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Daisy Completes Deal with Phoenix

matthew riley

Further to the announcement by Phoenix on 21 May 2015 that it was in advanced discussions with Daisy Group Limited and Toscafund, Phoenix, Daisy and Toscafund are pleased to announce that they have reached agreement. Daisy will acquire the entire issued and to be issued share capital of Phoenix not already owned by Daisy.

Under the terms of the Offer, Phoenix Shareholders (other than the Tosca Managed Funds) will be entitled to receive 160 pence in cash for each Phoenix Share subject to the Scheme. The Offer Price represents a premium of approximately 24%. The Offer Price values the entire issued and to be issued share capital of Phoenix at approximately £135 million.

Matt Riley has taken to LinkedIn to announce the deal, “Today’s news that Daisy Group, Toscafund and Phoenix have reached an agreement on an offer marks another exciting step for us in our corporate acquisition strategy. As we look to build a diverse product portfolio providing a unified telcoms & IT service, we are confident that Phoenix IT’s strength in managed services & cloud services will nicely complement our existing customer offering. By acquiring such a well established player in the UK IT services sector, we believe this acquisition creates a unique opportunity to become the first truly converged IT and unified communications provider in the UK mid-market.”

Commenting on the Offer, Neil Muller, Chief Executive Officer of Daisy, said “Phoenix enhances our capability across the markets in which we have chosen to operate. It allows us to add to our capability and provide end-to-end solutions directly to our mid-market customers. Via our Partner Services business, we believe it will enable us to deliver further value to our partners who serve the enterprise market. Phoenix is one of the UK’s leading providers of IT infrastructure services, with award-winning cloud-based services and managed services expertise. As such, we believe the combined group is well positioned to increase its market share and continue to be the provider of choice for its customers and partners.”