The Daisy Group has announced that an agreement has been reached on a recommended cash offer from a consortium made up of Toscafund, Penta Capital and Matthew Riley, the CEO of Daisy. The offer values Daisy at approximately £494 million.
Riley approached Daisy’s board in September with a £470m bid to take the company private. He already owned 23% of the business whilst Toscafund was the company’s largest shareholder with a stake of 28.5%.
Christina Kennedy, senior independent non-executive director of Daisy, said: ’I am pleased that we have reached agreement on the terms of an Offer that represents a good outcome for Daisy Shareholders and enables them to exit at a premium for cash. The Independent Directors believe that the Offer represents good value and an attractive balance between the future opportunities and risks facing the business and have therefore decided to recommend unanimously the Consortium's Offer to Daisy Shareholders.’
Matthew Riley, CEO of Daisy, said: ’The Company has enjoyed loyal support from its shareholders over the five years it has been quoted on AIM. The Offer provides Daisy Shareholders with a cash premium today and represents a positive development for our 59,000 customers and continuity for our 1,500 employees; it also positions the Company for its next phase of growth in the UK telecoms and IT sector, with the backing and strategic and financial guidance of Toscafund and Penta.’