kam - 11 Dec 2002 10:33

IT solutions group Anite saw its half-year pre-tax profits dive into the red after it booked a hefty ?39m goodwill write-off. Pre-tax losses for the six month to October totalled ?43.4m against a profit of ?1.96 last time.

Before exceptionals its profits slumped to ?8.9m against ?14.3m on turnover up 20% to ?111.5m. The company blamed increased R&D and restructuring costs for the fall in profits.

Basic earnings per share for the six months to October were 2.1p against 3.9p last time, in part reflecting 14.7% increase in shares in issue.

The ?39.1m goodwill write-off has led to basic and diluted losses per share of 14.0p

The group assured investors that it is `operating comfortably? within its banking facilities. Anite remains confident that for the year as a whole, the group will perform in line with expectations.

Anite said order intake has been `strong? during the six months, totalling ?114m with IT contracts from the public sector up 47%. The prospect for potential new contracts is `excellent?

Commenting on the results John Hawkins, Chief Executive, said Anite?s strategy of focusing on building strong market positions in chosen sectors means that the Group, following the actions taken to renegotiate the earnout obligations, reduce costs
will be `well placed to recover strongly in 2003/4.|

In early morning trade Anite was up 1.25p to 23.25p, valuing the group at ?86.5m.

nickdr99 - 08 Jun 2005 16:54 - 2 of 6

good move today, now near 3 year high. something happening?
nickdr99 - 08 Jun 2005 16:57 - 3 of 6

anybody hold this?
cynic - 01 Jan 2008 11:42 - 4 of 6

time to revive this little stinker! ..... the company never seems to have got its act together, though certain elements of the company, noticeable travel software, perform consistently well ..... the telecom side is horrid ...... certainly thngs seem to be afoot here though it is still uncertain as to exactly what will happen .... may be worth a flutter on the basis that some sort of t/o or break up seems on the cards and sp has bounced neatly off 50 dma


cynic - 28 Sep 2010 15:46 - 5 of 6

certainly not the most exciting of stocks but perhaps worth tucking some away ..... there have certainly been stories of late that the telecom division is firing on all cylinders and i suspect their travel software biz is likewise prospering - i think it's (one of) the largest in its field
cynic - 10 Jan 2011 13:44 - 6 of 6

very boring this consistent little riser!

sorry this is a bit messy, but cc'd from other room .....

as i posted just now ...... very boring this consistent little riser!

JP Morgan broker upgrade today raises target from 50p to 73p

Following today's acquisition, expect the rise to remain consistent or sharper even. Bought in here after the multiple director buys some time back - doesn't seem to be much interest in the stock (chat wise) anywhere. How long before the travel side is sold off as well. Shame JPM couldn't make the new target a pound +, which seems more realistic to me. This little baby has and is acquiring a lot of the telecom codes (excuse my layman terms) for future mobile technology.

Superb little graph here......well done Cynic, Greyhound,...Ptholden..thanks for the tip.....looks like a winner....been in for a month or so.....get this in an Isa lads.....plus a dividend is coming up...lovely....

trust me - honest guv!

yer and if j.p morgan say's it ok i'm in as well.........yer right!!

Another steady rise again today - I understand the naked trader took a position

i wear my clothes at all times in public!

good Q3 numbers ..... market likes and sp recovers sharply to 68 ..... like i said above!

In as well.....stalk...stalk...stalk......

Close for a final break of 70p and march onwards to 100p.

Northern Cap. Partners out with outperform yesterday.

fwiw, normal volume is only about 300k, but over 2m traded already and sp marching nicely north ..... have mentioned several times this funny little stock whose travel software is (easily) market leader, but few of you are interested ..... i hope i live to laugh to the bank!

Anite forecasts strong growth.

Following a strong close to the final month of the year, Anite now expects Group adjusted operating profit to be around 10% ahead of current market consensus, on revenues that are well ahead.

This outturn will show strong growth compared to a relatively weak trading picture last year.

A lot of good news here of late and very much on track for more gains in the coming months imo.

final results to be published wednesday ..... i'ld be quite surprised if they are not even stronger than indicated back in May

like the man said ....

