Press Releases

Manganese Bronze increases its stake in North American black cab distributor

13th June 2005

Manganese Bronze Holdings PLC, the leading manufacturer of the distinctive London black taxi, announces that it has acquired a further 72% of the share capital of London Taxis North America Holdings ("LTNAH"), its US distributor. Manganese Bronze now owns 86% of LTNAH’s issued share capital.

The consideration comprises 120,000 new Manganese Bronze Holdings shares and £1.0m in cash payable over four years. Deferred consideration of up to a possible further £0.9m cash is payable over the next four years dependent on the future revenues of the business. Cash consideration is being funded from the Company’s existing facilities.

LTNAH, which is based in Boston, USA, is a distributor of the Company’s taxis in North America, had net assets of £0.8m at 31 May 2005 and incurred a loss of £1.6m in the year to 31 December 2004.

Commenting on the acquisition, Ian Pickering, Chief Executive of Manganese Bronze, said:

"This transaction will enable us to consolidate our position in the U.S. marketplace, provide enhanced after sales support to our customers and better places us to exploit the potential of this important market."

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