Panmure Liberum kept a Buy on Advanced Medical Solutions Group (AIM:AMS), the medical-device maker, staying bullish with a 275p price target after private-equity suitor TA Associates said late on Friday it would not proceed with an offer.
Analyst Seb Jantet points to the key fact that this is the third private-equity approach that has failed to convert into a bid.
This, the analyst poses, risks the market worrying whether these approaches are collapsing solely on price or because potential PE buyers discovered problems during due diligence.
AMS, meanwhile, remains confident in its standalone prospects and strategy, the broker noted.
Panmure says it expects sentiment to revert toward the c.200p level the stock traded at before the TA approach, unless management reassures investors.
