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Andor - 500p a share bid approach

December 2013

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • AND
  • Price:
  • 485p
Shareholders must have thought all their Christmases had come at once after Andor received a £5 a share bid from Oxford Instruments (OXIG; 1506p). The two have held secret talks since 9 July - around the time Andor's share price began rising. Oxford has until 10 December to table a formal offer but Andor is exploring “other options to maximize value.†Speaking to chief executive Conor Walsh after the latest full year results, he thinks Oxford is being slightly opportunistic. Andor’s recent profit blip is mostly down to a decline on the high value instrumentation on the OEM side (down 19% to £11m in FY13), which comprises sales to large industrial businesses who integrate Andor's cameras. The other business streams continue ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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