IMImobile to Proceed with £15.9m WIN acquisition

WIN plc, the AIM-listed mobile content and services company has received a cash offer of 141p per share from Indian head-quartered mobile services firm, IMImobile, valuing the WIN business at £15.93m. WIN’s directors are recommending the offer to shareholders, as they believe it is a good strategic fit, adding scale and development resources and represents the best value for shareholders.

IMImobile has to date received irrevocable undertakings or letters of intent from Directors and shareholders in respect of 28.56 per cent of the issued share capital of WIN. IMImobile itself owns 2.37 per cent of the existing issued share capital. WIN announced in April that it was in discussions with IMImobile that could lead to a cash offer at this price.

In a statement, WIN says: “The Board believes WIN must continue to develop its portfolio of products, add to its existing geographic reach and technical expertise, and to achieve the scale likely to be necessary in the future, WIN will need to continue with its acquisition strategy or become part of a larger group itself. 

“It has been difficult for WIN, as a publically-traded company, to use its shares to fund suitable acquisitions on acceptable terms without such acquisitions being potentially earnings dilutive in the short term. The offer provides shareholders with the certainty of being able to realise their investment in WIN at a price which represents a substantial premium to the share price prior to the announcement of the approach, immediately in cash, and at a level which may not otherwise in the WIN Boards view be available for some time.”

WIN chairman Michael de Kare-Silver adds:

“I am delighted that this opportunity has arisen for WIN. It provides value for shareholders in cash now and will achieve a step-forward in our scale and market presence. It will also provide opportunities for our employees and our customers to be part of a larger leading group. This is a move that the board fully recommends.”