Business
Conditional Acquisitions & Accelerated Bookbuild
Conditional Acquisitions & Accelerated Bookbuild.
About this update from Cloudcoco Group Plc
[{"type":"text","content":"\n \nRNS Number : 6585M Pinnacle Technology Group PLC 22 January 2016 \n\n22 January 2016\n \nPinnacle Technology Group plc \n(the \"Company\" or \"Pinnacle\") \n \nConditional acquisitions of Ancar-B Technologies Limited and Weston Communications Limited, £4.55m Placing by way of an accelerated bookbuild, Proposed Open Offer and Board Changes\n \n \n \nPinnacle Technology Group plc, the AIM listed provider of converged technology solutions, is pleased to announce it has conditionally agreed to acquire Ancar-B Technologies Ltd (\"Ancar-B\") and Weston Communications Limited (\"Weston\") for a total consideration in cash and shares of £5 million (the \"Acquisitions\") and an intention to raise approximately £4.55 million before expenses by way of a placing of new Ordinary Shares via an accelerated bookbuild (the \"Placing\"). Should the Placing conclude successfully the Company will proceed with an open offer to raise up to a further £0.25 million through the issue of 5,918,256 new Ordinary Shares from existing shareholders at the Placing Price (\"Open Offer\").\n \n \nHighlights\n \n· Acquisition of Ancar-B for a consideration of £3.5 million to be satisfied as to £2.75 million in cash and £0.75 million in new Ordinary Shares at the Placing Price\n· Ancar-B is a provider of IT support services to SMEs\n· Circa 315 customers generated revenues of £2.2m (59% recurring) to 31 July 2015 and an EBITDA of £0.58m (unaudited)\n· Based in Leeds\n· Acquisition of Weston for a consideration of £1.5 million to be satisfied in new Ordinary Shares at the Placing Price\n· Weston is a provider of telecoms and IT support services to SMEs, councils and universities\n· Circa 225 customers generated revenues of £2.8m (59% recurring) to 31 March 2015 and EBITDA of £0.22m (unaudited)\n· Based in Leeds\n· Acquisitions create the hub for centralised support functions\n· Opportunity exists to consolidate a highly fragmented market of smaller IT services companies to become a provider of 'IT as a service' to the SM...