Tuesday 03 April, 2018

IFG Group PLC

Update on Saunderson House

RNS Number : 5343J
IFG Group PLC
03 April 2018
 

IFG Group plc ("IFG" or the "Group")

 Update on Saunderson House

 

3rd April 2018 

This announcement contains inside information.

IFG announced on 2 February 2018 that, following receipt of several unsolicited approaches for Saunderson House, it was considering whether a sale of the Business could create greater value for IFG shareholders.

Since then the Board of IFG (the "Board") received a number of non-binding indicative offers (the "Offers") for Saunderson House in line with market expectations. These Offers reaffirmed the strength of the Business, its leading market position and its attractive long-term growth prospects.

However, having reviewed the Offers in detail, including with the Board of Saunderson House, the Board has concluded that the Offers were not wholly aligned with the strategy of Saunderson House and would present significant execution risks that would likely create lower shareholder value than from retaining the Business. As a result, the Board has concluded that it is not in the best interests of shareholders of IFG to proceed with the sale process.

IFG is now focused on continuing the development of the Business, as well as putting in place short and long-term retention arrangements for the senior management and employees of Saunderson House. In this regard, a retention award of £1.5m will be provided in each of the 2018 and 2019 financial years.

The Group has started 2018 strongly, with profitability materially ahead of the same period in 2017. The Board believes that both businesses are well positioned for future growth and profitability.

 

Enquiries:  

 IFG

John Cotter                  Group CEO                                          Tel: +44 203 887 6181   

Mark Dearsley              Interim Group CFO                              Tel: +44 203 887 6181

 

Joint Corporate Brokers

Nicholas Harland            Macquarie Capital (Europe) Ltd         Tel: +44 203 037 2369

Charlotte Craigie             Goodbody Stockbrokers UC               Tel: +44 203 841 6202

This information is provided by RNS

The company news service from the London Stock Exchange

END

Back to News