Acquisition of the business and certain assets of Barkers Group Limited

Acquisition of the business and certain assets of Barkers Group Limited (in administration) ('Barkers')

Penna Consulting Plc, the international human resources consulting group, announces that it has acquired the business and certain assets of Barkers today, for a cash consideration of 8.6 million, from the administrators of BNB Recruitment Solutions PLC and certain subsidiaries following the marketing of the business of Barkers by Chantrey Vellacott DFK. A significant element of the cash consideration is in respect of trade debtors and fixed assets.

The acquisition will be funded from Penna's existing cash and working capital facilities. The board of Penna expects the acquisition to be earnings enhancing (pre-exceptional costs) in the current financial year.

Barkers has achieved an industry leading position in digitally based recruitment communications and has become one of the UK's most successful recruitment project management consultancies. Barkers also has a strong reputation in traditional print based recruitment advertising which is a key part of any recruitment campaign.

Commenting on the acquisition, Stephen Rowlinson, Chairman, said:

'I am very pleased that Penna's financial and management strength has allowed us to act quickly and effectively to make this acquisition and to ensure that there is no disruption of services to clients.

Barkers was placed into administration largely because the group had excessive debt and a number of onerous leases. However, the underlying business is sound and produced positive EBITDA in 2008.

Penna will continue Barkers' successful strategy of working closely with clients as they progressively transfer recruitment budgets from print to digital media.

The acquisition of Barkers consolidates Penna's position as a leading provider of a broad range of Human Resource services and is an important step in the implementation of our ambitious growth strategy.'

This transaction is a substantial transaction under Rule 12 of the AIM Rules for Companies (the 'AIM Rules').

This announcement is made in accordance with Rule 12 and Schedule Four of the AIM Rules.