The challenge for any business is to increase value. This is the basis of a new study by industry analysts Plimsoll Publishing. They looked into the valuations of the UK’s largest 200 Security companies.
The headline figures offer encouraging news, it is claimed. Overall values are on the up, rising 1pc in the period of the review. Some 108 of the companies included have seen their values increase by 26pc. This is, the analysts say, a result of improved profitability and a conscious effort by their managers to place their company’s on a firm financial footing. These companies are building a solid foundation to further enhance their values in 2007.
Value fall
Sadly, not all of those valued in the study have prospered, as 91 of the companies have seen their value fall, on average by minus 21pc. 22 of the largest UK security companies have seen their values plummet, falling by 50pc in the review period. To give some detail to the valuations, the 470-paged study includes a critical assessment of each of the 100 companies’ strengths and weaknesses.
What they say
David Pattison Senior Analyst at Plimsoll says: “In the study we have taken a long term view and looked at each of these companies over the last 4 years. No wonder there is so much acquisition speculation in the market when the valuations change so rapidly from year to year.” David Pattison adds: “There are eight8 companies that really stand out in the analysis for their classic acquisition potential. Blatantly undervalued, they have the potential to double in value, if staff costs, debts and other expenses are brought under better control. These companies are likely to attract interest from private equity predators as well as industry buyers amongst the 200 largest companies.”
For details
Copies of the publication are available for £500 by calling 01642 626400, or by email from [email protected]. Readers can ask for a 5pc discount when ordering on line by quoting the code PRO1.
