14
acquisition
of subsidiary
undertakings
cont... |
Following a review of the fixed asset
register and the trade debtors acquired, write downs were made
to reflect the fair value and recoverability of the assets as
at the date of acquisition. |
 |
| Since acquisition, the healthcare systems business
of Northgate Information Solutions plc contributed £3,507,000
to the Group operating cash inflow. |
|
| Pre-acquisition performance of the healthcare
systems business of Northgate Information Solutions plc |
|
| |
The summary trading results of the healthcare systems
business of Northgate Information Solutions plc for the preceding
financial year ended 30 April 2002 and from 1 May 2002 to the
date of acquisition are as follows: |
|
| |
|
| |
12
months to
|
|
Period
to |
|
| |
30 April 2002 |
|
31
July 2002 |
|
| |
£'000 |
|
£'000 |
|
| Turnover |
10,400 |
|
2,185 |
|
| Operating costs |
(8,200) |
|
(2,007) |
|
 |
 |
|
|
|
| Profit before taxation |
2,200 |
|
178 |
|
|
|
|
|
|
|
|
| |
| |
ii_Acquisition of Revive
Group Limited |
|
| |
On 27 November 2002 the Group acquired 100% of the issued share
capital of Revive
Group Limited whose assets and liabilities were as follows: |
|
| |
| |
Book |
|
Fair
value |
|
Fair |
|
| |
value |
|
adjustment |
|
value |
|
| |
£'000 |
|
£'000 |
|
£'000 |
|
| Tangible
fixed assets |
65 |
|
(34) |
|
31 |
|
| Debtors |
333 |
|
– |
|
333 |
|
| Creditors |
(410) |
|
– |
|
(410) |
|
|
|
|
|
|
|
|
| Net separable assets
acquired |
(12) |
|
(34) |
|
(46) |
|
| Goodwill |
|
|
|
|
4,231 |
|
|
|
|
|
|
|
|
| |
|
|
|
|
4,185 |
|
|
|
|
|
|
|
|
| Satisfied by: |
|
|
|
|
|
|
| Cash consideration on acquisition |
|
|
|
|
500 |
|
| Shares issued on acquisition |
|
|
|
|
500 |
|
| Deferred consideration |
|
|
|
|
3,050 |
|
| Acquisition costs paid |
|
|
|
|
135 |
|
|
|
|
|
|
|
|
| |
|
|
|
|
4,185 |
|
|
|
|
|
|
|
|
|
|
| |
| |
The deferred consideration balance of £3,050,000 is payable
upon satisfaction of certain performance criteria by the acquired
company and remains payable at the balance sheet date. |
|
| |
The fair value adjustment relates to a write down following
a review of the fixed asset register. |
|
| |
Since acquisition, Revive
Group Limited has contributed £353,000 to the Group
operating cash inflow. |
|
| |
| |
Pre-acquisition performance of Revive
Group Limited |
|
| |
The summary trading results of Revive
Group Limited for the 18 month period ended 30 September 2002
and from 1 October 2002 to the date of acquisition are as follows: |
|
| |
| |
18
months to |
|
Period
to |
|
| |
30 September
2002 |
|
27
November 2002 |
|
| |
£'000 |
|
£'000 |
|
| Turnover |
1,730 |
|
123 |
|
| Operating costs |
(1,891) |
|
(287) |
|
|
|
|
|
|
| Operating loss |
(161) |
|
(164) |
|
| Net interest paid |
(2) |
|
– |
|
|
|
|
|
|
| Loss before taxation |
(163) |
|
(164) |
|
|
|
|
|
|
|
|
| |
15
debtors |
| |
Group |
|
Company |
|
Group |
|
Company |
|
| |
2003 |
|
2003 |
|
2002 |
|
2002 |
|
| |
£'000 |
|
£'000 |
|
£'000 |
|
£'000 |
|
| |
|
|
|
|
|
|
|
|
| Trade debtors |
10,859 |
|
– |
|
7,347 |
|
– |
|
| Amounts owed by Group
undertakings |
– |
|
71,863 |
|
– |
|
24,848 |
|
| Deferred taxation (Note
18) |
566 |
|
– |
|
– |
|
– |
|
| Other debtors |
175 |
|
25 |
|
485 |
|
43 |
|
| Prepayments and accrued income |
19,513 |
|
98 |
|
10,815 |
|
112 |
|
|
|
|
|
|
|
|
|
|
| |
31,113 |
|
71,986 |
|
18,647 |
|
25,003 |
|
|
|
|
|
|
|
|
|
|
|
|
