11 March 2014

Acquisition of leading tank storage specialist

Cape plc, the international provider of critical support services to the energy and mineral resources sectors, announces today that it has acquired UK-based Motherwell Bridge, a leading provider of storage tanks, gasholders and heat exchangers to the energy and steel markets.

The total consideration for the acquisition amounts to £37.65 million on a cash free, debt free basis, comprising of an initial cash consideration of £34.0 million, debt of £0.9 million, deferred consideration of £1.25 million contingent on a key contract win and up to £1.5 million related to future performance. The acquisition will be funded from the Group's existing debt facilities and is expected to be earnings enhancing in the current financial year ending 31 December 2014.

Motherwell Bridge, headquartered in Lanarkshire, Scotland, is recognised internationally as a leader in the specialist storage tank market.  The business has an excellent global brand reputation and has historically delivered a significant number of storage tanks around the world. In addition, Motherwell Bridge also provides and maintains gasholders for the global steel industry, and maintains and refurbishes heat exchangers primarily in the UK continental shelf.  Motherwell Bridge has a strong management team, all of whom will remain with the business post acquisition.

Motherwell Bridge employs approximately 300 people, primarily located in the UK.  For the year ending 31 December 2012, Motherwell Bridge generated EBITA of £4.8 million on a revenue of £34.6 million. Its gross assets as at 31 December 2012 were £42.4 million.

Commenting on the acquisition, Joe Oatley CEO of Cape said:

"The acquisition of Motherwell Bridge is in line with Cape's strategy to broaden our portfolio of critical industrial services.  Motherwell Bridge has tremendous expertise, reputation and brand recognition in the oil and gas storage tank market, including a market leading position in the UK and we expect to accelerate Motherwell Bridge overseas growth through Cape's international footprint. By combining the strengths of Cape and Motherwell Bridge we are uniquely able to provide a complete tank maintenance solution to clients in the oil and gas market."

Conference Call

The management of Cape will be hosting a conference call for analysts and investors this morning at 9:30am and the call can be accessed using the below dial in details:

Telephone: +44 (0) 20 3139 4830

Pin code: 39884963#

About Cape

Cape plc (www.capeplc.com), which is listed on the main market of the London Stock Exchange, provides a range of essential industrial services including access systems, insulation, refractory linings, painting, coating, blasting, industrial cleaning, training and assessment to industrial plant operators and major international engineering and construction companies.

As a single source provider, Cape is able to provide a range of specialist multi-disciplinary services specifically tailored to meet the needs of the client providing the most intelligent and cost efficient solutions for clients' in-plant maintenance and capital needs.

In the year ended 31 December 2012, Cape reported adjusted revenues of £749 million.  With scale and leading market positions across its international footprint, Cape employs over 21,000 people around the world.

For further information about Cape, please visit our websitewww.capeplc.com

About Motherwell Bridge

Motherwell Bridge is a market leading specialist in the design, build and maintenance of storage tanks, gasholders and heat exchangers for the oil & gas, power generation and steel manufacturing sectors.

Motherwell Bridge is recognised globally and serves many blue chip clients including many national and international oil companies.

Motherwell Bridge is a 'whole of life' supplier and offers a complete range of services across all markets including design, engineering, maintenance, construction and full project management. With more than 100 years experience both internationally and in the UK, offshore and onshore, the company's project portfolio includes some of the most prestigious and innovative projects in the world, including some of the world's largest built storage tanks.

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For more information contact:

Joe Oatley, Chief Executive, Cape plc

joe.oatley@capeplc.com

+44 (0)1895 459979

Michael Speakman, Chief Financial Officer, Cape plc

michael.speakman@capeplc.com

+44 (0)1895 459979

Bobby Morse, Ben Romney & Louise Mason, Buchanan

+44 (0)20 7466 5000


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