Strength of MXC model!22 Feb 2016 12:15
"£0.8m million returned to shareholders
The Group has established itself as a technology focused merchant bank offering technology businesses growth capital, management support and a range of corporate finance services. The Group now holds a portfolio of 11 investments, 6 of which are quoted, covering a breadth of software and services businesses. In the year ended 31 August 2015, the Group generated an underlying profit before taxation of £5.7 million including realised gains of £5 million. Consequently the Board has resolved to undertake a buyback programme of up to 20% of the realised gains, post taxation, by way of a Tender Offer. In addition, the Company generated an unrealised return of 160% on its portfolio assets, 20% of which could be available for future Tender Offers subject to changes in valuation. This distribution underlines the strength of the MXC model, delivering attractive returns on investment, augmented by our profitable merchant banking activities supporting the growth of our investee companies".
We could now see further contract & acquisition news.
Coy could buy further 20% of realised gains as well.
Less shares in circulation should see this climbing up nicely as they deliver attractive returns on investment plus growth of investee coys.
All looking good.