Further to the announcement made on 16th June 2005, under the terms of the acquisition of CICS (Holdings) Limited and its wholly owned subsidiary Cross Infections Control Systems (CICS) Limited (together 'CICS'), Healthcare Enterprise Group Plc ('HCEG' or the 'Company') has allotted 12,477,876 new ordinary shares of 2.5p each in the Company, at a price of 2.5 pence per share, under the earn-out conditions, to the vendors of CICS.

Under the terms of the acquisition agreement, the vendors (one of whom manages the CICS business on the Company's behalf) were entitled to additional payments for the first two years following the acquisition based on revenues achieved.

This share allocation completes the earn-out to the vendors. The CICS business is profitable and has been put up for sale by HCEG in order to repay part of the Company's term loan with Barclays Bank PLC.

Application has been made for the new ordinary shares to be admitted to AIM. The shares are expected to start trading on 31st October 2007, bringing the issued share capital of the Company to 316,506,532.

Enquiries:

 

Healthcare Enterprise Group                         
Lyndon Gaborit, Executive Deputy Chairman
+ 44 (0)1925 898 200

 

Numis Securities
David Poutney
+44 (0) 20 7260 1000   

                                          

College Hill                                              
Adrian Duffield/Jon Davies
+44 (0) 20 7457 2020