital of
ESGL. Numis' share of pretax profits of ESGL for the six months to 31 March 2005
was #228,000.
Numis and comdirect Ltd both expect to continue their mutually profitable
trading relationship, with Numis continuing to provide its Retail Service
Provider (RSP) facilities to comdirect Ltd.
Notes to Editors:
comdirect is the UK's second largest on-line stockbroker and the UK's third
largest retail stockbroker by share trading volumes and the market leader in
covered warrants.
Currently 22 retail brokers trade with Numis, taking advantage of its expanding
RSP offering.
Contacts:
Numis Corporation
Oliver Hemsley, Chief Executive 020 7776 1500
Brunswick
Gill Ackers 020 7396 5382
Rachel Quigley 020 7396 3507
This information is provided by RNS
The company news service from the London Stock Exchange
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