@UK

@UK provides an online network that links the buying operations of public sector bodies with a large range of sellers.

With the Government exerting pressure on public bodies to adhere to the guidelines of Sir Peter Gershon’s review of public sector efficiency, and local officers urged to help small firms use e-procurement, @UK’s expertise is in great demand. It has gone from just two contractors last year to 72 now. ‘That’s been our focus,’ says managing director Lyn Duncan.

According to Duncan there are around a million small suppliers in the UK, mainly SMEs, and over a thousand public bodies spending over £100bn a year. ‘And we’re the only people on the landscape providing an end-to-end process,’ boasts Duncan. ‘We use the buyers to get at the suppliers,’ she explains. ‘We sign up a buying organisation and typically it will have around 10,000 suppliers. The buyer then writes to the suppliers and says, “@UK will give you what you need for you to deal with us.”’

Suppliers generally set up a trading website on @UK’s platform, which then can be used to sell online to the public bodies, other businesses and consumers worldwide.

@UK made a £1.7m loss before tax on £1.5m turnover in the year to December. Company broker Shore Capital forecasts an increased loss of £2.6m on £5.1m turnover for 2006, ahead of a swing to pre-tax profits of £3m on £15.2m sales and £9.5m PBT on a turnover of £23.7m in 2007 and 2008.

Earnings figures of 7.6p and 21.2p in those latter two years mean the shares trade at bargain p/e ratios of 7.8, falling to 2.8. The foundations for growth have been laid and the group has net cash of £8.6m. Speculative buy.

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