* Full-year revenue up 19% to 93.7M
* Profit before tax up 62% to 16.0M
* Proposed final dividend up 13% to 0.735P
* Made an encouraging start to new financial year; good growth prospects for 2012 led by wireless division

fwiw .... Canaccord recommends buy Anite, target price raised from 80p to 87p.

Anite profits surge as telcos look to 4G



{ Katherine Rushton, 20:20, Thursday 1 December 2011

Rapid development of fourth-generation mobile technology helped Anite (LSE: AIE.L - news) 's first-half profits to jump 69pc but Britain is lagging behind in the industry, its chief executive said.

The UK-headquartered company, which tests telecoms equipment, posted pre-tax profits of 11m, as turnover rose by a third to 56.2m. Nearly half of its income from testing handsets related to so-called 4G or LTE devices, as operators laid the groundwork for the roll out of 4G spectrum and a surge in demand for smartphones.

Christopher Humphrey, chief executive, said: "Handset and chip manufacturers [want to be] primed for roll out. Most testing revenues are coming from the US and Asia. Pretty much nothing is happening in the UK. There are pockets or research and development but roll-out is not going to happen for two to three years."

Anite also saw a 22pc increase in demand for testing 2G and 3G handsets, as device manufacturers sought to ensure their 4G phones will be compatible with older technology.

Gareth Evans, an analyst at Canaccord Genuity, said: "Most operators have not even begun 4G network roll-outs. There is clearly a significant untapped market

and silly me does not currently hold!

Year End Trading Update.

Final Results

Financial highlights (adjusted) 1

· Order intake up 30% to £152.0m (2011: £116.6m)
· Closing order book up 35% to £114.5m (2011: £84.9m)
· Revenue up 31% to £122.5m (2011: £93.7m)
· EBITDA up 54% to £34.2m (2011: £22.2m)
· Operating profit up 64% to £28.8m (2011: £17.6m)
· Operating margin of 24% (2011: 19%)
· Profit before tax up 75% to £28.0m (2011: £16.0m)
· Diluted earnings per share up 76% to 6.7p (2011: 3.8p)
· Net cash of £16.9m (April 2011: £27.7m) after £21.6m swap liability settled in the year

Statutory results

· Revenue from continuing operations up 31% to £122.5m (2011: £93.7m)
· Profit for the year of £18.5m (2011: £9.4m)
· Basic earnings per share up 97% to 6.5p (2011: 3.3p)
· Diluted earnings per share up 94% to 6.0p (2011: 3.1p)

Dividend
· Proposed final dividend up 53% to 1.125p (2011: 0.735p) - total 1.50p (2011: 1.05p)

Operating highlights1

· Wireless revenue as a whole contributed 84% of Group revenue (2011: 79%)
- record R&D investment up 32% to £17.0m (2011: £12.9m)
Handset Testing:
- strong growth for 2G/3G, up 29%, and LTE, up 102%, on the previous year: LTE now represents 44% of Handset Testing's revenue (2011: 34%);
- revenue up 54% to £76.4m (2011: £49.6m) and operating profit up 115% to £21.5m (2011: £10.0m);
- order intake up 33% to £79.4m (2011: £59.6m); closing order book £24.9m (2011: £21.7m)
Network Testing:
- Invex products gaining traction: benchmarking product launched at end of H1;
- revenue up 8% to £26.0m (2011: £24.1m) and operating profit down 17% to £5.3m (2011: £6.4m);
- order intake up 13% to £26.0m (2011: £23.0m)
· Travel:
- signed multi-year contract with Thomas Cook Group to implement @com in UK and Ireland;
- revenue £20.1m (2011: £20.0m) and operating profit up 10% to £4.6m (2011: £4.2m);
- closing order book £89.6m (2011: £63.2m), book-to-bill ratio 2.3 (2011: 1.7)

1Adjusted results are for continuing operations before share-based payments, amortisation of acquired intangible assets, restructuring costs, other gains and losses and recycled hedge losses.

wanted to share this audio interview with you that I found whilst doing some research on Anite Plc.

