Stadium Group (SDM) has announced it’s recommending a 120p per share offer from main market-listed TT Electronics (TTG), with Stadium Chairman Nick Brayshaw emphasising “the Stadium board's strategy in transitioning the company to a design-led technology business with a focus on wireless connectivity, power and interface and displays has been successful”…
Technology products and electronic assemblies group Stadium (SDM) “announces that trading for the year ended 31 December 2017 was in line with management's expectations following the trading update in November 2017”. What was the November trading update then?... Ah!...
A “Trading Update & Notice of Results” announcement from Stadium Group (SDM) commences that “Significant progress continues to be made in transitioning Stadium from a purely electronic assemblies business to a design-led technology business. The company expects to report a year-on-year increase in revenues of 15% to £61m (2016: £53.1m)”. Sounds pretty good... “Whilst revenue growth and the development of the forward order book are in-line with expectations for the current year,”… Uh oh…
Following its recent profit warning, Stadium Group (SDM) has announced director share purchases – but how much store should be put into these? …
“Significant progress continues to be made in transitioning Stadium (SDM) from an electronic manufacturing services company to a design-led technology business… However, … in the electronic manufacturing services business, sales are showing a quicker than expected decline” - and more bad news follows…
Stadium Group (SDM) is a small electronics company which at 71p is valued at c£21 million. It is too small for institutional investors. And it is too boring to attract enormous Bulletin Board comment. The shares probably will not race away but for a boring solid market beating long term investment there are attractions.
