The Advantage Group is poised to announce the result of its review of the group’s “e-services area”. This is thought likely to see the company divest itself of more of its e-commerce and IT-related businesses.
Advantage, whose profits are flagging, has experienced previous trouble with its e-commerce operations, notably the Flying Pig online store, which it divested itself of last year. It also backed out of CommSoft shortly after investing in it.
Last week there were strong rumours — which chief executive Stewart McKenzie declined to confirm — of a management buyout of Advantage’s ownership of web design firm Glazier. “We are satisfied with the progress of the review,” he said, “and we are very close to coming back and advising the market and the media of our decision.”
Murray Aldridge, head of the Advantage-owned Aldridge Punter software development business, declined to say what he expected to happen to his business.
Advantage’s other acquisitions over the past two years are Auckland-based web designer Webmasters (a complement to Glazier in Wellington), software package seller Campbell Pope and Australian web services company Whitewolf.