Its well worth a click:

http://www.brrmedia.co.uk/event/99059/christopher-humphrey-chief-executive

well fwiw i am in as of today at 127.25

Half Yearly Trading Update

Half Yearly Report

Financial highlights (adjusted) 1:

· Revenue up 9% to £61.2m (2011: £56.2m)
· Operating profit up 21% to £14.3m (2011: £11.8m)
· Operating margin up 2.4% points to 23.4% (2011: 21.0%)
· Profit before tax up 30% to £14.3m (2011: £11.0m)
· Diluted earnings per share up 31% to 3.4p (2011: 2.6p)
· Net cash of £16.8m (October 2011: £12.6m; April 2012: £16.9m)
· Interim dividend up 53% to 0.575p per share (2011: 0.375p per share)

Stock continuing to break new highs on a daily basis.

Beautiful looking long-term chart.

cynic - can you put a chart in the header.

Interim Management Statement

Trading

Overall Group trading in the quarter ended 31 January 2013 ("Q3") reflected what is, typically, a relatively quiet seasonal period for the business. This contrasted with an unusually strong Q3 last year which was driven by high demand from Handset Testing customers investing in initial 4G LTE systems at the end of the 2011 budget year. Specifically, in contrast to last year, we have seen a return to the normal position of customers taking time to release budgets at the start of the calendar year.

Group revenue and adjusted1 profit before tax for the nine months to 31 January 2013 were broadly in line with our expectations and ahead of the comparative period last year, despite the adverse currency translation impact which affected Network Testing in the first half. As discussed at the half year, Group order intake remains behind that of last year, mainly reflecting the lumpiness of orders in Travel, which received some significant orders in the first half of the prior year. Trading since the end of Q3 has continued these trends.

The Handset Testing business continues to see growth in demand for both conformance and inter-operability testing products. The Propsim business, that was acquired on 31 January 2013, has performed well in its first month of ownership and integration is underway and progressing well.

Trading in Network Testing and Travel in Q3 was encouraging with both businesses recording revenue and operating profits in the quarter in excess of the comparative period.

Financial position

At 28 February 2013, the Group had net debt of £8.5m (30 April 2012 net cash of £16.9m; 31 October 2012 net cash of £16.8m). This followed the acquisition of Propsim on 31 January which resulted in a net outflow of £25.0m. The acquisition was partially funded by the draw-down of £17.7m of the Group's £20.0m revolving credit facility. In addition, the interim dividend was paid on 15 February 2013 at a total cost of £1.6m.

1 - Adjusted profit before tax is defined as profit for continuing operations before tax, share based payments, amortisation of acquired intangible assets, restructuring costs, other gains and losses and recycled hedge losses.

Outlook

Overall, the Board remains confident about the out-turn for the year as a whole and anticipates that full year adjusted profit before tax will be in line with market expectations.

Handset Testing will require a good performance in Q4 in line with historical seasonal trends. The business is well positioned to achieve this, with continuing strong underlying industry growth drivers and an increased sales pipeline.

Recent activity levels in Network Testing and Travel support those businesses achieving full year expectations although Travel requires around £1m of licence revenue from new and existing customers before the year end. A significant pipeline of opportunities exists to meet this requirement.

Bought in @139p

Northland Capital Buy 141.25 155.00 167.00 167.00 Reiterates

Investec Hold 141.25 155.00 157.00 157.00 Downgrades

Panmure Gordon Buy 141.25 155.00 170.00 170.00 Retains

Panmure Gordon Hold 128.85 170.00 170.00 Retains

Rumours of a predator having a look.

Trading Statement

industries, today announces a trading update for its financial year ended 30 April 2013. Anite intends to issue its final results on 2 July 2013.

Overall trading in the final quarter was strong, slightly ahead of that predicted at the time of the Group's Q3 IMS issued on 11 March 2013. As a result, Group adjusted1 profit before tax for the full year will be towards the top end of market expectations. Revenue will be slightly below market expectations, but margins in the final quarter were strong across all three businesses, continuing the positive trends seen in the first half of the year. Cash generation was in line with expectations, with net debt at 30 April 2013 of £0.9m (28 February 2013: £8.5m) following the recent £1.5m purchase of further shares for the employee benefit trust.

