Cozart acquires Nemesis Scientific

Abingdon, UK-based Cozart, a medical diagnostics company, has expanded its presence in the workplace drug testing market with the acquisition of Nemesis Scientific Limited, at a cost of L1.1 million ($2.2 million). Nemesis is a provider of workplace drug and alcohol testing services and products to a blue-chip client base. It offers a variety of services including 24-hour "round the clock" sample collection and pre-employment, random and "for-cause" drug testing. Nemesis has established a network of 86 collection agents in the UK and overseas, and provides the workplace customer with a full range of services from drug testing policy provision through to training, sample collection, drug testing and result review.

In the year ended September 2006, the unaudited accounts of Nemesis show turnover of L705,00, profit before tax of L88,000 and net assets of L48,000.

The upfront cash consideration of L1.14m will be financed (net of expenses) by a vendor placing of 3,636,363 new Cozart ordinary shares with institutional and other investors. The placing has been fully underwritten at 33 pence per share by Numis Securities, nominated adviser and stockbroker to Cozart.