black floral dr martens Swedish tycoon approaches K3 Business Technology Group over buyout
Swedish tycoon approaches K3 Technology Group over buyouts in K3 Technology Group soared by nearly a third today after the software firm said its largest investor has made an approach regarding a potential buyout.11:17, 1 DEC 2011Updated11:16, 21 FEB 2013Get business updates directly to your inbox+ SubscribeThank you for subscribing!
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s in K3 Technology Group soared by nearly a third today after the software firm said its largest investor has made an approach regarding a potential buyout.
AIM listed K3 said Swedish tycoon Johan Claesson, a non executive director who holds a 19.5 per cent stake, had indicated he felt the value of the business and its potential, especially in relation to its managed services division,
were not reflected in its current share price.
Before today’s announcement, K3’s shares had virtually halved since reaching a year high of 236p.
After the statement today, shares in the Salford Quays based business rocketed by 31.56 per cent or 38.5p to 160.5p, valuing the company at K3 said: “The board wishes to make clear that discussions with Mr Claesson are at an early stage and there can be no certainty that any offer will be forthcoming.”
The firm added that,
following the approach and considering the investment the business believes it needs to fully exploit the potential of its managed services arm, it has begun a strategic review of its options.
Deloitte Corporate Finance has been appointed to advise on the review, which may or may not lead to an offer.
“This review is at an early stage and the board wishes to stress that there can be no certainty that any transaction will be concluded,” K3 added.
which is led by chief executive Andy Makeham, supplies software to retailers as well as the manufacturing and logistics sectors and provides web hosting and other services.
In the year to June 30 it made four acquisitions, which helped the firm to grow revenues from to Adjusted pre tax profits were up from to K3 has made two acquisitions since the new financial year began and now employs more than 500 staff.