The Handset Testing business closed the year strongly, with Q4 revenue, margin and operating profit all ahead of the Board's most recent expectations. Organic revenue growth for the year was around 10% with a higher software mix improving margins. The Propsim Channel Emulator product line, acquired on 31 January 2013, performed slightly above expectations for revenue and operating profit in its first quarter of ownership, with particularly encouraging order intake.

Network Testing continued the progress seen in Q3; second half revenues and profit grew in line with the mid to high single digit growth rates expected of this business. Full year revenue in sterling terms was flat year-on-year due to the adverse currency impact seen in the first half. Good progress has been made in America and Asia Pacific, particularly with the Invex benchmarking product, although Europe remains tougher given the economic back-drop.

Travel profit equalled that achieved last year despite the business securing only a relatively small element of the £1 million licence revenue that it targeted for Q4 due to a few specific customer-related delays. This was mitigated by a combination of extra man-time revenue and cost controls. Prospects for the business remain encouraging, with all the opportunities deferred from Q4 continuing as live sales prospects for the new financial year.

Northland Capital Buy 128.45 167.00 167.00 Reiterates

Investec Hold 127.85 - 135.00 Reiterates

Canaccord Genuity Buy 127.85 121.50 175.00 175.00 Retains

Finncap Buy 130.40 180.00 180.00 Reiterates

Finally looking positive - recent high @132.

cynic do you see any upside potential?

I see plenty of upside as the fall from 160p on 11th March was apparently ludicrous. I have read that IMS statement and the subsequent trading update of 9th May together and all I can see is the opposite of a profits warning. There simply was not one, just a dose of realism and good guidance and if anything the expectation from management is higher now than it was before 11th March. Look at how debt levels fell from over £8m in Feb to less than £1m at 30th April. Seems to me that Q4 has been a belter. Try reading the 11/3 and 9/5 updates again and see if you can spot the profit warning.

I have been buying regularly from 117p - 128p and may add again if the market holds up on Monday and there is strong volume in AIE. Recent volumes suggest a few large investors getting positions in ahead of the 2nd July results day. If the outlook is strong then, I will be looking for 200p later this year.

final results next Tuesday, looking good.

Final Results

Financial highlights (adjusted)1

· Revenue up 8% to £132.5m (2012: £122.5m)
· EBITDA up 18% to £40.5m (2012: £34.2m)
· Operating profit up 20% to £34.5m (2012: £28.8m)
· Operating margin of 26% (2012: 24%)
· Profit before tax up 23% to £34.3m (2012: £28.0m)
· Diluted adjusted earnings per share up 24% to 8.3p (2012: 6.7p)
· Closing order book down 6% to £107.3m (2012: £114.5m)
· Net debt of £0.9m (April 2012: £16.9m net cash) after £26.2m acquisition of Propsim

Statutory results

· Revenue from continuing operations £132.5m (2012: £122.5m)
· Profit for the year £19.3m (2012: £18.5m)
· Basic statutory earnings per share from continuing operations 6.8p (2012: 5.7p)
· Diluted earnings per share from continuing operations 6.3p (2012: 5.3p)

Dividend

· Proposed final dividend up 12% to 1.265p (2012: 1.125p)
- total dividend up 23% to 1.84p (2012: 1.50p)

Operating highlights1

· Wireless revenue as a whole contributed 85% of Group revenue (2012: 84%)
- acquisition of Propsim product line expands addressable market
Handset Testing
- organic revenue growth led by LTE 4G and Conformance Testing ("CT")
- revenue up 14% to £87.0m (2012: £76.4m); operating profit up 22% to £26.3m (2012: £21.5m)
- order intake up 12% to £88.9m (2012: £79.4m); closing order book £26.8m (2012: £24.9m)
Network Testing
- underlying growth accelerated in H2
- revenue £26.1m (2012: £26.0m); operating profit £5.6m (2012: £5.3m)
- order intake up 0.8% to £26.2m (2012: £26.0m)
· Travel:
- increased recurring revenue mitigated impact of lower licences
- revenue £19.4m (2012: £20.1m); operating profit £4.8m (2012: £4.6m);
- order intake £10.2m (2012: £46.6m); closing order book £80.4m (2012: £89.6m).

