Latium gets Lancaster's vote to take Ultraframe private

This influential vote, along with the recommendation from the Ultraframe Board to accept the offer from this newly created holding company, suggests that most shareholders will accept the offer and the deal will be done.

However, it has emerged that Rothschild has been in touch with around 80 parties on behalf of Ultraframe, with a view to the sale of all or parts of the Plc. On 12 June, 10 days after the Latium offer, American private equity firms Resilience Capital Partners and Berggruen Holdings announced that they are considering making an offer.

But the Latium offer is the only formal bid, and it will become legally binding if enough shareholders accept it. Mellon, which holds a 11.65% in Ultraframe, has stated that it does not intend to accept Latium's offer. This stance may still result in Ultraframe going private, albeit with a minority shareholder.

Latium Holdings is owned by Brian Kennedy and Stuart Lees, and funded by Housingagent (Holdings) Limited and Latium Plastics Holdings Limited. Kennedy's Latium group owns Everest, Weatherseal and St Helens Glass. Last year he bought HW Systems and Spectus. He also owns Sale Sharks rugby club. The Ultraframe offer raises questions about Wendland, another conservatory systems company that Kennedy owns. "It's business as usual" is the response to questions about the Wendland's future.

Company will be split

Stuart Lees, an accountant and former corporate finance partner, is Group Chief Executive of Latium Plastics. He explained that when the acquisition is complete, Ultraframe would be split into two parts. Everest will use its home improvements expertise to run Ultraframe's American Four Seasons retail business while Latiu's Plastics expertise will be used to run the UK conservatory roof business.

It is our intention to do our very best to secure Clitheroe and for that to happen you need people who understand the industry

"We believe that lot of the best practices of Everest are readily transportable to the US business", Mr Lees told Glass Age. He also pointed out that Ultraframe had made a big mistake in getting involved in both retail and the American market, two things it had no expertise in.

"It is our intention to do our very best to secure Clitheroe and for that to happen you need people who understand the industry", said Mr Lees.

In its time, Ultraframe's share price has been over 10 times the price of Latium's bid but Stuart Lees is in doubt that the offer is fair.

"30 pence is an absolutely full price for the business', he said, stressing that months of preparation that has gone into the offer.

"This is not a banker's deal, it is an operator's deal", he added, referring to the noises in the City about potential bids. The future success of Ultaframe will not be assured by clever financing, but attention to all sorts of business details.