Press release from CNW Group
IBI Income Fund announces the Acquisition of Nightingale Architects Limited from Tribal Group plc.
Tuesday, June 01, 2010
IBI Income Fund announces the Acquisition of Nightingale Architects Limited from Tribal Group plc.13:30 EDT Tuesday, June 01, 2010TORONTO, June 1 /CNW/ - IBI Income Fund (The "Fund") (TSX: IBG.UN) announced today the closing of the acquisition of Nightingale Architects Ltd. from Tribal Group PLC.Nightingale Architects (Nightingale) is a leading architectural practice, specialising in facilities for health care and for education and science. The practice has been in existence for over twenty years and has grown steadily to its current complement of 240 members operating in six offices in the UK, as well as an office in South Africa.Nightingale is a practice leader in social infrastructure in the UK, actively engaged in major building projects in that base of operation and internationally including Eastern Europe, the Gulf, Australia and South Africa. The firm is an architect of choice of public agencies, as well as private development proponents/construction contractors for the delivery of health care facilities through private finance initiatives (PFI), public private partnerships (P3), and design build. These major private companies, operating in the UK are also similarly engaged in other world markets affording Nightingale the opportunity to provide architectural services for these clients for projects elsewhere.Phil Beinhaker, Chairman Director and CEO of the IBI Group noted that, "The integration of the executive team of Richard Harrington, Executive Chairman; Colin Hockley, Managing Director; and Andrew Jackson, Finance and Commercial Director; the management team of some thirty five director/practice leaders; their outstanding colleagues on the staff and of founder Mike Nightingale, renowned expert and "ambassador" for the practice, within the IBI Group is a highly strategic advancement in relation to three basic objectives of the IBI Group: << - Building the World Platform of the Firm; expanding the scope of IBI activities beyond the prime presence of the firm in North America. - Becoming a leader in world scale projects in health care and other areas of social Infrastructure; adding breadth and depth of health care expertise to IBI's momentum in the architecture of health care including the recent award of the McGill University Medical Health Centre, and in education and science. - Strengthening the Business of the Firm; inherent synergy between the IBI platform of operating offices in China, India, the Gulf, Eastern Europe/Eastern Mediterranean, in USA and Canada with the world leading capability in health of Nightingale together with its practices in education and science facilities." >> David Thom, Managing Director of IBI Group with responsibilities for the urban land and facilities practice including IBI's health care practice noted that; "Nightingale adds to IBI the depth of detailed knowledge and experience to enable IBI together with Nightingale to successfully accomplish all of our current major assignments, as well as continue to grow the combined practices. Health care facilities are required on a continuing basis throughout the entire world from developing to developed society in responding to the health challenges of the growing world population and enhanced quality of life. This will strengthen IBI's ability to contribute to this world demand thereby benefitting society as well as the practice of the firm".Phil Beinhaker continued; "The business arrangements that we have settled provide for three executive leaders together with the founder, Mike Nightingale, all of the management and staff to continue with the firm." The consideration is GBP12.1 million for goodwill and working capital, with an adjustment mechanism to a limit of an increase or decrease of GBP1 million.Richard Harrington noted that; "Nightingale Architects are proud of our brand name including our research, design and deep knowledge of the critical, technical matters in health as well as education and science. We are encouraged that IBI will retain the brand name and enable us to enhance it further." Colin Hockley noted that; "Our successes are based on our effectiveness in the integration of our individual offices enabling us now to reach more aggressively into foreign markets and, now strategically aided through our new alliance within the IBI Group". Andrew Jackson noted that; "The IBI commitment and achievement to date in the building of a world scale practice will materially strengthen the Nightingale ability to respond to the opportunities of the growth perspectives of our Clients in the UK and around the World."Commenting on the disposal of Nightingale, Peter Martin, Chief Executive of Tribal said: "Tribal's core markets are education, health and Government, for which we provide service delivery, advisory and technology solutions. Nightingale, while an excellent business, is no longer central to our strategic direction. It is a good fit for IBI and we wish both parties continued success in the future".About IBI FundThe Fund is a TSX listed Income Trust, which pays monthly distributions and trades under the symbol "IBG.UN". The Fund holds an indirect 71.7% in the IBI Group, a Partnership which, directly and through its subsidiary entities, provides professional services, including planning, design, implementation, analysis of operations and other consulting services in relation to four main areas of development, being urban land, building facilities, transportation networks and systems technology. The remaining 28.3% of the IBI Group is owned by IBI Group Management Partnership and IBI Group Investment Partnership, which together with their share in the indirect interest of the Fund holds a combined 46.3% interest.%SEDAR: 00021044EFor further information: Philip H. Beinhaker, IBI Income Fund, 230 Richmond Street West, Toronto, Ontario, M5V 1V6, Telephone: (416) 596-1930