1Adjusted results are for continuing operations before share-based payments, amortisation of acquired intangible assets, restructuring costs and other gains and losses.

Just had a small dabble here.


Interim Management Statement


Canaccord Genuity Buy 116.90 180.00 180.00 Retains

Numis Add 116.90 - 155.00 Reiterates

not a lot to go for in the short term.

Going down!!

Trading Update

Northland Capital Buy 95.50 160.00 120.00 Reiterates

Buy at 60p.

better to leave well alone, even though i started this thread

Finncap Buy 73.75 180.00 100.00 Reiterates

Canaccord Genuity Hold 75.75 180.00 106.00 Downgrades

Canaccord note today:
The net result is that although Q2 sales are likely to be sequentially higher than Q1, the uplift will not be sufficient to rescue the first half. H1 Handset revenues are now expected to be c.25% down YoY. The combination of lower gross margin as a result of the revenue shortfall and additional fixed costs from the Propsim business acquired in January, management now anticipates that the Handset business will be around break-even in H1. Although market conditions are expected to pick up in H2 – management now anticipates a similar revenue performance as H2 2013 (£46.5m) – they are unlikely to compensate for the H1 miss sufficiently to meet full year forecasts. Trading in Network Testing and Travel have seen encouraging growth YoY and are at least in line with expectations.
We have cut our FY14 PBT forecasts from £37.5m to £20.2m, a reduction of 46%. While a strong rebound in H2 might make such a cut look overly conservative, we believe that caution is appropriate given the lack of visibility in the short term. We have also reduced our FY15 PBT estimates by 24% to £32.1m for similar reasons.
Although today’s news is clearly disappointing, we are confident that the conditions that Anite is experiencing are no different to those that its competitors will be feeling and therefore do not believe that it implies any market share loss. We still believe that Anite is well positioned to capitalise on the medium term drivers in wireless testing, principally the rollout of 4G networks and increasing complexity of chipsets and handsets. We cut our recommendation to HOLD in the short term and our price target falls from 180p to the default Quest™ value per share of 106p, equating to 13.5x our new April 2015 EPS estimate.

Thanks HC. Very interesting. Not sure whether to catch that falling knife though!!

RNS directors buying, looks cheap.

Half Yearly Report

Financial highlights (adjusted) 1:

· Group order intake up 5% to £56.7m (2012: £53.9m)
- Closing order book of £106.5m (31 October 2012: £107.2m; 30 April 2013: £107.3m)
· Revenue down 6% to £57.5m (2012: £61.2m)
· Operating profit down 63% to £5.3m (2012: £14.3m)
· Profit before tax down 64% to £5.1m (2012: £14.3m)
· Diluted earnings per share down 65% to 1.2p (2012: 3.4p)
· Net debt of £6.0m (31 October 2012: net cash £16.8m; 30 April 2013: net debt £0.9m)
· Interim dividend unchanged at 0.575p per share (2012: 0.575p per share)

Statutory results:

· Revenue from continuing operations of £57.5m (2012: £61.2m)
· Operating profit from continuing operations of £1.8m (2012: £11.3m), after:
- share based payments charge of £0.7m (2012: £1.8m)
- amortisation of acquired intangible assets of £2.4m (2012: £1.2m)
- restructuring costs of £0.4m (2012: £nil)
· Profit from continuing operations before tax of £1.6m (2012: £11.3m)
· Profit for the period of £0.6m (2012: £8.2m)
· Basic earnings per share 0.2p (2012: 2.9p); diluted earnings per share 0.2p (2012: 2.7p)

Operating highlights:

· Trading in first half concluded slightly ahead of expectations at time of 16 October trading update
· Wireless:
- Handset Testing impacted by slow start to year and delays to orders driven by significant industry consolidation
- Fundamental market size and drivers are undiminished
- Network Testing starting to see benefit from LTE roll-outs resulting in strong organic growth
· Travel:
- Encouraging increase in profits as it builds its recurring revenue base

Trading Update and Notice of Results

Anite plc ("Anite" or "the Group"), the leading provider of software solutions to the international wireless and leisure travel industries, announces a trading update for its financial year ended 30 April 2014. Anite intends to issue its final results on 2 July 2014.

