Alchemy takes Anglian private

Anglian's share price rose last week upon rumours of a forthcoming management buy-out.

Alchemy Partners has made an agreed 250p per share offer for Anglian Group plc, the home improvements company. The deal values Anglian at £161m (E253m). Alchemy is being advised by finance group Altium Capital on the deal.

Anglian shares rose 12 per cent last week to 221.5p as a result of rumours of an imminent sale. The group explained to the market that it was in exclusive talks with a potential buyer. On Friday the shares closed at 226p valuing the company at £145m (E228). This morning the company’s shares stand at 233p.

David Perry, chairman of Anglian, said: “The independent directors believe that the offer is in the interests of shareholders as a whole and that it represents fair and reasonable value for the company. We recommend shareholders to accept the offer.”

Anglian Group sells a range of home improvements including windows, doors, conservatories to home owners and the house building market. It has a network of over 150 showrooms backed by installation depots nationally, providing a local service to customers throughout the UK. The group underwent an MBO ten years ago. It was then floated in 1991 with a market value of £184m and its shares reached a high of 389p in 1994. The present management took over in 1996.

The group issued a profits warning in February 2000 after difficulties caused by the integration of a new computer system. It announced that profits had fallen 11per cent from £30.5m to £27.2m in the year to April 2000. Profits to April 2000 were £27.2m down 11 per cent, from £30.5m, the previous year.