GAP secures Western Union franchise in UK

G.A.P. Vassilopoulos Group of companies, which represents Western Union in Cyprus, has reached an agreement for the representation of Western Union in the United Kingdom (England, Scotland, Whales, Northern Ireland, Channel Islands, The Isle of Man and Gibraltar). Western Union is the biggest company of electronic transfer of cash in the world, with a network of more than 280,000 service points in more than 200 countries.
The representation will be carried out via the newly-established company G.A.P. Vassilopoulos U.K. The new company has secured the necessary license in order to provide its services in the United Kingdom.
G.A.P. Vassilopoulos U.K will carry out its activities via a large network of branches of its own firm and via associates. This development is expected to increase the Group’s turnover and to affect positively its future profits, as well as to increase the bank balances, the debtors and the creditors of the Group.
Part of its new activities demand the permanent settlement in the United Kingdom and the results will be subject to the local taxation.
The funding of the new activities has been secured with an agreement reached with Niceman Enterprises Ltd for its participation (35%) in the share capital of the new Company with GBP4 mln (EUR5,815,000) as an exchange. The agreement is at arm’s length.
The developments above are expected to affect positively the profitability in the consolidated results of G.A.P. Vassilopoulos Public Ltd for the year ended December 31, 2007 by CYP1.5 mln (EUR2,581,000).