Matt Riley makes cash offer for Daisy

Entrepreneur Matthew Riley has made a cash offer for the Daisy Group that would take the company private and set its value at £494m.

The confirmed offer is for 185p per share, which is above the trading price of 159p but below the initial suggested price of 190p.

Entities advised by Toscafund hold 28.5% of Daisy, while Mr Riley has 23%. Four funds which hold a further 40% have also given undertakings to accept the offer.

Daisy chairman Peter Dubens said: "I would like to thank Matthew Riley and the management team of Daisy for their skill and hard work in implementing an acquisition-led strategy which has delivered shareholders 185p per Daisy share compared to the placing price in the 2009 reverse takeover of 80p per Daisy Share, an increase of 131.3%. When compared with the increase in the FTSE AIM All Share index of 27.5%. since admission, I believe that this represents a good outcome for all Daisy shareholders." Matthew Riley said: "The company has enjoyed loyal support from its shareholders over the five years it has been quoted on AIM. The offer provides Daisy Shareholders with a cash premium today and represents a positive development for our 59,000 customers and continuity for our 1,500 employees; it also positions the company for its next phase of growth in the UK telecoms and IT sector, with the backing and strategic and financial guidance of Toscafund and Penta."