Consultant ends acquisition phase and says it has good growth prospects as an independent company
Troubled outsourcing company Tribal has announced that it is no longer in takeover talks, after it sold its health and government division to Capita for £15.8m on 11 April.
Real-time Share Price As a result of the announcement, Tribal’s share price dropped sharply this morning.
It confirmed that it had “received confirmations from each party with whom it was in discussions that they are no longer considering an offer for the Company.”
At the end of March Tribal announced that its pre-tax profit had dropped from £13.8m in 2009 to £5.9m in 2010, and that chief executive Peter Martin would step down in April.
John Ormerod, chairman of Tribal, said: “It is in the best interests of the company that the uncertainty surrounding its future ownership has now been brought to an end.
“It is to management’s and our employees’ credit that during this period of uncertainty Tribal has been successfully transformed into a focused Education business, which has continued to grow and has maintained good levels of profitability. Tribal is today on a sound financial footing and has good growth prospects, underpinned by high levels of committed income and a strong sales pipeline,” he said.