DMG Information acquires e data resources, inc.

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Monday 10 May 1999

The acquisition of the 85% of e data resources, inc. (edr) not already owned by Daily Mail & General Trust plc (DMGT) was completed on May 7 by DMG Information (DMGI) through a US subsidiary.

This transaction was previously announced on February 23 following agreement of the principal terms.

edr, based in Southport, Connecticut, is the market leader in the provision of geographically-based environmental risk management information in the USA.

It also serves the municipal geographic information market, through its Sanborn division, and the global telecommunications market, through its Strategis division. The majority of edr's products and services are delivered in electronic form, principally over the internet.

The total consideration paid on completion was US$86 million, which taken together with the US$11.5 million initial investment made in 1997/98, means DMGI have paid US$97.5 million to acquire the business. Additional consideration of up to US$9.0 million will be payable based in part on 1999 performance.

In the year ending December 31 1998, edr had audited revenues of $34.6 million.

The acquisition of edr significantly enhances DMGI's existing interests in risk management information businesses.

Other businesses include Risk Management Solutions, a global leader in information for the management of insurance and financial risks, Landmark Information Group, an environmental risk information business, and Dolphin Software, a hazardous chemical risk information business. edr, Risk Management Solutions and Dolphin Software are all based in the USA.

The acquisition of edr has been financed from existing DMGT debt facilities and the transaction is expected to be earnings enhancing, before any amortisation of goodwill, in the current financial year.

Enquiries to:
Martin Morgan, Managing Director, DMGI - +44 (0) 1223 273 420
Paul Sykes, Finance Director, DMGI - +44 (0) 1223 273 420
Martha Notaras, Development Director, DMGI - +1 203 359 5679
Peter Williams, Finance Director, DMGT - +44 (0) 171 938 6631