Oxford Metrics (AIM:OMG) PLC shares jumped after the software company announced the sale of its infrastructure asset management division, Yotta, to Causeway Technologies Ltd for £52.0mln in cash.
Oxford Metrics (AIM:OMG) said the proceeds from the sale will increase the group's near-term financial firepower to accelerate mergers and acquisitions and planned organic investments.
It said the sale would deliver significant value for its shareholders in the near-term and also bring increased clarity and focus to the group's stated five-year growth plan.
“Our five-year ambitions to increase revenues by 2.5x and to achieve a 15% adjusted profit before tax margin remain unchanged,” said Oxford Metrics chief executive Nick Bolton.
“Now, through the lens of our Vicon business and its core technology, we have the opportunity - and increased financial firepower - to make organic and M&A investments that broaden our product bench, extend our sensing and analysis capabilities and scale us towards achieving our five-year strategic and financial goals."
Yotta has more than 200 customers worldwide which it provides with smart sensing software used to manage highways, street lighting and waste management.
Shares in AIM-traded Oxford Metrics were up 27% at 99.50p by mid-morning after rising as much as 29% in early trading.