Clapham House Grp


The Clapham House Group PLC
02 April 2004

2 April 2004

The Clapham House Group PLC

Acquisition of The Bombay Bicycle Club

The Clapham House Group PLC ("Clapham House" or "the Company") announces that
on 1 April 2004 it acquired the entire issued share capital of Nilecroft Ltd,
Odsey Ltd, Overpark Ltd, and Seahawk Ltd, comprising the business and assets of
The Bombay Bicycle Club operation ("The Bombay Bicycle Club"). The Bombay
Bicycle Club currently operates one restaurant in Clapham and five delivery
units in Fulham, Wimbledon, Tooting, Putney and Battersea. The initial
consideration is £1.845 million, payable in cash on completion, with a further
maximum of £575,000 payable 12 months from completion subject to any warranty or
completion account set-offs.

The Bombay Bicycle Club has built an outstanding reputation for quality Indian
cuisine over a period of 20 years using the freshest ingredients and providing
excellent service, regularly receiving good reviews and plaudits from leading
food critics. The brand generates strong loyalty amongst its customer database
of more than 100,000 customers.

The purchase of The Bombay Bicycle Club by Clapham House represents the first
stage in the Company's consolidation of the fragmented Indian restaurant and
delivery sector, which consists of more than 6,000 outlets in the UK and is
estimated to be worth in excess of £1bn. Clapham House will use this business as
the base on which to build, by acquisition and organic growth, a group of Indian
restaurants and delivery units focused on first-rate food and service.

Clapham House has thoroughly researched the Indian food sector, which according
to recent reports is the most popular cuisine in Britain. The Bombay Bicycle
Club concept of a smart flagship restaurant, with delivery units strategically
located around it, has been very successful. The Directors of Clapham House
believe this formula can be replicated throughout the UK, with London alone
having the capacity for up to 40 restaurants and delivery locations. After
expansion within the M25, Clapham House will consider expanding the format
throughout the UK. Supermarkets are a proven market for Indian dishes and in due
course the Directors hope to build on The Bombay Bicycle Club's excellent
reputation through this channel.

In 2002/03 the businesses comprising The Bombay Bicycle Club made historic
pro-forma EBITDA before exceptional items and directors' costs of £344,000 on
consolidated pro-forma sales of £2.6million. The historic pro-forma net assets
of the group of businesses were £171,000.

Two of the existing Directors of The Bombay Bicycle Club will stay on with the
business for 12 months following its acquisition to assist with its integration
within Clapham House. This process will be led by Sarah Willingham, who has been
recruited to be Managing Director of the business. Sarah has more than 10 years'
experience in the restaurant industry, having carried out a variety of
operational, business development and acquisition roles. Most recently she was
responsible for launching new restaurants, acquisitions and the integration of
new businesses at PizzaExpress PLC.  Sarah will acquire 9.5% of the equity of
The Bombay Bicycle Club, this stake being the subject of a future put/call

This is the second acquisition in Clapham House's strategy of developing a small
number of high growth restaurant formats, and follows the Company's admission to
AIM as a cash shell in November 2003 and the acquisition of The Real Greek
restaurant group in December 2003.

Paul Campbell, Clapham House Chief Executive, said :

"The Bombay Bicycle Club is a great business, serving wonderful Indian food in
an innovative fashion. Through this platform and with an experienced and highly
incentivised management team, we will develop a strong presence in this large
but fragmented sector."

David Page, Clapham House Chairman, added :

"After all our strategic research and number crunching in this area, our
decision to acquire The Bombay Bicycle Club was based on two critical factors -
to buy the business with the best tasting food and the busiest restaurants."


The Clapham House Group PLC

David Page, Chairman                                  Tel: 07836 346 934
Paul Campbell, Chief Executive                        Tel: 07785 228 299

Noble & Company Limited

John Llewellyn-Lloyd                                  Tel: 020 7367 5600
David Ovens                                           Tel: 0131 225 9677

Citigate Dewe Rogerson

Sue Pemberton                                         Tel: 020 7638 9571

Notes :

The accounting year ends of Nilecroft Limited, Odsey Limited, Overpark Limited
and Seahawk Limited are 31 August, 30 June, 31 December and 31 August

                      This information is provided by RNS
            The company news service from the London Stock Exchange