TMN Group PLC makes bid for IBG (AF)

[skywalker]

Hey all,

Just seen this on the news wires :

TMN in nil premium 9.84 mln stg bid for IBG; IBG FY pre-ex pretax profit up

LONDON (Thomson Financial) - TMN Group PLC, the online direct marketing
group, said it has made an agreed all-share bid for Internet Business Group PLC
(IBG).
The bid is worth 9.84 mln stg or 12.75 pence per share based on yesterday's
closing prices of the two companies and represents a nil premium to IBG's
closing price.
TMN said it has offered one new share of TMN for every 3.765 share of IBG
held.
TMN has got irrevocable undertakings in favour of the bid in respect of
37.35 mln IBG shares, representing about 48.39 pct of the company's capital.
Separately, IBG said its full-year pretax profit before exceptionals rose to
1.56 mln stg from 1.21 mln stg last year, as revenues grew 23 pct to 16.44 mln
stg.
However, full-year pretax profit declined to 922,000 stg from 1.09 mln stg
mainly due to higher share-based payment, and impairment and amortisation
expenses.

[Azam.net]

Interesting. There's certainly synergies between the companies and it makes sense from that perspective.

Certainly explains why Mark Smith (TMN CEO) was at the recent AF gatherings He's a very sharp operator and I can see him really taking things by the scruff of the neck now.

Blogged about the bid here.