InterX faces extinction

Time almost up for UK software company?
Written by Joey Gardiner, Contributor on

Time almost up for UK software company?

Shares in UK web publishing and technology company InterX fell 60 per cent after it issued a profits warning this morning. The already troubled InterX said the squeezing of corporate IT budgets had made it unable to turn leads into actual sales, meaning its upcoming results would be "substantially below market expectations". A statement was issued on the Regulatory News Service at 11.37 (GMT) this morning, and by noon the share price had plummeted 60 per cent. At time of publication, the company's market cap was £8m. The profits warning is bound to provoke speculation about the future of a company which has made it clear requires extra funding to survive. InterX subsidiary Diligenti defaulted on a £16.4m debt to the firm at the end of last year, and, without having secured extra finance it needs, looks unlikely to be able to pay the money back. Without the money InterX's cash supplies will last it six months at the current burn rate. InterX said it will announce full results on Tuesday 12 February.
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