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Tandem Acquires Dawes Cycles

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UK (June 26)-Tandem has announced the acquisition of the business of Dawes Cycles (Dawes) for an initial consideration of EUR380, 000 payable by the issue of 4,200,000 Tandem ordinary shares. Application will be made to admit these shares to AIM. Admission is expected to take place on July 2nd, 2001. Recipients of these shares have […]

UK (June 26)-Tandem has announced the acquisition of the business of Dawes Cycles (Dawes) for an initial consideration of EUR380, 000 payable by the issue of 4,200,000 Tandem ordinary shares. Application will be made to admit these shares to AIM. Admission is expected to take place on July 2nd, 2001. Recipients of these shares have agreed not to dispose of the shares for a period of 18 months post completion. In the year ended 31 October 2000 Dawes had a turnover of EUR11 million and made an operating loss of EUR1.12 million, including exceptional cost of EUR575, 000. “We are delighted to have acquired such a strong brand to add to our existing bicycle business. We intend to manage the Dawes business independently from the Group’s Falcon operations, however, the expected synergies from the acquisition should lead to reductions in cost and an expansion of our customer base”, said Tandem Finance Director Mervyn Keene. This the third acquisition Tandem has made in the last nine months. The others being the acquisition of Pot Black (UK) Limited and Two Wheel Trading Limited last September.

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