Consultant decides to go it alone after concluding its strategic review
WYG has decided to go it alone after shelving the idea of selling the business or seeking a merger partner.
The consultant revealed it had several takeover approaches from firms after entering a formal 鈥榦ffer period鈥� in January to explore options for the group. At the time WYG said options included a sale, merger or significant acquisition to give it critical mass to exploit market opportunities, but today the firm said it had decided to continue alone after concluding its review.
Chairman Mike McTighe said: 鈥淒uring the course of the board鈥檚 review, a number of high level expressions of potential interest were received from various parties, but none which appropriately valued the future prospects of the group or recognised the unique position of the group in its chosen markets.
鈥淭he review has therefore confirmed that an appropriately funded independent group represents the best route to optimising value for all stakeholders.鈥�
In full-year results for the year to March 2015, WYG posted an 18% drop in pre-tax profit to 拢1.4m, down from 拢1.8m the previous year.
WYG attributed the reduced pre-tax profit to an increase in exceptional non-recurring costs, up 73% to 拢4.2m, up from 拢2.5m, which was mainly due to an exceptional 拢2.4m tax windfall in 2014 from sub-letting part of its London office.
Revenue grew by 3% to 拢130.5m, up from 拢126.9m. The group鈥檚 UK revenue was up 15% to 拢83.9m, which it said was driven by strong demand in the planning and infrastructure markets.
The order book increased 21% to 拢105m as at 31 March 2015, up from 拢86.8m the previous year.
WYG also announced with its results the 拢1.4m takeover of transport and infrastructure specialists FMW.
WYG chief executive Paul Hamer said the takeover as a 鈥渟mall acquisition but a quality one鈥� and said it will allow them to stop having to outsource their transport consultancy.
He said: 鈥淲e will continue to invest in building our transport consultancy team so we can capitalise on major infrastructure projects in the UK.鈥�
Hamer added: 鈥淲YG remains well positioned for future growth with the benefit of a healthy order book and recent acquisitions combined with the opportunities presented by a buoyant UK market, a new EU funding cycle and the planned interventions by DfID and other funding institutions in fragile and conflict affected states.鈥�
No comments yet