Acquisition approved

Adare Printing Group's shareholders approved the acquisition of Kalamazoo Security Group at a three minutes extraordinary general meeting yesterday. Kalamazoo, based in Birmingham, produces printing forms and was purchased for £12 million sterling. The acquisition is being financed from the proceeds of a placing of new Adare shares to raise £17.9 million. The shares had been provisionally placed with institutional shareholders but a claw-back arrangement allows existing shareholders to apply on the basis of three new shares for every eleven held at 640p a share. The proceeds are also being used to reduce borrowings and to provide flexibility for investment and expansion.