A GIANT of the stamp collecting world yesterday teed up a takeover of one of world’s oldest rare coin collectors after making a bid to buy the firm.
The Stanley Gibbons Group, the 150-year old group offering rare stamps, has approached coin and stamp collection business Noble Investments with an offer to buy it for £42m.
The 255p a share bid, which would comprise of 192.5p in cash and 62.5p in Stanley Gibbons shares has been welcomed by the Noble board which said it was “likely” to recommend an offer.
It is a 4p premium to Wednesday’s close price. Stanley Gibbons, which is listed on the junior stock market, said it would raise £37m from investors by placing new shares at 62.5p a pop, the same price as shares being offered up in the deal.
A merger of the two would create a powerhouse of the esoteric world of rare coin and stamp collecting.
Stanley Gibbons, which received a Royal Warrant from King George V in 1914, also offers rare coins and autographs while Noble is comprised of three entities – Baldwin’s, Apex Philatelics and Dreweatts & Bloomsbury Auctions, which offer a similar array of items
“The boards of Stanely Gibbons and Noble both believe that the combination of the two businesses has considerable strategic and financial logic,” a statement said.
Shares in Noble Investment fell almost 2.8 per cent in trading yesterday as investors reacted badly to the news. Stanley Gibbons also fell 1.45 per cent in trading.