17 Nov 2009

Cynotech owner signals takeover

7:12 am on 17 November 2009

Shares in Cynotech Holdings have risen by a third after its major owner, Alan Hawkins signalled he intends making a full takeover offer for the finance company.

Its shares rose 3.5 cents to 14.5 cents, valuing the company at nearly $18 million.

Cynotech Holdings is controlled by its chairman Alan Hawkins, who was one of the high-profile casualties following the 1987 sharemarket crash, which culminated in his jailing for fraud in 1992 following Equiticorp's collapse.

Apart from the finance arm, Cynotech also has satellite phone retailing and manufacturing.

Now, Mr Hawkin's investment concern, Cynotech Securities, intends making a takeover offer.

No details have been released and Mr Hawkins says investors will find out more on or about 10 December.

Cynotech Holdings made a flat half year profit of $1.3 million.