Skedda makes bid for Smartspace Software

Australian firm Skedda Holdings has made a series of proposals to the board of directors of SmartSpace Software regarding a possible cash offer for the group.

Skedda most recently offered up 82.0p per share for the stock, a premium of approximately 144.8% to its middle market closing price on 11 December.

It strongly believes that the proposal provides "a compelling opportunity" for SmartSpace shareholders to realise their investment in cash at "a very significant premium".

SmartSpace's largest shareholder, JO Hambro Capital Management, has indicated, on a non-binding basis, its support for the proposal, which values the entire issued and to be issued share capital of SmartSpace at £25.0m.

However, Skedda noted that, as of yet, the board of SmartSpace "has not been willing to date to provide their support for the proposal".

"Skedda is excited by a potential of a combination with SmartSpace. Skedda believes that it can provide SmartSpace with the considerable financial support and technical expertise that Skedda believes will be necessary for SmartSpace to maintain its technological advantage in a rapidly developing and increasingly competitive sector," said the group.

"Skedda also sees a strong commercial advantage for SmartSpace's customers and a compelling opportunity for SmartSpace's employees within an international, growing and more resilient organisation."

As of 0920 GMT, Smartspace shares had surged 103.58% to 68.20p.

Reporting by Iain Gilbert at Sharecast.com