Futurelink Europe up for sale
Company formerly known as KNS
Futurelink, a US Application Server Provider, is exploring offers for its UK subsidiary. But it has entered some strong caveats - expressions of interest are non-binding, the amount such a sale would raise is unknown etc. etc.
FutureLink Europe was formerly known as KNS Distribution, a networking equipment distributor based in Newbury, which specialised in wholesaling thin client kit.
Futurelink bought KNS Distribution in November 1999 for £7.25m in cash and deferred cash and shares £19.75m in FutureLink stock.
KNS was renamed FutureLink Europe and set to expand its new owner's ASP presence into Europe. The idea was to "establish itself as a global leader in a market set to grow to $21 billion by 2001".
As ASP revenues worldwide in 2000 were only $1bn, according to IDC, it seems very unlikely that the ASP market is going to generate anything like that sort of revenue in this downtrodden year. ®