Podcast firm urges bid rejection

AUDIOBOOM, the podcasting company, has urged investors to snub a £188m offer backed by property tycoon Nick Candy.

Independent board members advised shareholders to take “no action”, despite around 26pc of the company’s investors already backing the deal.

The Aim-listed firm has been considering an offer from All Active Asset Capital worth around £12 per share in cash and stock.

Mr Candy, who owns around 14pc of shares in Audioboom through Candy Ventures, has given its backing to the bid, which would see the companies combined and then relisted.

But Audioboom said yesterday: “The independent directors believe that the possible offer significantly undervalues the Audioboom business, its progress and potential to capitalise on its market position to generate value for the company’s shareholders.

“The independent directors do not believe there to be any compelling logic to justify a combination of the two businesses.”

All Active Asset Capital has until Aug 16 to make a firm offer. Audioboom creates original podcasts and pro- vides tools for advertisers. On Wednesday, it announced a 93pc increase in revenues, up to just shy of $23m (£16.7m).

Insiders believe another bid could emerge for Audioboom, which has previously attracted interest as a takeover target.