Myriad asks if Synchronica has paid Nokia yet

published 15 February 2012

Swiss mobile devices software firm Myriad, currently mounting a hostile bid for AIM-listed mobile phone messaging technology group Synchronica, has asked the UK group to confirm it has paid the first slug of money it owes to Nokia.

On February 14th Synchronica, which bought the messaging business of slumping Finnish mobile phone giant Nokia in June 2011, said the first repayment to Nokia for deferred consideration on the deal will be paid this month. That was a bit too vague for Myriad, which wants to know whether the payment has been made, as it understands the transfer of funds was due on February 9th.

The Swiss firm added that it would respond to Synchronica's bid defence statements when it sends its offer document off to Synchronica shareholders. In the meantime, Myriad confirmed it has been in discussion with certain institutional shareholders of Synchronica about its bid, and has also consulted some of its own institutional shareholders.

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Not surprisingly, Myriad urges Synchronica shareholders to accept its all-share offer of 4.67 Myriad shares for every 100 Synchronica shares held.

Based on the closing price of a Myriad share of CHF 4.01 and an exchange rate of CHF 1.44 to £1.00 on 30th January 2012, the day before the announcement of the bid, the Myriad offer values each Synchronica share at 13p.