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Valpak Members Approve Buy-Out

27 January 2012

Valpak yesterday (26 January) announced that members have voted in favour of the proposed management-led buyout

At a meeting held this morning, approximately 91 percent of voting members approved the offer recommended by the Independent Directors of Valpak, which will see the mutual transition to a limited liability company.

Every member will receive up to £610 (£2.5m in total). Over 30 percent of voters have nominated that the money be donated to charity (either Water Aid or The Woodland Trust).

The management team will acquire 70 percent of the business and Greenpoint Holdings S.C.A. ("Greenpoint") the remaining 30 percent. Greenpoint, owner of DSD, the principle compliance scheme in Germany, will enhance the European credentials of the Valpak board and has committed to investing up to £2m for development and diversification of Valpak's services and products. Chairman Lord Deben, chief executive Steve Gough and finance director Philip Gale will continue to lead this successful business.

Gerry Orbell, Senior Independent Director, Valpak said "Having carefully considered all expressions of interest, and taken independent advice, I am confident that the joint management and Greenpoint bid offered the best option for members, employees and the future of the company. I am extremely pleased that members have voted in favour of proposal; it is both a testament of their commitment to Valpak as a gold-standard service provider and of their confidence in the current management team.

"Throughout this process the feedback from members has been overwhelmingly positive, it has never been about the money but about the best people who can continue to provide the best value-adding services. I am delighted with the result which I believe will see an enhancement of Valpak's current offering and, in the long term, a platform for the development of new compliance services and products in UK and into the continental European and global market. "

www.valpak.co.uk

Darrel Moore