Computer Horizons Completes Acquisition of UK-based Spargo Consulting PLC; Company Expands Solutions, EMU and International Capabilities.MOUNTAIN LAKES, N.J.--(BUSINESS WIRE)--June 30, 1998--Continuing its aggressive globalization globalization Process by which the experience of everyday life, marked by the diffusion of commodities and ideas, is becoming standardized around the world. Factors that have contributed to globalization include increasingly sophisticated communications and transportation program, Computer Horizons Corp. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : CHRZ), a diversified information services See Information Systems. and products company, today announced that its offer for London Stock Exchange-listed Spargo Consulting PLC has been successfully completed. The offer, which was made on June 3, 1998, became wholly unconditional with acceptances aggregating over 90% of Spargo Consulting's issued shared capital. Computer Horizons therefore has the right under English Company Law to acquire compulsorily the remaining shareholdings of those Spargo Consulting stockholders on the same terms as the initial offer. Computer Horizons is acquiring Spargo Consulting in exchange for common stock. Under the terms of the offer, each share of Spargo Consulting receives 0.15096 of a share of Computer Horizons common stock. The transaction involves the issue of approximately 1.9 million shares of common stock representing slightly less than 6.6% of Computer Horizons' current outstanding common stock, with an approximate value of $67.4 million. Spargo Consulting's board of directors recommended the offer to its shareholders. "After carefully reviewing dozens of acquisition candidates, we selected Spargo Consulting because it best matched our strategic goals," stated John Cassese, President and Chairman of Computer Horizons. "Further, based on their historical financial performance, we believe the acquisition will be immediately accretive. A successful UK IT solutions firm, Spargo has been able to attract an impressive array of blue chip clients, many of which are the European affiliates of US headquartered Fortune 500 companies. Expanding upon Noun 1. expanding upon - adding information or detail expansion step-up, increase - the act of increasing something; "he gave me an increase in salary" their current strategic offerings -- including their emerging EMU emu or emeu (both: ē`my  ), common name for a large, flightless bird of Australia, related to the cassowary and the ostrich. practice -- matches our stated beyond Year 2000 strategy."
"The acquisition of Spargo Consulting further enables Computer Horizons to better respond to the growing demand for our services in the UK, and complements our existing strengths in the US market. Spargo Consulting brings with it considerable infrastructure and an experienced management team which will strengthen Computer Horizons' global presence. Up to now, the amount of Computer Horizons revenue derived from sources outside the U.S. has not been significant," added William J. Murphy, Chief Financial Officer and Executive Vice President of Computer Horizons. Tony Spargo, President of Spargo Consulting, who will be staying with the acquired company, stated, "The acquisition will enable, for the first time, Spargo Consulting to service its customers on the US side of the Atlantic while increasing its offerings on the British side. Being able to add Computer Horizons' Year 2000 capabilities to our EMU practice will be a win-win situation for all of our clients." "Spargo Consulting has built itself into a leading UK-based information technology service provider," said Bob Morton Bob Morton is also the name of a character in Robocop. Bob Morton is an electrical engineer and Chairman/Executive Director of the Naturist Action Committee, an organization dedicated to defending the rights of naturists everywhere. , Chairman of Spargo Consulting. "By combining with Computer Horizons we can expand and develop the range of services that we can offer, add resources to support our growing client base and enhance our quality of service." Spargo Consulting is an information technology consultancy service provider in the UK offering a range of services in software applications including build, maintenance and enhancement, for a largely blue chip client base in the UK. Spargo Consulting's target customer base comprises large computer users in major corporations, financial institutions and leading consulting companies Noun 1. consulting company - a firm of experts providing professional advice to an organization for a fee consulting firm business firm, firm, house - the members of a business organization that owns or operates one or more establishments; "he worked for a based in the UK, the US and in Western Europe Western Europe The countries of western Europe, especially those that are allied with the United States and Canada in the North Atlantic Treaty Organization (established 1949 and usually known as NATO). . Spargo Consulting's client list includes Lloyds TSB Lloyds TSB Group plc (LSE: LLOY) is a banking and insurance group in the United Kingdom. It was formed in 1995 by the merger of Lloyds Bank and the Trustee Savings Bank (TSB). The Group's head office is at 25 Gresham Street, London. Plc, Xerox Limited, J.P. Morgan, J.H. Marsh & McLellan Limited and Ladbroke Racing Limited. Computer Horizons Corp., founded in 1969, is a diversified information technology services company with 4,000 employees worldwide. Through its international network of 50 offices in the US, UK, and Canada, it provides clients with resource augmentation AUGMENTATION, old English law. The name of a court erected by Henry VIII., which was invested with the power of determining suits and controversies relating to monasteries and abbey lands. and advanced technology solutions to business problems through applications development, client/server migration, network management, emerging technologies, and legacy systems maintenance, including its industry-leading solution to the millennium date-change problem, Signature 2000. Please visit our Web site at http://www.computerhorizons.com. E-mail address See Internet address. e-mail address - electronic mail address for more information is: information@chc.fabrik.com. This press release includes certain "forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. " for purposes of the "safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. " provisions of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995 that involves risks and uncertainties that could cause actual results to differ materially. Such statements are based upon, among other things, assumptions made by, and information currently available to, management, including management's own knowledge and assessment of Computer Horizons' industry and competition.
CONTACT: Computer Horizons
David Reingold/William Murphy, 973/299-4000
E-mail: dreingold@computerhorizons.com
E-mail: wmurphy@computerhorizons.com
or
Ruder Finn
Stacy Lipschitz/Laura Hupprich
212/583-2757 / 212/593-6387
E-mail: lipschitzs@ruderfinn.com
E-mail: hupprichl@ruderfinn.com
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