For immediate release: February 10, 2003
MDA Acquires Leading Land Information Company in ScotlandRichmond, B.C. - MacDonald, Dettwiler and Associates Ltd. (TSX: MDA) announced today that the company is expanding into a new geographic market with its Information Products Group by acquiring the largest and most established commercial provider of title and legal information in Scotland - Millar & Bryce Limited.
Headquartered in Edinburgh, Millar & Bryce has 115 employees and presently operates at an annualized revenue of about £7.4 million, ($18.6 million CDN). Millar & Bryce Ltd. has about a 60% market share, supplying information products to over 1,000 legal, accounting, and banking firms throughout Scotland.
This acquisition establishes MDA as the leading land and property information supplier in Scotland, said MDA President and CEO Dan Friedmann. It expands our business geographically into a jurisdiction with common fundamentals to England, the U.S., and Canada. It also provides a strong steady cash flow to our Products business.
David Nicoll, Managing Director of Millar & Bryce Ltd. said: "MDA`s considerable experience in the property market in several countries will assist Millar & Bryce to expand its services to clients. This may well include new services to the UK market. For our company, this deal presents exciting opportunities for future growth."
MDA is paying basic consideration of £7.75 million for Millar & Bryce Ltd., with an additional £1.5 million of earn-out based on performance against net cash earnings targets. The transaction is expected to be accretive to MDAs earnings in 2003. Certain product acquisitions and new initiatives, including this one, are consistent with the business plan.
Investor/Analyst Conference Call Today
MDA President and CEO Daniel Friedmann, and Vice President and CFO Anil Wirasekara will be available on a Conference Call today, February 10th at 2:00 pm Pacific (5:00 pm Eastern) to discuss the acquisition of Millar & Bryce Ltd. and to answer questions.
To participate, please call the conference line approximately five minutes prior to the commencement of the call:
Toll free in North America: 1-800-273-9672
In Toronto: (416) 695-5806
A replay of the conference call will be available for 48 hours after its completion by dialing:
Toll free in North America: 1-800-408-3053
In Toronto: (416) 695-5800
Forward Looking Statements
Some statements in this document look forward in time and deal with other than historical or current facts for MDA. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations, including but not limited to the risks associated with general business conditions in Scotland; competition in the Millar & Bryce Limited business area; adverse regulatory actions; and the generation of revenues and the achievement of earnings by Millar & Bryce Limited. For additional information with respect to certain of these and other factors, see the reports filed by MDA with Canadian provincial securities commissions.
MDA disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
For more information, please contact: