15th Jan 2014 08:58
LONDON (Alliance News) - Shares in Daily Internet PLC jumped 34% Wednesday morning after it said it had mostly completed the streamlining of its operations and rationalising of costs following its acquisition of Netplan Internet Solutions Ltd last October.
The web hosting and cloud infrastructure provider also announced that Christopher Evans is joining as a non-executive director with immediate effect.
Evans previously held a position at Iomart Group PLC, where he was director of its Easyspace division. He currently acts as technical director of Tokyo Digital Ltd.
Daily Internet acquired Netplan for GBP2.5 million and launched a GBP3 million placing to help fund the deal. Additionally, certain directors agreed in October to swap GBP170,966 worth of loans for equity. Hawkstone Capital Ltd agreed to swap a GBP503,660 loan and existing shareholder John Thompson agreed to swap GBP65,000. All the swaps were done at the proposed placing price of 1.5 pence a share.
Daily Internet provider on Wednesday expressed confidence in its future following the acquisition.
"We are experiencing good growth in demand for our hosting products, and especially out managed VMware cloud and managed Infrastructure as a Service solutions," said Managing Director Abby Hardoon in a statement. "Netplan has a strong pipeline of business opportunities, has recently won a new initial contract with a tech services company, and is in discussions to grow other existing contracts."
Shares in Daily Internet were trading up 34% at 2.35 pence Wednesday.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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