Re:Re see rns25 May 2007 21:23
CXG. The number certainly do stack up for this leading provider in staffing and outsourced business support services. Net Profits were a whopping 165% up year on year as a result of overhead pruning, Turnover was up 6% to a whopping £369.5Mns up 6% with operating profits coming in at 27%. As mentioned there is a market cap of only £23.4Mns versus £369 turnover, it is usually the other way round. The Co wants to eliminate 70% of shareholders from 3,300 to around 900. this will be achieved by consolidating the shares 1:100, pre consolidation, holders of less than 100 shares will receive market cash equivalent as at 1st June. A holding of say 1050 post consolidation will get 10 new ordinary shares and recieve a cash equivalent for the 50 the 10 new ordinaries will be subdivided 1:100 so they will end up with 1000 New Ordinaries, cash equivalents of £5 or less will not be distributed but retained for the benefit of the Co. With the December acquisition of Chadwick Nott fully integrated. This Co will, on the face of it, deliver up substantial sp performance once on the analysts radars, with consolidation rife in the sector, CMX looks a very attractive proposition.