Well, we got that one right too! As we suggested earlier this year (see Rubicon yet to be crossed), CRM software player, Rubicon Software Group, is in effect going private, leaving its AIM-listed shell to reincarnate as a buy-and-build vehicle under a new name.
Founding CEO, Alistair Hancock will buy out Rubicon’s trading activities for a tad under £200k net, while NED Richard Blakesley will run the shell. Between them, Hancock and Blakesley owned over half the stock. Rubicon listed in Sept. ’06 at 10p a share, capitalising the company at £3.8m but this had since fallen to £280k, making it the least valuable UK software and IT services (SITS) company on the London exchange. Rubicon had never made a pre-tax profit.
There are still around 40 UK SITS companies on AIM capitalised below £10m. Seeing as you asked, document management software provider Invu, chaired by Daniel Goldman, son of Sage’s late founder, David, will now sit at the bottom of the list. Just as it happens, I will be meeting Goldman again soon to hear about Invu and some of his other interesting ventures.
I somehow think that what the world needs least right now is another buy-and-build venture. But who knows, maybe Blakesley will succeed in building shareholder value this time round.