The seemingly insatiably appetite for acquisition by London-based Incepta Group appears to have unsettled investors.
Following the group's announcement yesterday that it would continue to pursue an aggressive acquisition policy, its share price slipped by almost seven per cent, falling 10p to 136p.
Chief executive David Wright unveiled record interim pre-tax profits of £14 million – over double last year’s figure. Incepta, he revealed, has added to its existing acquisition war chest of £240m with a £60m bankers’ standby loan. During the first half-year, the group had collected ten marketing and communications companies, among them New York-based mergers and acquisitions specialist Sard Verbinnen, and technology communications firm. Cunningham Communications.
“With this momentum continuing into the second half,” said Wright, “ we look forward with confidence to another year of significant earnings growth.”
Chairman Bob Morton, who has led Incepta since 1992, also announced his intention to stand down at the year end. In a brief statement he said that the time was right to plan for somebody new to take over.
News source: The Times (London)