Acquisition

Comino Group PLC 7 July 2000 COMINO GROUP PLC: ACQUISITION OF REBUS LG LIMITED EXTENDS CUSTOMER AND PRODUCT BASE IN LARGER LOCAL AUTHORITIES Comino Group plc ('Comino'), a leading provider of software solutions for the social housing, occupational pensions and local government sectors, announces that it has acquired 82% of Rebus LG Limited from the Rebus Group. The company has now changed its name and will trade as Saffron Computer Services Limited ('Saffron'), based in Croydon. The remaining 18% of the shares are held by the existing management of Saffron. The consideration comprises an initial cash payment of £1.77m with a further performance related payment of up to £0.9m in cash by Comino dependent on successful collection of outstanding debtors. The net asset value of Saffron at completion is £1.76m. Audited accounts to 31 March 1999 showed a turnover of £3.3m and a profit before tax of £256,000. Saffron has 50 Local Authority customers and has a particularly strong representation within the London metropolitan authorities. The company supplies Housing and Revenue & Benefits software and services plus a small number of related FM contracts. Performance based arrangements exist with the management of Saffron for Comino to purchase management's shares. The maximum consideration on full performance is £3.75m payable in cash and/or Comino shares at Comino's option. The maximum number of Comino shares that can be issued is 875,000. Commenting, Garth Selvey, Chief Executive of Comino Group said: 'Comino and Saffron have rarely met in competition because of Saffron's focus on the larger metropolitan authorities. The acquisition increases the group's Local Authority customer base and provides further opportunities for Comino's highly successful Revenue & Benefits product. Saffron's FM model complements developments within Comino and the recently announced Comino Montal joint venture will provide ASP facilities for the whole of the expanded group.' For further information contact: Garth Selvey, Chief Executive, Comino Group plc 01628 - 525433

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