DBS Financial Management has officially put up the for sale boards after
Money Marketing revealed last week that it was in talks with Bank-hall's
DBS's share price rocketed to 83.5p from 53.5p following Money Marketing's
The 56 per cent increase gives the company a market capitalisation of
about £42.4m compared with around £27m a week ago.
Money Marketing exclusively revealed that Lynx was in advanced talks to
buy DBS and its Assureweb online portal to grow its IFA operations.
Following the article, DBS issued a statement to the Stock Exchange
saying: “The board notes the recent press speculation and announces that it
is considering a range of strategic options, including the introduction of
strategic investors into its subsidiary, Assureweb.
“Interest has also been expressed in the group as a whole and discussions
have been held which may or many not lead to an offer for the shares in
Lynx has since said it is not in discussion with DBS although Money
Marketing understands that talks were ongoing until very recently.
Attention is now turning to providers as possible buyers while fund
managers increase their stake.
In the past week, Canada Life has acquired 500,000 ordinary shares in DBS
at 73.4p per share. The deal gives its smaller companies unit trust fund a
2.3 per cent stake in DBS.
Gartmore Investment Man-agement funds have also taken a 1.24 per cent
stake in the firm, acquiring 88,737 shares.
Bankhall director Tony Murrell says: “We are not in negotiations with DBS.
I cannot comment on any speculation.”
DBS public relations managers Sue Lewis says: “We cannot comment on market