Aqua Sol: Details for the acquisition of Nike Hotels
10/1/2007 10:11
Following the announcement of 22 December 2006 regarding the agreement for the acquisition of the 100% of the shares in the share capital of Nike Hotels Limited for the amount of £17.000.000 (€29.400.000 approx.), the Board of Directors of the Company Aqua Sol Hotels Public Company Limited would like to inform the public with the following:
(a) The agreement was done at arm's length.
(b) Nike Hotels Limited has been valued based on its net assets value.
(c) No amount of goodwill is expected to arise from this acquisition.
(d) The payment of the consideration has been agreed to be made in 2 installments. The first installment of £9.200.000 (€15.900.000 approx.) as well as an amount of £3.300.000 (€5.700.000 approx.) for the payment of part of liabilities of Nike Hotels Limited are paid upon signing of the agreement. The balance will be paid up to 31/12/2009.
(e) Nike Hotels Limited incorporated on 4 June 1996 and commenced operations in 1999 for the construction of the tourist village Callisto in Ayia Napa which was subsequently leased to Aqua Sol Hotels Public Company Limited for a period of 20 years.
Based on the un-audited accounts of Nike Hotels Limited, the company had a loss for the year 2006 of £359.664 (€620.000 approx.), for the year 2005 £371.281 (€650.000 approx.) and for the year 2004 £271.154 (€470.000 approx.).
Nike Hotels Limited had net assets of £17.589.363 (€30.430.000 approx.) on 20/12/2006.
(a) The agreement was done at arm's length.
(b) Nike Hotels Limited has been valued based on its net assets value.
(c) No amount of goodwill is expected to arise from this acquisition.
(d) The payment of the consideration has been agreed to be made in 2 installments. The first installment of £9.200.000 (€15.900.000 approx.) as well as an amount of £3.300.000 (€5.700.000 approx.) for the payment of part of liabilities of Nike Hotels Limited are paid upon signing of the agreement. The balance will be paid up to 31/12/2009.
(e) Nike Hotels Limited incorporated on 4 June 1996 and commenced operations in 1999 for the construction of the tourist village Callisto in Ayia Napa which was subsequently leased to Aqua Sol Hotels Public Company Limited for a period of 20 years.
Based on the un-audited accounts of Nike Hotels Limited, the company had a loss for the year 2006 of £359.664 (€620.000 approx.), for the year 2005 £371.281 (€650.000 approx.) and for the year 2004 £271.154 (€470.000 approx.).
Nike Hotels Limited had net assets of £17.589.363 (€30.430.000 approx.) on 20/12/2006.