Trading update

Trading in the final quarter of the year was encouraging and reflected the improvement anticipated at the time of the third quarter IMS issued on 19 February 2014. As a result, the Group expects to report full year revenue and adjusted1 operating profit in line with expectations. Cash generation in the second half was stronger than expected due to improved working capital management. Group net cash at 30 April 2014 stood at £6.0m (31 October 2013; net debt of £6.0m).

A strong final quarter ensured that Handset Testing achieved revenue in the second half broadly in line with the same period last year, as had been expected. Trading in Handset Testing was positively impacted by a number of the specific technology and customer-related catalysts identified at the time of the Half Yearly Report in December. This included the first significant benefits from the investments made in TD-LTE technology over the last few years.

Network Testing and Travel continued to perform well. Both businesses had good final quarters and have achieved full year expectations. Within Network Testing there has been strong market demand, particularly in Asia Pacific. Additionally, the Genetel acquisition, made in July 2013, has performed well following a successful integration.

Commenting, Christopher Humphrey, Chief Executive, said:

"The second half of the year has seen a progressive improvement in Handset Testing trading, as certain of the revenue catalysts we identified at the half year have started to bear fruit. Market conditions for Handset Testing continue to make it difficult to predict the precise timing of orders; however we are more encouraged by prospects for Handset Testing for the first half of the new financial year compared to those experienced last year."

Anite Travel update

Following the statement made on 20 February 2014 regarding Anite Travel, the Board confirms that it continues to investigate a potential disposal. There is no certainty that this process will result in a transaction, nor can there be any certainty of the value of any such transaction if it were to complete. Further updates will be provided as and when appropriate.

1 - Adjusted operating profit is defined as operating profit before share based payments, amortisation of acquired intangible assets and restructuring costs.



- Ends -

Final results

Financial highlights (adjusted) 1
· Revenue £109.2m (2013: £113.1m)
· EBITDA £24.0m (2013: £35.5m)
· Operating profit £15.3m (2013: £29.7m)
· Operating margin of 14% (2013: 26%)
· Profit before tax £14.9m (2013: £29.5m)
· Diluted adjusted earnings per share 3.9p (2013: 7.1p)
· Closing order book up 14% to £30.9m (2013: £26.9m)
· Strong operational cash conversion
· Net cash of £6.1m (April 2013: net debt £0.9m)

Statutory results
· Revenue from continuing operations £109.2m (2013: £113.1m)
· Profit from continuing operations £7.8m (2013: £15.6m)
· Profit from discontinued operations £4.5m (2013: £3.7m)
· Profit for the year £12.3m (2013: £19.3m)
· Basic statutory earnings per share from continuing operations 2.7p (2013: 5.5p)
· Diluted earnings per share from continuing operations 2.6p (2013: 5.1p)

Dividend maintained
· Proposed final dividend 1.265p (2013: 1.265p)
- total dividend 1.84p (2013: 1.84p)

Operating highlights1
· Results in line with expectations
· Handset Testing - progressive improvement in second half
· Network Testing - strong performance throughout year
· Maintained strong R&D investment £20.8m (2013: £18.9m)
· Travel disposal 29 May 2014 for total consideration £45m
- £43.3m cash received on completion
- Travel revenue £20.5m (2013: £19.4m); operating profit (before share-based payment charge) £5.5m (2013: £4.8m)

Current trading
· Trading ahead of the same period last year

StockMarketWire.com
Anite - a leading provider of software and hardware solutions to the international wireless market - says overall trading in the first quarter was ahead of the corresponding period last year.

Anite says Handset Testing delivered better revenue and adjusted operating profit compared to last year's disappointing start. Trading since the end of the quarter has continued at similar levels.

As anticipated, despite continued tough market conditions, product orders in Handset Testing for the first quarter were materially up on what was a weak comparative period last year, leading to stronger revenues.

Demand from Asia Pacific has remained high, continuing the trends seen in the second half of last year. Handset Testing has also benefited from the cost reduction actions taken at the end of last year.

