Tarsus Group plc, the international business-to-business media group, has conditionally agreed to acquire 50 per cent of the China International Automotive Aftermarket Industry and Tuning (Guangzhou) Trade Fair (“GZ Auto”) and other associated business assets. The joint venture and the exclusive GZ Auto-related support and services fee will be for a maximum sum of RMB112 million (equal to approximately £11.2 million) payable in cash (the “Transaction” or “Joint Venture”).
The Joint Venture is subject to regulatory approval in China and certain other conditions. Completion is expected within the next three months. Upon the agreement becoming unconditional, Tarsus will pay approximately RMB72 million (equal to approximately £7.2 million) in 2012, with the remaining sum payable in 2013 and 2014, subject to the achievement of certain profit targets related to future performance. The Transaction will be funded from the Group’s existing cash resources and available bank facilities.
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