Watch out for this one floating in the next few days, it could turn out to be the float of the year. Theres not much available on the company yet but I have found the write up below which shows the fantastic potential of this one. Note just how cheap it is.

New Issue: here's one that's more than hot air

Published: 12:45 Monday 27 February 2006
By Cliff Feltham, Companies Correspondent

Owners of thousands of buildings in the UK are facing massive bills over the next few years to comply with new energy standards, which is good news for new AIM entrant Worthington Nicholls.

Air conditioning and ventilation units using ozone depletive gases have to be replaced by systems using more environmentally friendly gases.

The measures are creating a windfall for air conditioning installation companies like Manchester-based Worthington Nicholls which is to float on AIM with a price tag close to 35 million.

The firm, which has been around since the early 1970s, needs extra working capital to cope with the influx of orders which will see this year's turnover climb from 11.7 million to nearly 30 million.

The flotation, sponsored by broker Corporate Synergy, will also allow founder chairman Peter Worthington, who is nearing his 70th birthday, to sell shares worth around 7 million.

After years of steady progress, the firm has seen a huge jump in work triggered by new energy efficient legislation flowing from the Kyoto Agreement.

The deadline for owners of buildings to replace air conditioning, heating, ventilation and chilled water systems using banned gases is the end of 2009.

Chief executive Mark Worthington, son of John, believes there are at least 9,000 buildings in the UK which will have to comply with the new regulations. But the figure could be much higher. ' We are talking billions of pounds here,' he says.

Worthington Nicholls has concentrated on servicing hotel and retail clients which include Hilton, Holiday Inns, Debenhams, Arcadia and Boots.

A new, energy compliant air conditioning plant in a high street store can cost anywhere between 80,000 and 120,000. Re-fitting a Debenhams branch cost 670,000 while hotels can expect to pay around 3,500 a room for a new air conditioning unit.

Worthington Nicholls offers a complete service, designing the system, managing installation and providing regular maintenance. At present income from maintenance contracts is running at around 20% of total sales but that is expected to rise.

The flotation, which is raising a total of 15 million, will also provide a warchest for acquisitions. Two deals have already been lined up with will add another 20 million a year to turnover.

Mark Worthington says there is huge scope for acquisitions. The company claims to be market leader yet it only has a 3% share suggesting plenty of room for consolidation.

The company is making some confident assumptions about future growth. Profits are expected to rise from 3.7 million last year to 8.6 million in the current year to September. By 2008 it is projecting earnings of 12.6 million on sales of 45 million but this does not take into account any contribution from future acquisitions.

Says Worthington: 'Stringent environmental legislation has changed our business. Now the large international hotel and restaurant groups prefer to deal with a single supplier. We believe there is huge scope for expanding not just in the UK but across Europe.'

Price of the shares being placed will be fixed over the new few weeks following investor presentations with dealings due to start in about a month's time.

Please DYOR and do not use money on shares you cannot afford to lose.

cheers GF.

Looking like a good top up point .

Good news from the AGM....

Worthington Nicholls says recently bought units win contracts worth 2.52 mln stg
AFX


LONDON (Thomson Financial) - Air conditioning services firm Worthington Nicholls Group PLC said its recently acquired businesses have won four contracts worth a total of about 2.52 mln stg.

The company said that it, in conjunction with Euro Property Services Ltd, has won a 1.3 mln stg contract to install and maintain air conditioning at the Connaught Hotel in London.

The Woods Environmental business has won a 750,000 stg new office refurbishment contract from property developers Bruntwood Estates to provide mechanical services installation on an 80,000 square foot property in Bolton, Worthington added in an EGM statement.

The company also said electrical contractor Classic Interiors and Lumenglow Ltd has won a 143,000 stg deal to refurbish a major retail outlet in Sloane Square, London.

As well as this, Classic Interiors, as principle contractor, has secured electrical and mechanical and engineering works for an estimated 330,000 stg to convert offices back into bedrooms for LRG.

On May 1, Worthington Nicholls said it completed the acquisitions of Woods Environmental, Euro Property Services and Classic Interiors for about 6 mln stg in cash and shares, and that it expected these to add to its earnings in the first full financial year as part of the group.

TFN.newsdesk@thomson.com

kkb/faj/slm

Worthington Nicholls Group plc
30 May 2007



RNS Reach release

30 May 2007


Worthington Nicholls awarded preferred supplier status

First 'VILLAGE hotel with vibe' contract secured


The UK's largest independent installers of air conditioning, heating,
ventilation and chilled water systems Worthington Nicholls Group plc (AIM: WNG)
('Worthington Nicholls' or the 'Company'), has been named as preferred air
conditioning installers by VILLAGE hotels.

