Matthew Riley eyes Daisy purchase

Matthew Riley has joined forces with investors to consider purchasing Daisy, the business communication and IT services provider he founded.

Matthew-Riley-Daisy-CEOThe entrepreneur is working in a consortium with institutional investors Toscafund Asset Management and Penta Capital, and made an initial approach regarding a cash offer of 190p per share.

Shares in Daisy Group closed at 175p on Tuesday. At that price the business has a market value of £467.54m.

A statement on the company's website said: "An independent committee of the board has been convened who are engaged in preliminary discussions with the consortium and further announcements will be made as appropriate.

"This announcement is not an announcement of a firm intention to make an offer and, accordingly, there can be no certainty of an offer being made for Daisy by Toscafund, Penta and/or Matthew Riley, nor as to the terms of any offer. This announcement is made without the Consortium's consent."

The statement added: "There is no certainty that any offer will be made nor of the level of consideration which might be attached to any such offer. A further announcement will be made as appropriate." The consortium said entities advised by Toscafund hold shares representing approximately 28.5% of Daisy, while chief executive Matthew Riley holds shares 23% of the company's shares.