GETECH in acquisition quest
Article Date: Sep 05 2008Oil exploration services provider GETECH has brought in shareholder IP Group to advise on takeovers, strategy and investments.
Leeds-based GETECH, which supplies exploration data and oil systems studies and data to oil companies, has entered into a service agreement with IP2IPO, a division of fully listed IP Group, which focuses on commercialising intellectual property. IP Group holds 20 per cent of AIM-quoted GETECH, which has also appointed IP partnership director Charles Tavner, 33, to its board.
GETECH CEO Raymond Wolfson says the company, which has ‘substantial cash’, is on the lookout to ‘extend our scope in several areas closely related to what we do’. However, he notes that, even in today’s gloomy business climate, sellers in the oil sector often still try to hold out for premium prices.
He points out that GETECH, which turned a £21,000 interim loss into a £603,000 profit, has had a ‘long and fruitful relationship with IP Group’, while Tavner is a former corporate finance partner of accountant KPMG.
Shares in GETECH, which reached 56p in 2006, now trade at 23.75p, which looks a grudging rating.
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