TMN Suspends Share Trading Pending Bid
In the UK, TMN Group, which owns MR firms ICD Research and iD Factor, has suspended trading in its shares on the Alternative Investment Market (AIM ), as it discusses a potential reverse takeover of the company.
A reverse takeover occurs when a private company buys a public company, usually with the aim of cutting short the lengthy process of going public itself. The process is likely to involve a major reorganisation of the public company as it merges with the buyer.
The TMN Board said in a statement, to the London Stock Exchange that it is in 'early discussions' regarding the potential transaction, and that it will update shareholders of progress in due course.
Last year, rival group Tangent pulled out of talks to acquire TMN, and in the summer TMN pulled the plug on a potential management buyout when its backer August Equity failed to generate the £52.8m third-party debt financing needed to fund the deal.
In January, the group warned that its profit will be 50% below expectations for the full year, and that as a result, it will be making staff cuts across the company. Since the announcement, eight employees at London-based iD Factor have lost their jobs as part of TMN's bid to save at least £300k in the remainder of this financial year.
Web sites: www.tmnplc.com , www.theidfactor.com and www.icd-research.com .