Anite says Network Testing has had a slower start than last year with some market softness in North America, compounded by the translational currency effect of sterling strengthening 6% compared to the euro. However, momentum for the business is picking up with an encouraging pipeline of opportunities.

The group says that following the disposal of the travel business on 29 May, the its financial position remains very healthy, providing the financial resources to invest in growth opportunities. Group net cash at 31 August was £49.1m (30 April: £6.1m).

StockMarketWire.com
Anite has acquired Xceed Technologies Inc, a US based wireless network data analytics software company.

Xceed provides a leading range of wireless network optimisation and performance management products broadening Anite's product portfolio in the analytics and post-processing market, an area of significant operator focus and growth.

Highlights:

- Consideration of $30m paid in cash upon closing on a cash free/debt free basis from Anite's existing cash resources

- Up to $5m additional deferred cash consideration dependent on the achievement of performance targets in the years ending 30 April 2015 and 2016

- Xceed reported $11.8m revenue and $1.6m EBITDA in its financial year ended 31 December 2013

- The acquisition is expected to enhance Anite's adjusted earnings per share in the current financial year before transaction and integration costs

- Xceed will be integrated within Anite's Network Testing business where its products complement Anite's existing product portfolio.

Anite chief executive Christopher Humphrey said: "This acquisition transforms our Network Testing product portfolio in the increasingly important and growing data analytics market, which enables operators to identify and manage network performance issues.

"Anite's established market and technology leadership, and its substantial global sales and support footprint, combined with Xceed's acknowledged expertise and market leading software solutions, create a dedicated supplier with a more complete product offering.

"Xceed is an excellent addition to Anite's Network Testing business and the acquisition is expected to be enhancing to adjusted earnings. Anite retains significant financial resources to continue to invest in further growth opportunities."

ST of IC today - Testing a break-out


In the circumstances, I recommend buying Anite's shares now on a bid-offer spread of 91p to 91.5p, and have a year-end target price of 110p.

StockMarketWire.com
Electronic measurement instruments group Keysight Technologies has agreed a £388m deal for Anite.

The recommended cash offer of 126p per Anite share is a 22.3% premium to the closing price last night.

Anite's directors intend unanimously to recommend that shareholders vote to approve the deal.

Keysight president and chief executive Ron Nersesian said: "The combination of Keysight and Anite - two global leaders with complementary strengths - enables us to offer a broad portfolio of leading-edge solutions throughout the wireless research and development cycle. This will help us to expand our portfolio into the software layer for design and validation, and expand Keysight's position as a supplier for wireless design and validation tools. We look forward to welcoming the talented team at Anite and the value this combination will deliver to customers worldwide."

Anite chairman Clay Brendish said: "Over a number of years, the Anite team has executed successfully against our strategic plan to transform the business into a pure play global wireless test and measurement business. This has positively impacted our profitability and prospects and we have continued to develop our market leading positions and technological capabilities. Over the last five years, Anite shares have increased threefold.

The combination of Anite and Keysight has strong strategic logic, with Anite's software expertise strongly complementing Keysight's hardware expertise. Our market has been characterised by ongoing customer consolidation, increasing the importance of scale and strength to support customers around the globe and invest in major research and development programmes across the technology cycle. Keysight brings the scale and financial resources to continue to develop Anite's business.

"The offer will enable shareholders to crystallise a cash value for their shares at a meaningful premium to recent average prices, and enhances the opportunities for our customers and employees."

17 Jun Liberum Capital 100.00 Hold
17 Jun Northland... N/A Buy
17 Jun finnCap N/A Under Review

ST of IC today - I would sit tight for now as you have nothing to lose.

ST of IC today - It has been a productive week on the mergers and acquisitions front for companies on my watchlist with both SME finance company Inspired Capital (INSC:20p) and software company Anite (AIE:128p) attracting cash offers from predators. In both cases, my advice is to sit tight as there is a realistic chance that the initial bids for both companies could be eked up in the event of a rival offer emerging (Anite), or behind the scenes negotiations by the controlling shareholders (Inspired Capital).