Appleyard shares slump as bid talks collapse
Saturday 23 August 1997
Shares in Appleyard, the embattled Yorkshire-based car dealer, slumped 10.5p to 63.5p yesterday after the company announced that talks about a possible bid, first announced in June, had ended without an acceptable offer being made.
A number of parties have shown an interest in the group after a first approach from an unnamed company, believed to be Sanderson Bramall, was made public.
But Lazards, the group's advisers, took the view that none of the bidders was willing to offer a high enough price.
Appleyard is unlikely to face a hostile bid because most car manufacturers have clauses which can void existing franchises if a company changes hands. But the company, which 10 years ago was one of the strongest quoted companies in the sector, remains beset with problems.
It is still nowhere near finding a chief executive to succeed Mike Williamson, chairman and chief executive, when he gives up his executive role at the end of the year.
The business is also suffering from the widespread restructuring imposed by the leading car manufacturers which are reducing the number of franchises they deal with, amalgamating territories and demanding heavy capital investment to improve showrooms and customer service.
The main losers have been the small privately owned firms which cannot provide the necessary capital investment, but Appleyard has lost two prestigious Jaguar franchises in Leeds and Harrogate and several other outlets have been closed or sold.
The statement coincided with the release of figures for six months to the end of June showing a 3 per cent drop in turnover to pounds 380m and a 16 per cent drop in profit before tax to just pounds 3.88m, even including an exceptional profit of pounds 725,000 on the disposal of dealerships.
The interim dividend has been cut from 3.1p to 2p. The figures were marginally better than some analysts had expected, after last year's full year loss of pounds 5.35m, which included a charge of pounds 8.6m to cover the cost of restructuring and slimming down the business.
- 1 Howard Jacobson: Let's see the 'criticism' of Israel for what it really is
- 3 Belgium fan Axelle Despiegelaere lands L'Oreal campaign after World Cup viral photo
- 4 Britney Spears sings 'Alien' without Auto-Tune in embarrassing leaked audio clip
- 5 PornHub begs users to stop uploading video clips of Brazil getting beaten 7-1
Instagram of US airport security chiefs: Lipstick knives and IED training kits among items seized
Game of Thrones author George RR Martin says 'f*** you' to fans who fear he will die before finishing Westeros saga
Mick Jagger denies being World Cup curse and reason for Brazil’s embarrassing defeat
Israel-Gaza crisis: ‘We just want it to end… We don’t deserve to live like this’
Israel-Gaza crisis: Eight killed in Gaza Strip cafe while watching World Cup semi-final
Sustained immigration has not harmed Britons' employment, say government advisers
Australia facing international condemnation after turning around Sri Lankans at sea
7/7 memorial defaced on anniversary of 2005 attacks with ‘Blair lied thousands died’ graffiti
Even when it brutalises one of its own teenage citizens, America is helpless against Israel
Socialist Worker called to apologise over ‘vile’ article saying Eton schoolboy Horatio Chapple's death is ‘reason to save the polar bears’
There’s a nasty smell in the political air – and it’s coming from the Tories
iJobs Money & Business
Negotiable: Randstad Education Birmingham: Randstad Education are seeking a Fi...
£12 - £15 per hour: Cameron Kennedy Recruitment: Excellent opportunity to join...
£400 per hour: Orgtel: Technical Business Analyst - Banking - Bristol - £400pd...
£38000 - £42000 per annum + competitive: Real Staffing: Required skills:Previo...