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Spring Group - Contractor numbers lift to 4,500:gain since January 162%

November 2003

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.

Although quietly spoken, Richard Barfield, chief executive, has certainly not been shy to dramatically rationalise Spring's structure in recent months. This month, Spring announced that it is to sell Spring IT Training to a subsidiary of Knowledge Universe which holds  47% of Spring. Given that Knowledge Universe also has four nominated directors on Spring's board, this is a related party transaction under Stock Exchange rules and is therefore subject to shareholder approval. The total consideration of £1.0m comprises £0.4m in cash and £0.6m in unsecured loan notes. Since our lastupdate note, Spring has announced its results for the six months to 30June.  The results are  largely of academic interest sincethey ...

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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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