About Prime People

Background

Prime People Plc has been trading since 1986 and in June 2004 moved to AiM having been on the main London market since May 1995.

On 9 December 2005 the Board of Prime People Plc announced that it had conditionally agreed to a reverse takeover by Macdonald & Company Group (Macdonald), an independent professional recruitment consultancy focused on the commercial property sector. The acquisition was completed on 3 January 2006 and dealing on AiM in the enlarged Share Capital commenced on 4 January 2006.

At the reverse, Prime People Plc group's principal business became that of Macdonald. Subsequently the Group has established new revenue lines within the built environment recruitment sector and grown its overseas operations.

Strategy

The Group plans to further build its share of UK and International real estate, infrastructure and commercial property recruitment markets organically and by acquisition of businesses and/or teams to:

• Grow existing areas of specialism where demand from clients suggest this is appropriate;
• Further develop its new business in property related areas of energy and sustainability;
• Build on the opportunities provided by its international offices in Dubai, Hong Kong and Johannesburg; and
• Explore further opportunities for international expansion.

Where the Group is able to identify acquisition targets of an appropriate size and operational fit it aims to pursue these. The Group's growth strategy is, however, focussed on optimally exploiting its highly developed and sophisticated 'platform' for the delivery of recruitment services to professional sectors by establishing new business in niche areas which can be rolled out into the Group's overseas office network. In pursuing this strategy the group has established an 'insights recruitment consultancy' which is now a leading business servicing the market research industry in the UK.