Buyers Guide PLC
24 May 2002
Buyers Guide plc ('Company' or 'Buyers Guide')
Disposal of On-line Advertising Business
The Company announces that it has completed the disposal of its On-line
Advertising business to a company controlled by Lucy Bowden and John Bowden, who
until yesterday were directors of the Company, for £65,625 in cash of which
£33,313 has been paid today and £32,312 will be paid on 21 August 2002.
The On-line Advertising service enables officers from the government sector to
identify and obtain contact details for potential suppliers, along with
up-to-date information on their products and services. The Board concluded that
following disappointing results for the year ended 31 December 2001 which have
continued this year, the On-line Advertising business was no longer capable of
generating significant income in the future and, accordingly, the Board
concluded that the best course of action was to dispose of the business to its
For the year ended 31 December 2001 the operating loss for the business (after
exceptional items of £701,538) was £1,082,660. The Directors consider that the
value of the assets disposed of is equal to the consideration received by the
The disposal of the On-line Advertising business leaves the Company with no
business but with cash resources of approximately £3.8 million as at 23 May 2002
which together with the consideration paid for the On-line Advertising business
is being held on deposit. The Board is considering with its advisers its
strategy going forward.
The Directors consider, having consulted Collins Stewart Limited, its nominated
adviser, that the terms of the disposal are fair and reasonable insofar as
shareholders are concerned.
The Company has today also released its preliminary results for the year ended
31 December 2001.
24 May 2002
Buyers Guide plc
Tel: 020 7381 1151
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