SLR Group Ltd

ISIS Equity Partners plc ("ISIS") is pleased to announce its recent investment in SLR, a leading UK environmental consultancy. ISIS has invested £4.85 million as part of the £13 million transaction, which includes senior debt facilities from Lloyds TSB.

SLR is a multi-disciplinary environmental consultancy, providing services to a broad range of commercial, industrial, regulatory and governmental clients throughout the world, including Severn Trent, Viridor, WRG and Scottish and Southern Energy. Key areas of expertise are waste management, where SLR is UK market leader; contaminated land and renewable energy. Over the last 10 years, SLR has delivered strong and consistent organic growth and today employs around 200 staff from its network of 12 offices located across the UK and USA. Turnover is c. £15 million in the current year.

Alongside its continued organic growth plans, SLR plans to develop further via a carefully targeted acquisition strategy in a market which continues to have a high growth rate, yet remains highly fragmented. In delivering this strategy, SLR will be supported by ISIS - which has committed additional capital to support the acquisition programme - and Lloyds TSB.

David Richards, CEO of SLR, stated: "With the financial backing of ISIS and Lloyds TSB we believe SLR has the potential to become one of the leading environmental consultancies in Europe. Over the past few months we have developed an excellent working relationship with ISIS, and are already working with them and Lloyds TSB on initial acquisitions in both Europe and the US".

Liz Jones of ISIS commented: "SLR has an excellent growth track record and has continued to develop a strong reputation in its core areas of expertise. The opportunities for consolidation in this sector are very attractive and we believe SLR is a first-rate platform for continued organic and acquisition led growth."

Liz Jones, Daniel Smith and Shani Zindel led the transaction for ISIS. Kevin Whittle will join the SLR board on behalf of ISIS.

Dawnay Day originated the transaction and advised management. Beechcroft Wansbrough were the legal advisers to management with Olswang providing legal advice to ISIS.

Published: 21 September, 2004