Investment West Midlands plc

May 22, 2009 05:30 ET

Suspension of Trading

                                       INVESTMENT WEST MIDLANDS
                     Letter to shareholders and request for suspension of trading

Investment West Midlands plc has today sent the following letter to shareholders:

Dear Shareholder,

                                     INVESTMENT WEST MIDLANDS PLC

In  my letter dated 23 December 2008, I stated that is was the Board's intention to put a proposal  to
wind  up  the  Company and distribute the capital to shareholders if the Company had not completed  an
acquisition by the end of April 2009. Although at the time that statement was made, the Directors were
confident  of  completing an acquisition within that time frame, they subsequently determined  not  to
proceed with the acquisition as the target company failed to meet its profits forecast.

However,  the  Company subsequently received an approach regarding an acquisition which the  Directors
believe  would be in the best interests of the Company and potentially more beneficial to shareholders
than  winding  up the Company. The Company has signed Heads of Terms regarding this acquisition  which
would  be  subject  to shareholder approval and would constitute a reverse takeover  of  the  Company.
Accordingly, trading in the Company's shares has today been suspended pending the announcement of full
details of the transaction. A further announcement will be made as soon as possible.

Yours sincerely,

John Wheatley


The Directors of the Issuer accept responsibility for this announcement.

For further information please contact:

John Wheatley                          01905 773 143

St Helens Capital plc
Barry Hocken                            020 7628 5582

Contact Information

  • Investment West Midlands plc