April 06, 2011 09:31 ET

Disposal and Investment

                                             DHAIS Plc
                                      Disposal and Investment

DHAIS  Plc ("DHAIS" or the "Company") (PLUS: DHAP), a UK leader in the marketing and retailing  of
hearing and mobility products, announces the completion of the disposal of our store in Staines to
Owen Hearing Ltd, a company in which DHAIS plc retains a 7.5% interest.

As  announced  recently  with  our interim results, the disposal was  approved  by  the  Board  of
Directors  not  only to bolster our working capital but to strengthen our ties with the  purchaser
Owen  Hearing  Ltd,  which  trades  as Owen Hearing + Mobility ("OHAM")  and  which  acts  as  the
investment vehicle for Hearing and Health International ("HHI"), a Portuguese company.

We  believe  we  can  work  fruitfully alongside OHAM by bringing scale benefits  and  experienced
entrepreneurs  closer  together. Moreover alignment with OHAM in the UK  will  be  of  operational
benefit to the Company.

HHI  has significant funds to invest not only in the UK but also plans to embark on a Pan European
expansion programme to establish a chain of mobility stores across Portugal.

We  also  recently announced the issue of 327,869 Ordinary shares of GBP 0.001 each  for  a  total
consideration of GBP 100,000. This investment was by HHI, to whom these shares were issued.

Following  significant cash investment from HHI into OHAM, the latter has become a  subsidiary  of
HHI  and  will  continue to expand in the UK whilst HHI itself will concentrate  on  expansion  in
Europe.  DHAIS plc will retain a stake of 7.5% in OHAM going forward and sees this opportunity  as
a gateway into Europe.

The  consideration payable by OHAM in respect of the Staines store was GBP 400,000, paid in  cash.
Of  the GBP 400,000 consideration, GBP 339,997 was attributable to goodwill with the balance being
attributed to fixed assets, the leasehold, and business records.

In addition OHAM will pay an amount for the stock at net book value. This is expected to result in
a further cash payment of circa GBP 50,000.

In the six months ended 31 December 2010 the Staines store yielded a turnover of GBP 250,000 and a
profit before central overheads of GBP 45,000.

The disposal will result in a profit on disposal of GBP 370,000.

6 April 2011

The Directors of the Issuer accept responsibility for this announcement.


Amin Kiddy
Director, DHAIS Plc
Tel:  +44 (0) 2920 666888

Jon Isaacs
Alfred Henry Corporate Finance Limited
Tel: +44 (0) 20 7251 3762

Contact Information

  • DHAIS plc