Worthington Nicholls will be working in conjunction with the main contractor to
complete the installation of air conditioning into the VILLAGE hotel in
Warrington from 4th June 2007 and the VILLAGE hotel in Cheadle from mid-August
2007. The contracts have a combined value of in the region of 750,000.

From early June 2007, Worthington Nicholls will also be starting work on the
Swansea VILLAGE hotel in its role as principle contractor, delivering a 460,000
design, installation, electrical, building and ongoing maintenance programme at
VILLAGE's 16 million hotel, the first to pioneer the new look format.

For the air conditioning to be installed by the peak summer season, Worthington
Nicholls is fast-tracking the Swansea programme. From 11th June 2007, it will be
fitting the latest Daikin 3-pipe VRV air conditioning units into 115 hotel
bedrooms, with the work expected to complete in early August 2007.

Currently all 16 VILLAGE hotels are scheduled to be given the new look, with a
further six new-build hotels planned for 2008.

Having won the mandate for Cheadle, Swansea and Warrington, Worthington Nicholls
believes that as a preferred supplier it is strongly positioned to win the
further orders for the VILLAGE hotel estate. If it won contracts for the entire
VILLAGE installation and building works, Worthington Nicholls could expect to
receive up to a maximum of around 26 million in revenues over three years.

Gary Davis, Chief Executive Officer, Village Hotels, said:

'Our business and leisure customers are accustomed to very high levels of
personal comfort, therefore all VILLAGE hotel rooms will be fitted with the
latest, quietest, and most efficient air-conditioning.'

Mark Worthington, Chief Executive of Worthington Nicholls, commented:

'This is another excellent opportunity for Worthington Nicholls to do a great
job and hopefully win further VILLAGE hotel works. We are naturally delighted to
be awarded this contract and to be made preferred installers. What's
particularly pleasing is that this contract is one of the first where our new
companies have worked together to win and work on some major orders.'

And yet the sp still drifts down!
All stocks seem to be having a down day today, so no cause for alarm, but WNG seems to be like HMY. No matter how much good news comes out the sp never seems to respond accordingly!

Could be the dilutive effect of the placing still taking place.

At sometime there will be a turnaround.

Such confidence, gf!
Will that be before or after the global market crash/correction, which is/could be/may be coming in the near/ mid future?

Next resistance level is approx 150p according to the chart, I think.

Unusually I share gfs confidence and added in the low 160s.Village used to be De vere and weve spent time at The Newcastle and Warrington hotels and are going back next year for a wedding.Theyre also linked with the Greens heath club chain which are superb.No mean outfits and the deal will undoubtedly be a prestigious and profitable association for wng imo.

I am still holding, so in principle, I agree also.
But the broker upgrade on the 1st May from 220p to 250p was possibly a bit optomistic.

Hi HC,

im cool as ever.

Dont forget if you look up the post list I was proposing to holders at 150 p get shot.

I did the same and had a easy 2 bagger in what 9 months.#


Seems like a good invest to me.

Still confident.

Is this drop something to do with the 11 million share placing?
Down 20% in a month!

even worse at close, looking oversold now, glad I got out at 165, looks tempting now.

steveo- am also looking to get back in but waiting for some technicals to prompt me first

hyleo have we hit the TA support level?.

technically there should be support at around 150 but after double head and shoulders a further breakout on the downside is very well possible-too early to tell so still waiting b4 i jump onboard again

I think it is still on the downside...support is not convincing

Across the road they say a big institutional seller is getting shot of stock (obviously at one heck of a profit). If thats the real case for the fall and we get an RNS I can see no need to be worried here.

GD, apologies but probably being a bit thick here but why would the inst. wantto get rid of stock if it has great potential. Am a current holder but I am surprised at the level of the fall when the placing was at 1.70

Pumnben, Fund managers have a duty to perform as set by their managers.

Its all about targets targets targets in this business and competiton with fellow employees.

To get a 2 bagger plus in less than 9 months is something to be taken advantage of.

You will note earlier in the thread I had concerns over the topy P/E and said I was rather nervous because there was potentially more risk to the downside on such a high ratio.

The underlying valuation is now starting to look pretty healthy again.

Its all about patience and I wouldnt be too worried.