Iomart Share Discussion Threads

[gnnmartin] 15/9/2014 17:13

Looks like there will be no bid after all. The deadline was 16th if I remember correctly, but I don't know whether that means a bid on the 16th is too late or just in time. Anyhow, the last minute dive in the market says 'no bid'. No RNS yet though (or at least, it has not got through to me yet).
Nigel Martin

PS. The RNS is out: Cinven talks terminated.

[trustman] 12/9/2014 15:37

Thanks SB.....its just that there was a bit of vol and slippage before things went corporate

[soundbuy] 08/9/2014 15:59

With current vols (55k) absolutely not ........IMHO of course....and only 37 trades....

[trustman] 08/9/2014 14:08

Price slipping....any problems?

[soundbuy] 05/9/2014 12:25

Well, DD goes ok then possible 8% on cards, some what safeguarded against mkt falls in interim........ummmmmmmm

Whiteknight looking unlikely now I'd admit.......

[johnsmith0774] 25/8/2014 13:26

Anyone know what the problem is with SpreadEx price on Iomart?

[james190] 19/8/2014 13:50

Iom looking strong £3 soon

[james190] 19/8/2014 12:47

Are you long on this share dolores

[dolores123] 19/8/2014 12:31

300p on offer and new deadline of 16th September

[dolores123] 07/8/2014 11:30

Good mention in Shares mag today.

[supersturrock] 05/8/2014 15:13

Looks like Cinven ( or someone else ) poised to make higher offer.

[blueclyde] 24/7/2014 22:11

This kind of business is the future and is only going to keep growing. 350p would be a reasonable offer in the short term.

[nermil] 24/7/2014 16:50

Pulled this from III today

Will Cinven up bid for iomart?
By Lee Wild | Thu, 24th July 2014 - 14:13

Cloud computing provider iomart (IOM) has admitted receiving two approaches from an IT firm owned by Cinven, but rejected both. Understandably, the City also thinks the business is worth much more, but a retreat in the share price from early highs suggests they're not entirely confident of a better offer from the private equity house.
An initial approach from Host Europe Holdings on 13 June priced iomart at 275p, but was quickly increased to 285p, valuing iomart at over £300 million. "The independent directors concluded that both offers undervalued iomart and accordingly, both were rejected," the company said in a brief statement Thursday.

It's obvious why. Iomart shares were trading at 285p as recently as February and had been as high as 322p only last September. It makes money, too. Strip out amortisation of acquired intangible assets (amassed following recent acquisitions) and pre-tax profit surged by 37% last year to £14.6 million on revenue up 29% to £55.6 million.

"With the high level of revenue visibility we enjoy, we have begun the 2015 financial year in a strong position. I look forward to another exciting year of growth and look ahead with considerable confidence," said chairman Ian Ritchie in May.

Arden Partners is clearly a big fan. "We believe Iomart is likely to continue to make earnings enhancing acquisitions and believe that this, combined with organic growth, can help drive the share price to 600p within two years," it said after the results. "We maintain our buy rating and 415p price target. We believe now is a good time for investors to revisit the stock."

And there's certainly evidence that iomart is worth more. Cinven paid 11.3 times adjusted earnings before interest, depreciation and amortisation for host Europe last year, yet its current offer values iomart at just 10.5 times share price Angel's forecasts for the current financial year.
iomart is exposed to structural growth drivers - businesses increasingly utilise part, or all, of their IT via the cloud to take advantage of the cloud's scaleability and operating (rather than capital) cost based structure," says share price Angel. "A recent report from Parallels (an IT virtualisation and automation provider) estimates that the UK Small/Medium Business (SMB) cloud market will grow from £1.4 billion in 2013 to £2.5 billion in 2016."

It expects adjusted earnings per share to grow 23% this year to 13.1p and by 16% to 15.2p in 2016. That's a premium to the sector, but full deserved given that strong organic growth. Cinven knows that and has the money to raise its cash offer. Under the City's Takeover Code rules, it must do so by 5pm on 21 August.

For the record, share price Angel thinks iomart shares are worth 300p, and both finnCap and Peel Hunt said 325p post-results.

[nurdin] 24/7/2014 11:48

The offer is just too low imo...dont blame the company for rejecting it

[loadsadough] 24/7/2014 11:43

OUT NEXT
tech, deal fever is gripping the City
Iomart added 3p to 235p on speculation of a possible 290p a share offer for the cloud computing company and a rumoured 80p bid for Outsourcery.


TIDMIOM TIDMTTM


RNS Number : 2333N





Iomart Group PLC





24 July 2014





NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY (IN WHOLE OR IN PART) IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION.





This announcement is not an announcement of a firm intention to make an offer under Rule 2.7 of the City Code on Takeovers and Mergers (the "Code") and there can be no certainty that an offer will be made, nor as to the terms on which any offer will be made





iomart Group plc





Statement re Possible Offer for iomart Group plc ("iomart")





The independent directors of iomart (the "Independent Directors") note the announcement by Host Europe Holdings Ltd ("Host") a company controlled by funds managed by Cinven Capital Management (V) General Partner Limited (of which Cinven Partners LLP ("Cinven") is the adviser) that it is considering a possible offer for iomart.





On 13 June and subsequently on 27 June 2014, the Independent Directors received approaches from Cinven regarding possible cash offers for iomart at levels of 275 pence and 285 pence per iomart share respectively. The Independent Directors concluded that both offers undervalued iomart and accordingly, both were rejected.





