The board of Touchstar plc has concluded a strategic review initiated following a series of takeover offers.
The mobile computing solutions provider, which today revealed positive annual results, launched the review in September 2024 after it was approached by various parties about possible mergers, alliances or sale of all or parts of the business.
Those that were received were considered on an ad hoc basis and the board felt it was in shareholders’ interests to consider the company’s options more formally and openly.
The review was conducted with financial adviser Zeus Capital, which engaged with a number of parties on potential proposals. Submissions included proposals regarding the sale of the company’s assets and indicative offers of the entire issued or to be issued share capital of the company.
However, the board has determined that it is in the best interests of shareholders to remain a stand-alone AIM-quoted entity.
“The board is now preparing a plan which is expected to be completed in early March to build beyond the operational and financial performance of the group with measures and actions designed to accelerate its next stage of development, increase the underlying value of the business and enhance returns to shareholders,” it added.
These include changes to the management team and an increase in marketing and promotional activities, it said.
Touchstar, which has supplied turnkey data collection and mobile computing solutions for industrial and commercial applications since 1982, is used by the likes of Tata Steel, Wincanton Logistics, GSK, Certas, SHV / Calor and Lakeland.
Its services range from warehouse and fulfilment to telematics and tracking, CCTV and proof of delivery.
For the year ended 31st December 2024, it recorded revenue of £6.9m (2023: £7.2m), EBITDA of £1.2m (2023: £1.3m) and pre-tax profit of £450,000 (2023: £675,000).