Acquisition of stake in INS

Babcock International Group PLC 26 January 2007 26 January 2007 Babcock International Group PLC ('Babcock') Babcock announces that it has acquired 15,273,875 International Nuclear Solutions PLC ('INS') ordinary shares representing 24.5 per cent of INS's entire issued share capital, from Automated Controls Limited. INS is a specialist provider of nuclear engineering services in the UK. In May 2006, Babcock acquired Alstec Group Limited which also operates in the nuclear engineering services sector. Babcock acquired the shares for an aggregate cash consideration of £9.6 million (representing 63 pence per share). Babcock intends to progress discussions with the board of INS regarding the possibility of making a cash offer for the balance of the issued share capital of INS. However, there can be no certainty that an offer will be forthcoming. A further announcement will be made in due course. Enquiries Financial Dynamics Tel: 020 7269 7121 Andrew Lorenz / Susanne Walker Dealing disclosure requirements: Under the provisions of rule 8.3 of the Takeover Code (the 'Code'), if any person is, or becomes, 'interested' (directly or indirectly) in 1% or more of any class of 'relevant securities' of INS, all 'dealings' in any 'relevant securities' of that company (including by means of an option in respect of, or a derivative referenced to, any such 'relevant securities') must be publicly disclosed by no later than 3.30pm (London time) on the London business day following the date of the relevant transaction. This requirement will continue until the date on which the offer becomes, or is declared unconditional as to acceptances, lapses or is otherwise withdrawn or on which the 'offer period' otherwise ends. If two or more persons acting together pursuant to an agreement or understanding whether formal or informal, to acquire an 'interest' in ' relevant securities' of INS, they will be deemed to be a single person for the purposes of Rule 8.3. Under the provisions of Rule 8.1 of the Code, all 'dealings' in 'relevant securities' of INS by Babcock or INS, or by any of their respective 'associates ', must be disclosed by no later than 12.00 noon (London time) on the London business day following the date of the relevant transaction. A disclosure table, giving details of the companies in whose 'relevant securities' 'dealings' should be disclosed and the number of such securities in issue, can be found on the Takeover Panel's website at www.thetakeoverpanel.org.uk 'Interests in securities' arise, in summary, when a person has long economic exposure, whether conditional or absolute, to changes in the price of securities. In particular, a person will be treated as having an 'interest' by virtue of the ownership or control of securities, or by virtue of any option in respect of, or derivative referenced to, securities. Terms in quotation marks are defined in the Code, which can also be found on the Panel's website. If you are in any doubt as to whether or not you are required to disclose 'dealing' under Rule 8, you should consult the Panel. Babcock ISIN: GB0009697037 INS ISIN: GB00B12QZ964 This information is provided by RNS The company news service from the London Stock Exchange
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