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Microgen - Recommended bid for MMT

November 2003

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

Microgen has announced a recommended offer for MMT Computing. Each MMT shareholder is to receive 2.318 new Microgen shares for each MMT share plus 42p in cash which will be paid from Microgen's cash pile. Based on a share price of 44.5p for Microgen, the offer is worth 145.2pper share or £17.9m. Microgen has irrevocable undertakings to accept the offer from  shareholders representing 44.9% of the equity - sothe deal is almost cut and dried. MMT looks very much anopportunistic acquisition for Microgen; MMT was an old friend toSharewatch during 1999 when subscribers more than doubled their money.Way back then, the company was run by the eponomyous Mike M Tilbrookwho ran it very much like his own fiefdom. During that time, itsbusines ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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