- Creston reports headline pre-tax profits of &pound4.5 million for the six months to the end of September - up 13% - and an agreed offer from RedWhiteBlue Digital Marketing Services valuing the group at &pound75.8m.

Under the terms of the acquisition, shareholder will receive 126.42 pence in cash for each Creston share comprising 125 pence in cash payable and the right to retain the 2016 interim dividend of 1.42 pence announced today.

The offer represents a premium of approximately 35.2% to last night's closing price for the marketing communications group.

RedWhiteBlue Digital Marketing Services is indirectly owned and controlled by investment funds controlled and managed by DBAY Advisors Limited.

Creston's financial highlights for the half year are:

- Revenue broadly flat at £40.0 million (H1 2016: £40.3 million) - Like-for-like revenue decline of 4% to £38.7million - International revenue up 11% to £14.2 million (H1 2016: £12.8 million)

- Growth on Headline PBIT and margin due to on-going operational efficiencies - Headline PBT up 13 per cent to £4.5 million (H1 2016: £4.0 million) - Headline DEPS up 16 per cent to 5.77 pence (H1 2016: 4.98 pence) - Reported PBT at £3.8 million (H1 2016: £1.1 million) - Reported DEPS at 4.70 pence (H1 2016: 0.47 pence) - Net cash of £1.4 million (31 March 2016: net cash of £1.4 million), with nil deferred consideration - Half year dividend per share maintained at 1.42 pence (H1 2016: 1.42 pence) Group chief executive Barrie Brien said: "Despite the challenging economic and trading environment, the Group's headline profits grew 13 per cent in the first half of the year. Creston has achieved steady progress in implementing the Group's five-year strategy of growing the breadth of services to clients under the Unlimited offer and, as a result, our top 20 clients and international revenue have grown by 12 per cent and 11 per cent respectively.

"Today, the Independent Directors of the Board have also announced their intention to unanimously recommend to shareholders a cash offer for the entire share capital of Creston plc by DBAY Advisors. As the business and our clients' requirements continue to develop, and in light of uncertain market conditions, the Board of Creston has given careful thought about how best it pursues this strategy to deliver value for shareholders, clients and staff.

"As such, the Independent Directors of Creston consider that recommending this cash offer will provide most shareholders with the opportunity to realise value from their investment in cash at an attractive premium. Furthermore, it offers the business, with the support of DBAY Advisors, the ability to continue to grow the Unlimited Group as a private company, which we believe is in the best interests of our clients and staff."

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