Tosellonline in merger talks
Article Date: Oct 12 2001Shares in Ofex-traded Tosellonline.com have been suspended because the company is in talks with another company, Soccer Investor, about a possible reverse takeover, writes Robert Tyerman.
Tosellonline.com, which lost £698,467 last year on only £69,000 turnover, offers small- and medium-sized companies wishing to trade on the internet a 'turnkey' package, which includes e-commerce software, hardware, connection to the internet, web hosting and secure on-line credit card transaction processing. Soccer Investor is a publisher which specialises in business-to-business information and services for the worldwide football market.
If the two companies can agree terms for a merger, the intention is for the enlarged group to apply for a listing of its shares on the J.P.Jenkins market. Outside shareholders, who are thus frozen in the company for the time being, are to receive an explanatory circular ahead of a special meeting to consider the terms of any proposed deal which may emerge from the talks.
In June, when Tosellonline.com revealed first quarter losses slashed from £201,000 to £47,000, the company pointed out that it had made a 'strategic alliance' with Brian Sturgess' Media Advisory Partners and Soccer Investor to move it towards the sports and media business community. Floated in February 2000 at 25p, the shares have tumbled to a new low of 1.75p.
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