Talks about a potential offer for the public services outsourcing company Tribal Group have ended. The announcement sent its shares down 34 per cent to an all-time low yesterday.
The company, which works with government departments, hospitals and schools, said in August that it had received preliminary expressions of interest that might lead to an offer being made for the business.
"Tribal announces that all such discussions have ceased and that each party has confirmed it is no longer pursuing an offer for the company," Tribal Group said yesterday.
Last month, Tribal warned that its full-year pre-tax profits would be substantially below its earlier expectations because government spending cuts had weakened demand for its advisory services.
Tribal Group shares, which have lost a quarter of their value since the company issued the profits warning in October, fell from 19.75p to 40p last night.Reuse content