24 November 2010 – potential acquisition

The group has confirmed that it is in discussions which may lead to a significant acquisition being made in Australia.  Any such acquisition would be funded by debt finance, presumably as the share price has fallen so far that the company does not wish to issue shares at the current level.  The acquisition would be expected to enhance earnings per share and may prove to be the catalyst to stop the slide in the share price.  This now appears to have gone too far and we believe that at this level the shares are a BUY.