IPT suffers sell-off after admitting problems

by Ben Bold, Brand Republic 11-Aug-08, 12:00

LONDON - Shares in troubled direct marketing group Interactive Prospect Targeting (IPT) have sunk 30% after it admitted UK operations are performing "significantly below management's budgets" and it is in talks with its bank about its funding requirements.

The AIM-listed firm said its French operations were performing in line with management budgets.

This morning's announcement caused IPT's share price to drop 30% from Friday's close at 25p to 17.5p.

In June, IPT announced that former Deutsche Bank consultant Nicholas Ward was joining the board as executive chairman following the retirement of non-executive chairman Colin Lloyd. Ward is overseeing the firm's ongoing strategic review.

Today's statement said: "As part of this review the board is exploring all options for its UK business, which include the possible sale of some of its divisions.

"IPT will give a full update in the interim results statement due in September."

In May, IPT said that it was no longer in any talks regarding a potential offer for the company.

Comments

robin caller - 11/08/2008

I once heard a story about someone trying to catch a falling knife by the handle. Only a skilled swordsman would attempt such a feat whilst bilndfolder. Happy to receive a call from Nicholas on this topic.