ITE Group PLC
26 July 2000
ITE Group Plc ('ITE') acquires 51% of X-RM Limited ('X-RM')
ITE announces the acquisition of 51% of X-RM for an
initial cash consideration of £500,000 and a further
amount of £58,000 payable on 30th January 2001. ITE has
granted a put option to the Vendors to sell to ITE the
remaining 49% shareholding at any time after 30th June
2002 and before 30th June 2005 at a price of either
£392,000 or a valuation based on ten times the profit
after tax for the preceding year after the option is
exercised, whichever is the greater.
X-RM is a software development company specialising in
offering a complete range of e-commerce, internet and CD-
ROM solutions to a wide range of industrial and
publishing clients. X-RM has also developed its own
specialist business to business vertical portal for the
electrical components industry (http://www.exponex.com).
X-RM will be producing the software for ITE's vertical
portal business, B4Bportals.com, using X-RM's proprietary
X-RM made a profit before tax of £87,580 on turnover of
£502,170 for the year ended 31st January 2000.
Lawrie Lewis, ITE's Chairman said 'This acquisition
brings a profitable web design company into ITE and will
shortcut the process of delivering the software of ITE's
B4Bportals business. It also adds experienced internet
management to our team.'
For further information, please contact:
020 7466 5000