Management Consulting Group PLC

Management Reports • Oct 4, 2016

National Storage Mechanism | Additional information

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RNS Number : 6714L

Management Consulting Group PLC

04 October 2016

4 October 2016

This announcement contains inside information

Management Consulting Group PLC (the "Company" or "MCG")

Publication of Circular

Further to the announcement made by the Company on 22 September 2016, in which it announced that it had entered into an agreement with Accenture for the sale of Kurt Salmon, comprising the Kurt Salmon retail and consumer goods consulting businesses in the United States, Canada, the United Kingdom, Germany, China, Hong Kong and Japan (the "Disposal"), the Board of MCG is pleased to announce that a shareholder circular relating to the Disposal (the "Circular") has been approved by the UK Listing Authority. The Circular contains further details of the Disposal and a proposed court approved reduction of capital, which will enable the Board to make a capital return of up to £75 million, as well as the further matters set out below.

The Circular includes a notice convening a general meeting of the Company to be held at the offices of Baker & McKenzie LLP, 100 New Bridge Street, London EC4V 6JA at 11.00 am on 21 October 2016, to seek shareholder approval for:

(a)        the Disposal;

(b)        a reduction of capital comprising:

(i)         a reduction of the Company's share premium account by up to £75 million, with the amount reduced to be repaid to shareholders pro rata to their shareholding; and

(ii)        the cancellation of the deferred shares of the Company to create additional distributable reserves;

(c)        the grant of bonuses to Nicholas Stagg (the Chief Executive) and Christopher Povey (the Finance Director) in connection with the Disposal and the disposal of the Company's US healthcare business which completed on 29 July 20161; and

(d)        amendments to the Company's Restricted Share Plan and Restricted Share Plan 2.

The Circular has been published, and, together with the form of proxy for the general meeting, is being posted to shareholders today. A copy of the Circular and the accompanying form of proxy will also shortly be submitted to the National Storage Mechanism and will be available for inspection at www.morningstar.co.uk. In addition, the Circular will be available to view on the Investors page of the Company's website (www.mcgplc.com/investors) and available for inspection during normal business hours on any weekday at the offices of the Company at 10 Fleet Place, London, EC4M 7RB and at the offices of Baker & McKenzie LLP, 100 New Bridge Street, London, EC4V 6JA.

References:

1 The bonus value is £550,000 for the Chief Executive and £200,000 for the Finance Director. These payments fall within the requirements of Listing Rule 11.1.10R.

For further information please contact:

Management Consulting Group PLC
Nick Stagg	Chief Executive	020 7710 5000
Chris Povey	Finance Director	020 7710 5000
FTI Consulting
Ben Atwell		0203 727 1000

This information is provided by RNS

The company news service from the London Stock Exchange

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