Ferrari Holdings Plc of Egham, Surrey is hoping to raise UKP4.5m through a rights issue to help it knock its new acquisition, the UCL Group, into shape. Ferrari is to issue 56.7m new ordinary shares at 8 pence each. The merchant bank Singer & Friedlander Plc, which currently has a 21% stake in Ferrari, has agreed to buy all the new shares if they are not subscribed for, subject to independent shareholder agreement. If this should happen Singer & Friedlander will then hold 37% of Ferrari’s enlarged share capital. Other shareholders will get the opportunity to subcribe under an open offer on the basis of 10 shares for every 37 held now. It seems to be generally assumed, however, that most of the other shareholders will not take up their rights and Singer & Friedlander has applied to the Takeover Panel to waive its rule under which the bank would have to make a full bid for the company from its prospective 37% stake. Ferrari which was created by reversing into the terminal manufacturer Cifer Plc in January (CI No 1,098) agreed to acquire the Unix and Pick systems house UCL in August (CI No 1,266). UCL has a computer maintenance division which could do with a bit of a boost, and it is possible that part of Ferrari’s projected rationalisation will include the sale of this business.
