NCC Group plc (LSE: NCC, "NCC Group" or "the Group"), the international, independent provider of Escrow Solutions, Assurance Testing and Consultancy, has acquired Escrow Europe Holdings B.V. ("Escrow Europe"), a pan-European escrow solutions company, for a maximum consideration of up to Euro10.5m in cash.

This earnings enhancing acquisition will increase the Group's share of the European escrow market and substantially develops its international presence.

The Group also reported its interim results for the six months to 30 November 2007. Overall Group revenue grew by 42% to £16.4m (£11.5m in 2006) and adjusted operating profits by 41% to £4.7m (£3.3m in 2006). Adjusted fully diluted earnings per share improved 44% to 9.8p (6.8p in 2006) and the Board has approved the payment of an interim dividend of 2.25p, up by 50%.

Escrow Europe provides independent escrow solutions and escrow verification testing services to approximately 10,000 clients, predominately located in Europe, through 1,000 escrow agreements.

The initial consideration on completion is Euro7.5m, with a further performance related payment of up to Euro3.0m. The latter is expected to be paid in two parts at the end of March and June 2008.

For the year ended 31 December 2007, Escrow Europe's accounts are expected to show, before application of NCC Group accounting policies including deferred income, revenue of over Euro2.3m, earnings before interest and tax of Euro0.8m, including in the region of Euro1.0m of annual recurring revenues and net assets of not less than Euro623,000.

On 31 December 2007, Escrow Europe, with NCC Group's approval, acquired the escrow contracts of Getronics PinkRoccade, a Netherlands IT services provider, providing further annual recurring revenues of approximately Euro300,000.

NCC Group expects that the business should contribute over Euro1.0m of profits on revenues of Euro2.5m in its first 12 months of NCC Group ownership.

Escrow Europe, which was established in 1989 is based in Amsterdam, Netherlands, with a subsidiary in Munich, Germany, and franchised sales operations in Switzerland, Belgium, Sweden, South Africa and Israel. It currently employs 10 people and has a client base across all sectors of the market including Delta Lloyd Group, a major financial services provider in the Netherlands and Logica CMG.

The operation will be managed within NCC Group's Escrow Solutions division. It will provide increased potential for developing existing European accounts and offer clients an improved account management service in their native languages. The policy of maintaining a neutral stance favouring neither licensees nor suppliers and providing mandatory testing of escrow deopsits complements the Group's independent status and position as a 'trusted advisor' to its clients. The company will trade as "Escrow Europe, an NCC Group Company."

The Escrow Europe operational management team is staying with the business. The Group expects to benefit from their knowledge and experience of the European escrow market.

Stuart Moss of Rickitt Mitchell advised NCC Group plc on the acquisition of Escrow Europe.