An ‘approach’ to discuss the acquisition of
Vantis valued the
business at up to £115m, with speculation centred on Tenon as the likely suitor.
Full details have not been made public, with Vantis declining to elaborate on
its disclosures from last week, and Tenon not commenting.
Vantis made the approach public last week following a period in which the
firm’s share price made significant gains.
It is understood that the valuation was reached by combining Vantis’ market
capitalisation of £60m, with a 30% premium and the company’s long-term debt of
Sources close to the discussions believed there was ‘room for further
consolidation in the market,’ but Vantis’ current posture was more as a buyer
than a company that is bought.
Vantis’s statement to the markets confirmed that it ‘received an unsolicited,
very preliminary all share approach’. The statement said the board did ‘not
believe’ the approach was in the ‘best interests’ of shareholders. The following
day, Vantis reiterated the approach was rejected and that discussions had
Sources said the discussions did not involve a formal offer.
Vantis is understood to be attractive at the moment because 20% of its
revenues come from business recovery, a counter-cyclical service line that
performs well in a downturn. Tenon recently bolstered its corporate recovery
business by acquiring of Haines Watts Business Recovery. Vantis’ share price has
risen by 30% since the end of April and was trading around 120.5p as
Accountancy Age went to press.
Does Darwin's theory apply to taxation? Colin ponders...
The EC has been instructed to draft a European Union (EU) directive authorising an EU financial transaction tax, which would apply to ten of the EU’s 28 member states
Accountancy watchdog the FRC has dropped its investigation into the former chief financial officer of Tesco, nearly two years after the supermarket was engulfed in an accounting scandal
Colin imagines how Apple's logo might change in the wake of the EC's ruling over its Irish tax arrangements