Davenham Group PLC - Offer Talks Terminated

RNS Number:8440L
Davenham Group PLC
15 January 2008

15 January 2008

DAVENHAM GROUP PLC ("DAVENHAM" OR THE "COMPANY")

The board of Davenham ("the Board") notes the announcement issued by ACP Capital
Limited ("ACP Capital") at close of business yesterday, which brought the offer
period in respect of the Company to an end.

Since the announcement of ACP Capital's refinancing on 20 December 2007 (which
was a pre-condition of the indicative offer made in October 2007), ACP Capital
has not made any proposal to the Board and, save for yesterday's announcement,
has not communicated its intentions with regard to its indicative offer, or
sought further dialogue with the Company.

The Board notes ACP Capital continues to be a strategic investor in Davenham.
However, the Board still lacks sufficient detail from ACP Capital to evaluate
the viability of its strategic input. The Board remains open to any dialogue on
the subject of strategy with ACP Capital (and others) which may enhance value
for Davenham's shareholders.

The Board remains committed to its strategy of building a specialist UK SME
financing business, which has delivered a strong track record of growth,
prospering through a variety of economic conditions.

As part of its normal communications programme, the Board expects to issue a
trading update announcement on 23 January 2008. Davenham continues to trade in
line with expectations, supported by its principal banking facilities, which are
committed until December 2009 and which provide it with the flexibility to
continue implementing its growth strategy. The Board believes that the current
tightening in market conditions and availability of credit to customers will
provide additional attractive lending opportunities for Davenham.

Davenham's nominated adviser is Hawkpoint Partners Limited (contact names:
Lawrence Guthrie / Joseph Ayala).

Hawkpoint Partners Limited, which is authorised and regulated in the United
Kingdom by the Financial Services Authority, is acting exclusively for Davenham
and no-one else in connection with the approach by ACP Capital and will not be
responsible to anyone other than Davenham for providing the protections afforded
to clients of Hawkpoint Partners Limited nor for providing advice in relation to
the approach by ACP Capital.

This information is provided by RNS
The company news service from the London Stock Exchange

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