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.

Yup noticed the move up Jimmy. Im now starting to panic............LOL.

cheers GF.

RHPS tip sheets main recommendation this weekend.

Should be some heavy volume monday.

That would be nice GF, hope you've got your cheque book ready!
kim

Nice One GF , as it was tipped in the back pages of SCSW and TMI before the float i expect them to have it as a main tip sometime this year ..Don't get left behind GF .

Im in Kim and Jimmy. Could have got them for 4p less but who cares. RHPS tip sheet by the way have a short term price target of 80p and say they could double tomorrow.?????????.

Thats what they are saying on another site.

Best just to watch sells here though for the moment as it looks like a few pre floaters are taking profits so I wont be going in again just yet.

cheers GF.

A good move GF, I'm sure you won't regret it!
kim

Cheers Kim.

An excelent day I just hope we can hold it for a while.

I'm not too bothered ,this looks good for a hold to me ,and the market will always bounce back ,i've slowed down on short term trading for now , i'm only going for stocks that i think have potential for the next 6 months /year.

Funnily enough Jimmy the hold for a long term gain seems to be back in fashion.

Perhaphs we have have finally got rid of the dot com boom syndrome?.

Makes me happy anyway as Ive always been a long termer.

This ones on a run again.

Yup, nice in a depressed market .

That's it Worthington ,up you go .

And down again. Never mind the trend is correct.

Moving ahead slowly but surely. Thats the way I like it. With the August weather predicted to be scorching hot the company should add a few more orders to the big list its already got..............NICE.

Global warming....has it's advantages!
kim

I was just thinking the same with this recent heatwave . :-)

Im in Monte Carlo escaped from all the heat in Britain. Me and her indoors just couldnt stand it. Might have to go on another holiday aswell later in August.

I can see the home non industrial market booming for this sort of gear.

Worthington Nicholls wins 615,000 stg contract from Quinn Group
AFX


LONDON (AFX) - Worthington Nicholls Group PLC, the Manchester-based air conditioning services firm said it has secured its first major contract from the Quinn Group, owners of prestige UK hotels including The Belfry and the Nottingham Holiday Inn.

Worthington said following competitive tendering, its has won a 615,000 stg contract to install and maintain new air-conditioning units in each of the 198 bedrooms of the Crowne Plaza hotel in Cambridge.

The installation, which is being carried out with Worthington Nicholls acting as principle contractor, began earlier last month and is expected to be completed by the end of October 2006 and is currently on schedule and to budget


Keep em coming Worthington ..

Good spot Jimmy.