City briefs: GB Group; Dechra; Frenkel Topping
Data specialist GBG has sold its marketing services division to HH Interactive for an undisclosed sum.
The division accounted for around 2% of the group’s £200m annual revenues, and has been sidelined by a strategic focus on location intelligence, identity verification and fraud prevention.
Its marketing services division provides a data-rich approach to creating a complete view of a client’s customers.
London-based HH Interactive provides a comprehensive suite of marketing services and this transaction will allow GBG’s customers to benefit from a broader range of technology and services now required by marketing departments.
Chris Clark, GBG’s chief executive, said: “HH Interactive has the capability to provide a rich set of marketing-related services and can respond more completely to the increasing needs of our marketing services customers.”
Vet products group Dechra expects stockpiling by customers ahead of Brexit will be reflected by slower sales in the second half of the year.
It has estimated that £7m of sales between July and December can be attributed to forward orders that will unwind in the months ahead.
Despite that and the wider uncertainty, the company’s outlook for the full financial year is currently ahead of management expectations.
The group is based in Northwich, Cheshire, and has a manufacturing site in Skipton, North Yorkshire
Chief executive Ian Page said: “Our progress in the first half has been excellent despite the uncertainties arising as a result of Covid-19 and Brexit.
“Trading globally has been strong as the business benefitted from favourable market conditions, further good progress on supply chain and excellent customer engagement through our motivated commercial teams.”
He added that he was “delighted” with the performance of its recent product acquisitions, Osurnia and Mirataz, which are ahead of expectations.
Assets under management at Salford-based financial services firm Frenkel Topping has risen above £1bn.
The firm, which specialises in asset protection for vulnerable clients, expects its 2020 revenues to be £10m and to generate an adjusted EBITDA of £2.5m. This would be a 25% increase on the previous year’s operating profits.
Chief executive Richard Fraser said: “Our successful £13m capital raise and acquisition of forensic accountancy firm, Forths, earlier this year were key steps in our consolidation of the PI and clinical negligence marketplace.
“We are looking forward to building on those successes as we move into 2021 with a continued focus on growing our core business, driving assets under management and executing our buy and build strategy, maintaining our outstanding client retention levels and generating strong and sustainable returns for our shareholders.”
Yesterday Frenkel Topping revealed it would not be making a firm offer for NAHL Group, but says it is working on “other compelling M&A opportunities”.