All change at the top at Phoenix IT Group

Phoenix IT Group, information technology services, has announced the resignation of its Chief Executive Officer, David Courtley, who is planning to pursue other business interests.

Phoenix IT Group, information technology services, has announced the resignation of its Chief Executive Officer, David Courtley, who is planning to pursue other business interests.

The company was keen to underline the fact his departure is not related to the ongoing accounting investigation as previously announced, "which is of as much concern to David as it is to the remainder of the board", it added.

Following Courtley's departure, Peter Bertram, who is currently Non-Executive Chairman, will become Executive Chairman, while Jane Aikman, who is currently Chief Financial Officer, will retain that role and will also assume additional responsibilities to become Chief Operating Officer.

According to Panmure Gordon, "the appointment of Bertram as Executive Chairman indicates to us that Phoenix IT is now for sale".

The broker added: "Bertram once stood tall in Capital Markets land - from 1998 to 2003 he 'fixed' the omni-shambles that was Azlan. Since then it is not Bertram, but the companies that have got smaller [...]

"There has long been a community of buyers for IT infrastructure service companies - they might be the lower rungs of the IT industry but they offer customer touch, managed services and are cheap. As we strip out the corporate discount from our target price, in order to reflect the Sum of the Parts value, we increase our target price from 147p to 173p. We move from Hold to Buy."

The firm's share price was unchanged by early afternoon.

NR

Recommended

Director dealings w/e 5 August: what company insiders are buying and selling
Stocks and shares

Director dealings w/e 5 August: what company insiders are buying and selling

Directors’ share dealings can often give investors an insight into the sentiment of company insiders. Here are some of the biggest deals by company di…
9 Aug 2022
Britain’s most-bought shares w/e 5 August
Stocks and shares

Britain’s most-bought shares w/e 5 August

A look at Britain’s most-bought shares in the week ending 5 August, providing an insight into how investors are thinking and where opportunities may l…
9 Aug 2022
Where to find inflation-resistant stocks
Investment strategy

Where to find inflation-resistant stocks

Terry Smith’s latest update contains some valuable pointers for investors looking to protect against inflation.
8 Aug 2022
A low-risk way to beat inflation
Share tips

A low-risk way to beat inflation

Demand for care-home places is strong and the sector should be able to raise prices ahead of costs, says Max King.
8 Aug 2022

Most Popular

Are UK house prices finally heading for a crash?
House prices

Are UK house prices finally heading for a crash?

The latest house price figures show a fall of 0.1% in July. With interest rates rising, inflation hitting double figures and a recession on the cards,…
5 Aug 2022
Brace yourself for the return of rationing
Economy

Brace yourself for the return of rationing

Russia is turning off the cheap energy. That is already leading to belt-tightening, says Matthew Lynn. Who will suffer most, and which sectors will th…
5 Aug 2022
Fear of missing out – what should investors do now?
Investment strategy

Fear of missing out – what should investors do now?

Markets have rallied from their mid-June lows. But if you missed out, as most investors did, what should you do now? Max King explains.
8 Aug 2022