Spanish acquisition brings B3 Cable<br>to number three in the world

The deal is expected to complete at the end of Quarter 1 2008, subject to due diligence and finalisation of the necessary agreements and approvals. On completion B3 will become the third largest manufacturer of metallic telecommunication cable in the world and the largest outside the USA market. This deal would represent the fourth acquisition by the Group since the beginning of 2006 and makes B3 the fastest growing cable manufacturer in the world. This acquisition follows hard on the heels of the B3's announcement in November 2007 that it had agreed to purchase UM Cables Ltd, one of India’s leading manufacturers of optical fibre and copper telecom cables employing 140 people and with a turnover of $60M. The Manchester and Ireland acquisitions carried out in 2006 were the first milestones in B3’s strategy of building a successful company through a combination of organic growth and acquisition. The operation in Santander serves high profile telecommunications companies across mainland Europe. It employs approximately 340 people for 75M€ of turnover and 29M€of capital employed. Significantly for B3, the business also has an impressive rail company client list and the acquisition of the business will enable B3 to further grow its market share in the rail cabling sector. Steve Ellis, Managing Director at B3 is excited by this acquisition, “The acquisition of the Santander business is a significant development for the Group and further demonstrates our commitment to growth through selective acquisition. Our UK and Ireland operations are established as service providers to energy and telecommunications businesses in the UK, this acquisition will strengthen and expand our customer base across mainland Europe. It is also strategically important to us as it further diversifies our addressable markets through Santander’s strong position in the railways signalling market.”