Braemar Shipping Services plc Acquisition of 80% of Fred. Olsen Freight Limited

The Board of Braemar Shipping Services plc is delighted to announce that its whollyowned subsidiary, Cory Brothers Shipping Agency Limited has today acquired 80% of the share capital of Fred. Olsen Freight Limited (“FOFL”). FOFL provides a range of freight forwarding and liner agency services for a predominantly UK client base. It has 50 employees mainly based in Ipswich. The business will be brought together with Cory’s logistics business which is based in Felixstowe and run by John van Bergen, Cory’s director for freight forwarding and logistics. The purchase price payable for the 80% interest is £1.3 million to be satisfied in cash from internal resources. The amount is adjustable depending on final results for 2007 and profitability during 2008. In the year to 31 December 2007 FOFL is expected to generate revenues of £15 million and pre-tax profits of approximately £400,000 and the net assets acquired are expected to be in the region of £200,000. Commenting on the acquisition, Quentin Soanes, director of Braemar Shipping Services plc and Chairman of Cory said, “Cory’s logistics business has grown significantly over the last few years and there is a natural fit with Fred Olsen’s business which will increase the range of services we offer. The combined business has an exciting future and we are delighted to welcome the FOFL team to the Group.” Jeremy Dowler, director of FOFL noted that, “Combining the business with Cory will provide a solid base for additional expansion of customer services which Fred. Olsen will be supporting through its 20% shareholding.”