Sure-Gro Inc. acquires shares of Modugno-Hortibec Inc.

BRANTFORD, ON, April 1 /CNW/ - Clarke Inc. (TSX: CKI.TO) announces that Sure-Gro Inc. ("Sure-Gro") has closed a share purchase agreement to acquire 100% of the shares of Modugno-Hortibec Inc. The consideration paid includes a significant equity position in Sure-Gro for the Modugno family shareholders.

"Rene and Jim Modugno and their team have set the standard for high quality growing media products in Canada, and we're pleased that they have decided to combine their business with Sure-Gro's," says John Hill, President & CEO for Sure-Gro. "During the next few months Sure-Gro's growing media business will be combined with Modugno-Hortibec's business, which will double the size of the growing media business they are managing and add management focus to this important product line."

"This transaction will enhance Modugno-Hortibec's leadership position in the Canadian growing media and organic products business," says Rene Modugno, President & CEO for Modugno-Hortibec. "We look forward to combining the strengths of both businesses to deliver quality Home and Garden solutions to the market place"

About Sure-Gro Inc.:

Sure-Gro is a leading supplier in the Canadian Home and Garden Industry with a broad range of product categories, including fertilizer, grass seed, controls, growing media and ice melt products, under several brand names including CIL, Golfgreen, Wilson, Green Earth and Alaskan. The Company recently announced the purchase of the Canadian Division of Spectrum Brands' Home and Garden division. Sure-Gro is a company formed by Roycap Merchant Banking Group and Clarke Inc. (TSX: CKI.TO).

About Clarke Inc:

Halifax-based Clarke Inc., led by an entrepreneurial team of investment professionals, is an activist and catalyst investment company that creates shareholder value by identifying businesses with the potential for improved performance, and working actively to uncover the value.

About Modugno-Hortibec Inc:

Modugno-Hortibec is one of the largest Canadian-owned soil and fertilizer companies, with products available at major Canadian retailers such as Loblaws, The Home Depot, Canadian Tire, and Wal-Mart.

Contacts

Investor Contact: Rob Normandeau
Chief Operating Officer
Clarke Inc.
(902) 442-3413
Fax: (902) 442-0187