FD Technologies recommends bid
Software company FD Technologies is recommending a bid worth £570m. Entities part of the TA Fund XV are offering 2450p/share. The share price has not been at that level for three years.
There is an alternative offer of 2,450 rollover shares for each FD Technologies share. This is available for up to 27% of the share capital.
Net cash was £56m at the end of February 2025. That follows a £120m tender offer at 1950p/share. That followed the disposal of the original consultancy business First Derivatives for an enterprise value of £230m.
The company is focusing on the KX software business. Annualised recurring revenues increased by 13% to £81.8m in the year to February 2025.
CURRENT EDITION
THIS MONTH'S TOPICS INCLUDE:
AIM at 30: Past performance and future of junior market
Reducing the size of AIM annual reports
Lords Group Trading buys CMO
Builders' merchant Lords Group Trading is acquiring the core operations of former AIM-quoted online rival CMO from the administrator.
The deal does not include CMO's tiling business. The assets acquired had 2024 revenues of around £52m. The operations fit with the two existing divisions of merchanting and plumbing and heating. This will significantly increase the scale of the business. CMO has been loss making but it is gaining online market share. The administration will have hit the confidence of suppliers and customers and the relationship will have to be managed.
Lords Group Trading is paying £1.8m for the assets, which include a property valued at £1.2m.
Eagle Eye sets out targets
Digital personalised marketing technology developer Eagle Eye believes that it can achieve annual revenues of £100m within five years. A deal with an OEM, which will include the technology in its products will help to reach the target.
In the six months to December 2024, revenues were flat at £24.2m, but lower contributions from services and SMS masked 10% growth in SaaS revenues. There was a lack of new wins in the period, but there have been some since.
Investec forecasts an improvement in pre-tax profit from £3.9m to £5.4m. Net cash will continue to build up and could reach £13m by the end of June 2025.