For further information:



iomart Group plc Tel: [phone]



Ian Ritchie



Peel Hunt LLP Tel: [phone]



(Financial Adviser, Nominated Adviser and Broker to iomart)





Richard Kauffer





Charles Batten





Daniel Harris





Oliver Jackson



Newgate Threadneedle Tel: [phone]



Caroline Forde





Hilary Millar





Peel Hunt LLP, which is authorised and regulated in the United Kingdom by the Financial Conduct Authority, is acting exclusively for the independent board of iomart and for no one else in connection with the subject matter of this announcement and will not be responsible to anyone other than iomart for providing the protections afforded to its clients or for providing advice in connection with the subject matter of this announcement. Neither Peel Hunt nor any of its subsidiaries, branches or affiliates owes or accepts any duty, liability or responsibility whatsoever (whether direct or indirect, whether in contract, in tort, under statute or otherwise) to any person who is not a client of Peel Hunt LLP in connection with the subject matter of this announcement.





The release, publication or distribution of this announcement in certain jurisdictions may be restricted by law. Persons who are not resident in the United Kingdom or who are subject to other jurisdictions should inform themselves of, and observe, any applicable requirements.





This announcement is not intended to, and does not, constitute or form part of any offer, invitation or the solicitation of an offer to purchase, otherwise acquire, subscribe for, sell or otherwise dispose of, any securities whether pursuant to this announcement or otherwise. The distribution of this announcement in jurisdictions outside the United Kingdom may be restricted by law and therefore persons into whose possession this announcement comes should inform themselves about, and observe such restrictions. Any failure to comply with the restrictions may constitute a violation of the securities law of any such jurisdiction.





Dealing and Disclosure requirements of the City Code of Takeovers and Mergers (the "Code")





Under Rule 8.3(a) of the Code, any person who is interested in 1% or more of any class of relevant securities of an offeree company or of any securities exchange offeror (being any offeror other than an offeror in respect of which it has been announced that its offer is, or is likely to be, solely in cash) must make an Opening Position Disclosure following the commencement of the offer period and, if later, following the announcement in which any securities exchange offeror is first identified. An Opening Position Disclosure must contain details of the person's interests and short positions in, and rights to subscribe for, any relevant securities of each of (i) the offeree company and (ii) any securities exchange offeror(s). An Opening Position Disclosure by a person to whom Rule 8.3(a) applies must be made by no later than 3.30 pm (London time) on the 10th business day following the commencement of the offer period and, if appropriate, by no later than 3.30 pm (London time) on the 10th business day following the announcement in which any securities exchange offeror is first identified. Relevant persons who deal in the relevant securities of the offeree company or of a securities exchange offeror prior to the deadline for making an Opening Position Disclosure must instead make a Dealing Disclosure.





Under Rule 8.3(b) of the Code, any person who is, or becomes, interested in 1% or more of any class of relevant securities of the offeree company or of any securities exchange offeror must make a Dealing Disclosure if the person deals in any relevant securities of the offeree company or of any securities exchange offeror. A Dealing Disclosure must contain details of the dealing concerned and of the person's interests and short positions in, and rights to subscribe for, any relevant securities of each of (i) the offeree company and (ii) any securities exchange offeror, save to the extent that these details have previously been disclosed under Rule 8. A Dealing Disclosure by a person to whom Rule 8.3(b) applies must be made by no later than 3.30 pm (London time) on the business day following the date of the relevant dealing.





If two or more persons act together pursuant to an agreement or understanding, whether formal or informal, to acquire or control an interest in relevant securities of an offeree company or a securities exchange offeror, they will be deemed to be a single person for the purpose of Rule 8.3.





Opening Position Disclosures must also be made by the offeree company and by any offeror and Dealing Disclosures must also be made by the offeree company, by any offeror and by any persons acting in concert with any of them (see Rules 8.1, 8.2 and 8.4).



Details of the offeree and offeror companies in respect of whose relevant securities Opening Position Disclosures and Dealing Disclosures must be made can be found in the Disclosure Table on the Takeover Panel's website at www.thetakeoverpanel.org.uk, including details of the number of relevant securities in issue, when the offer period commenced and when any offeror was first identified. You should contact the Panel's Market Surveillance Unit on [phone] if you are in any doubt as to whether you are required to make an Opening Position Disclosure or a Dealing Disclosure.



In accordance with Rule 2.10 of the Code, iomart confirms that, at the date of this announcement, it had 106,694,030 ordinary shares of 1 pence each in issue and admitted to trading on AIM (excluding 140,773 ordinary shares in the iomart Group Plc Employee Benefit Trust and 968,203 shares held in treasury). The International Securities Identification Number for the iomart ordinary shares is GB0004281639.





This information is provided by RNS





The company news service from the London Stock Exchange





END





OFDSEAFSLFLSEDW





(END) Dow Jones Newswires





July 24, 2014 06:39 ET (10:39 GMT)
>

[nurdin] 24/7/2014 10:40

Thats a very libelous statement opidio !

[opodio] 24/7/2014 10:37

months of due diligence and uncertainty and then the bidder soil their nappies when they look closely in the accounts and not go any further imho

[gerri-c] 24/7/2014 10:35

The drop in share price must have whetted the appetite of more than just Host Europe.

[opodio] 24/7/2014 09:59

when they get close and shake Angus Mcsweenys hands and find some fingers have gone missing they will pull their offer imho
The business has been built on some dubious looking charging practices

[lingy] 24/7/2014 09:58

not a great offer imo hopefully another party gets involved

[liam1om] 24/7/2014 09:40

I suspect when IOM confirm the approach, which should be any minute, this will jump to 285p.

[nurdin] 24/7/2014 09:39

This will force Iomarts hand

[nurdin] 24/7/2014 09:36

PER is not the only metric this stock should be valued at.Look at earnings growth...75% this year ..forward peg of 0.35,margins(20.6%) ,ROCE 30.8% and most of all PCF which sits at just 12x !!