Hornby says takeover bid undervalues firm

Tom MarkLast Update : Thursday 22 June 2017 - 5:12 PM
Hornby says takeover bid undervalues firm

Model toymaker Hornby has said a takeover offer from its largest shareholder, Phoenix Asset Management, “significantly undervalues” the firm.

Phoenix has launched a mandatory bid for Hornby, after offering to buy a stake from another investor that would gave it a 55% holding in the firm.

The offer, of 32.375p per share, values Hornby – which also owns the Scalextric and Airfix brands – at £27.4m.

Hornby has advised investors to take “no action for the time being”.

The toymaker also said it had appointed David Adams as its interim chairman, replacing Roger Canham who resigned from Hornby’s board on Wednesday. Mr Canham is also the non-executive chairman of Phoenix Asset Management.

On Wednesday, Hornby had reported falling revenues and deepening annual losses.

The company is struggling to revive its fortunes, which has led to it cut back the number of products it sells.

In the year to 31 March, revenues fell to £47.4m from £55.8m, while underlying losses widened to £6.3m from a £5.7m deficit last year.

Source: business

Short Link
2017-06-22 2017-06-22
Leave a Reply
0 comments
*Name
*Email
Required fields*

Your email address will not be published.

Comments Rules :

عدم الإساءة للكاتب أو للأشخاص أو للمقدسات أو مهاجمة الأديان أو الذات الالهية. والابتعاد عن التحريض الطائفي والعنصري والشتائم.

Type a small note about the comments posted on your site (you can hide this note from comments settings)

Tom Mark