Rivington Street Holdings Plc

December 01, 2008 05:58 ET

Acquisition of Oilbarrel.com

FOR IMMEDIATE RELEASE                                             1 DECEMBER 2008

                                     RIVINGTON STREET HOLDINGS PLC
                                              PLUS: RIVP
                                      ("RSH plc" or "THE GROUP")
                                 ACQUISITION OF OILBARREL.COM LIMITED

The Board of RSH plc, the PLUS quoted media and financial services group, is delighted to announce the
acquisition  of  the  remaining  76.82%  of  the  ordinary  share  capital  of  Oilbarrel.com  Limited
("Oilbarrel"),  an  editorially-led website offering news articles, geo-political features,  a  market
overview and press releases from various stock exchanges.

As  at 23 September 2008, Oilbarrel had net cash of £89,097. In the nine months to September 23rd 2008
turnover was £255,717 and the un-audited pre-tax profits were £67,256.

The Directors of RSH plc believe that there are real benefits in combining the activities of Oilbarrel
with  its  Commodity Watch division and have identified significant immediate cost  savings  resulting
from the acquisition.

The Directors believe this acquisition will be immediately earnings enhancing for the enlarged Group.

RSH continues to review a number of additional acquisition opportunities to complement its own organic
growth. The Directors look forward to keeping the market updated on these opportunities in the future.

RSH  plc already owns 23.18% of the ordinary shares of Oilbarrel. RSH plc has now acquired the balance
of  the  ordinary shares for a consideration of £348,902 - which is payable as £139,829  in  cash  and
420,252  of  new RSH plc Ordinary shares at a deemed weighted average price of 49.7pence per  ordinary

This  transaction means that RSH plc now holds 100% of the issued ordinary share capital of Oilbarrel,
there  are in addition 50,000 £1.00 preference shares issued by Oilbarrel which are not owned  by  RSH

Oilbarrel  Preference shareholders have the right to attend meetings and have a right to vote  if  the
preference  share dividend has not been paid. The preference share dividend is set  at  2%  above  the
Royal  Bank  of Scotland base rate, payable from distributable reserves - at this stage there  are  no
distributable  reserves  within Oilbarrel. The preference shares may  be  redeemed  from  the  seventh
anniversary of their issue in September 2004.

Following  this transaction there will be 29,998,082 ordinary shares of 1p of RSH plc  in  issue,  the
Directors interest in RSH plc will be 40.76%

Commenting on the acquisition, Chairman Malcolm Burne said:

"We are delighted to be making this acquisition, which is the first since RSH plc joined PLUS Markets.
This  will  increase RSH plc's presence in the natural resources sector, reaffirming it as  a  leading
company in the natural resources media sector.

"We  expect  Oilbarrel  to be immediately earnings enhancing and with a number of  other  acquisitions
under review we look forward to keeping the market up to date on our progress."

The Directors of RSH plc accept full and absolute responsibility for the content of this announcement.

Loeb Aron & Company Ltd.
Peter Freeman                                                            020 7628 1128

Bishopsgate Communications
Nick Rome/ Will Tindall                                                  020 7562 3350

Contact Information

  • Rivington Street Holdings Plc