REG - Cohort PLC - Final Results <Origin Href="QuoteRef">CHRT.L</Origin> - Part 3

CohortAnnouncement

28/06/2016 07:31

- Part 3: For the preceding part double click  ID:nRSb4456Cb 

interest. 
 
The non-controlling interest is entitled to participate in any dividends
payable by MCL in the period to 30 September 2016. 
 
In accordance with IFRS3, the Group has ascribed a value to the option to
acquire the non-controlling interest of MCL.  This value was £12.5m at the
time of the acquisition and as reported on 30 April 2015.  The option has been
revalued as at 30 April 2016 and is now estimated at £5.5m and is expected to
be paid on or before 30 April 2017.  The option is shown within current
liabilities (2015: Non-current liabilities) and as the non-controlling
interest has a right to dividends, in the other reserves as 'option for
acquiring non-controlling interest in MCL' with any change in the option value
recognised in equity. 
 
8.         ACQUISITION Empresa de Investigação e Desenvolvimento de
Electrónica, S.A. (EID) 
 
On 5 August 2015 the Group announced it had signed a sale and purchase
agreement to acquire 99.98% of EID for a total cash consideration of E19m
(approximately £15m at the Euro £ exchange rate at 30 April 2016).  At the
time of this announcement the Group paid an initial and fully refundable
deposit of E950,000 (£744,000) which is included within trade and other
receivables at 30 April 2016.  The acquisition is now expected to complete in
two stages with the Group acquiring 57% on 27 June 2016 and a further 23% on
or before 31 October 2016.  This will leave the Group with 80% of EID and the
Portuguese Government with the balance of 20%. 
 
The Group will operate with effective control from the date of acquiring the
initial 57% due to changes to the Board of EID.  On acquiring the further 23%
from the Portuguese Government a Shareholder Agreement will be put in place
between Cohort and the Portuguese Government giving some strategic protection
to the Government whilst enabling Cohort to run the EID business day to day. 
 
This information is provided by RNS
The company news service from the London Stock Exchange