Accidentcare Group has agreed to acquire the Ecom Group, creating an enlarged group that will be renamed Aquilo plc.
Accidentcare will acquire Ecom's issued share capital for a consideration to be satisfied by the allotment and issue of 54,792,031 Accidentcare ordinary shares.
Accidentcare also announced today that around £70,000 will be raised by a subscription of 777,777 new ordinary shares at 9p each.
Singer & Friedlander and Intrinsic Value have subscribed in the issue thereby increasing their holdings to 10,865,944 (11.48%) and 10,848,414 (11.46%) ordinary shares.
Shareholders been informed about these proposals which they will vote on at the extraordinary general meetings being held on 8 and 15 July.
Accidentcare chief executive Mike Eve said: "The merger will bring together the established customer service expertise of Accidentcare and the technological innovation skills and financial strength of Ecom. Combined, they will provide the enlarged group with significantly enhanced opportunities in a number of areas.
"Both businesses are trading inline with management expectations and the board is confident regarding the future prospects for Aquilo."
