Diversified support services concern Southern Bear is looking ‘aggressively’ at a possible acquisition in the home counties.

Chaired by the ubiquitous Jon Pither and with serial investor Nigel Wray as an 18 per cent shareholder, Leamington–based Southern Bear is an entrepreneurially run company with a stated strategy of buying well-managed cash-generative businesses in plumbing and heating, and in (hopefully) recession-proof areas such as social housing and defence. The company, which recently completed the £3.75 million cash and paper acquisition of Newcastle-based central heating specialist Fenhams, now has another target in its sights.

Southern Bear, which raised £3.13 million at 2p to help pay for Fenhams and arranged a £1 million loan facility with Clydesdale Bank, says it is pleased with progress at another acquisition, defence equipment supplier Phoenix Dynamics. Phoenix recently won a £1.6 million contract with the US Department of Defense to supply prime mover truck kits for medium tactical vehicles for the American armed forces.

Floated three years ago at 3p, Southern Bear’s shares have not as yet been stunning performers and now trade at 2p.

Growth Company Investor subscribers have full access to all our AIM and small-cap share recommendations. To subscribe today with a half-price offer, and gain immediate access to all the recommendations, click here.

Southern Bear	AIM	£9.74m	1.62p	0.00p
Click here for interactive charting
Other company articles:
Southern Bear prowling again			10/10/2008
Southern Bear plans £7.5m takeover			06/08/2008
New home for Pither			03/03/2008
Pick of AIM by James Crux			07/02/2008
Newcomer - Southern Bear			29/11/2006