Rival grabs struggling Guardian IT

FALLEN technology superstar Guardian IT fell into the hands of a US rival today at a fraction of the price at which it was trading two years ago.

The computer systems protection group put itself up for sale through UBS Warburg in February after admitting to accounting foul-ups that left it with losses for 2001, reported today, of £94m against a minor deficit the previous year.

Sungard Data Systems of the US said it is paying £167m for the business - £56m for the equity, which was valued at more than £1bn at the height of the dotcom boom, and £111m to clear its debts.

The price values Guardian IT at 80p a share, a 122% premium to the 36p low it had fallen to in February before announcing it had had a takeover approach. Conversely the offer is a 95% discount to the 2000 high of £16.55 a share.

The deal delivers Sungard 2,500 new customers to its higher-value 500-strong UK and European portfolio.

Xansa, the former FI Group IT services company, guided the City today that its results for the financial year, which closes at the end of the month, will be in line with expectations.