Chairman says firm had received no takeover approach from KHK and plans acquisition

MDA Consulting has moved to quash claims that it is subject to a takeover approach by KHK Group. Mike Jewell, MDA chairman, told QS News in a written statement that MDA had not received a takeover offer from KHK. He added that “MDA... would not be interested in any offer should one be forthcoming”. QS News reported earlier this month that KHK was considering a bid for MDA.

MDA hit the headlines in August when then chairman Charles Johnston and finance director Ian Storier departed. Johnston retains his shares in the firm. Jewell said: “Other than the previous chairman, no ex-MDA staff now own MDA shares and MDA members of staff are prepared to purchase the departed chairman’s shares in due course.”

Jewell insisted MDA would produce “a healthy profit” at the end of this year. He added that MDA was poised to make an acquisition of its own, to be announced in a few months. It also plans to open two further offices abroad to service two new major projects.

MDA... would not be interested in any offer should one be forthcoming

Mike Jewell, MDA chairman

Jewell said: “The future at MDA is bright. We will at the end of this year produce a healthy profit in line with our expectations and we continue to attract new clients and projects, which gives not only our current people fresh challenges but provides opportunities for new staff which we are currently in the process of recruiting.”

MDA’s most recent results showed it made a loss of £5,300 for the year to September 2005.

Jewell said the loss “resulted from structural changes, rather than a lack of trading profit, which was only marginally short of target”. He added that bonuses allowed for in the annual bonus plan were paid in full. The firm has a turnover of £9.5m and employs 140 people.

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QS News