UPDATE: Frontier Smart Tech receives approach rivaling Science Group bid


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Frontier Smart Tech said it had received a further preliminary approach 'from a credible, industry player' that could lead to a takeover of the digital radio company.

Consulting business Science Group, meanwhile, said it may or may not continue to purchase shares in Frontier Smart Tech, which it claims has attempted to frustrate its own takeover bid.

Frontier Smart Tech said it was urgently seeking to clarify the pricing, conditionality and deliverability of the second approach.

'The approach is at a preliminary stage, the proposed structure of the potential transaction has not yet been confirmed, and there can be no certainty that it will result in a formal offer for the company,' it said.

Science Group said it currently held shares accounting for about 28.3% of Frontier.

'Science Group may or may not make further purchases of Frontier shares in the market and may or may not make an offer for Frontier,' the company said.

'There is no certainty that an offer will be made by Science Group nor as to the terms of any such offer should one be made.'

Science Group said it continued to try to engage with Frontier but no tangible progress has been made since a first letter was sent on 8 May.

'In the opinion of Science Group, Frontier has consistently tried to frustrate Science Group's proposal, most recently by the notification to Science Group that deal-related bonuses have been granted to the executive directors of Frontier.'

Science Group also claimed that Frontier adviser group N+1 Singer had disclosed inside information to Science Group's advisor Panmure Gordon without Panmure Gordon's consent.

'Science Group elected not to receive the information and declined to be made inside,' the company said.

'Panmure Gordon has regrettably had to resign as financial adviser and broker to Science Group in connection with the proposed transaction.'

'Panmure Gordon will continue as nomad and corporate broker to Science Group.'

At 9:15am:

(LON:FST) Frontier Smart Technologies Grp Ltd share price was +6.45p at 38p