Intec Telecoms up 250% since April - much more to come

I note with interest today that SVG Capital (Schroder Venture Group) have announced increases in their declarable stake in Intec. The first was an increase to 10,440642 (3.59%) and the second to 10,940,642 (4.09%) This looks an interesting move given the stated policy of one of their most successful funds The SVG UK Alpha Fund (I’m guessing that they are involved):
“Instead of the conventional emphasis on measures such as price-to-earnings and price-to-book value ratios, the SVG UK Alpha fund focuses on how much a company would sell for in a merger or takeover.
The fund's holdings are more than four times as likely to be bought out as the average stock, according to Mr Steiner. But his holdings do not need to be taken over for him to consider them successful purchases.
"The key nuance is not necessarily that they will be bought out," he says. "Our view is that the market should recognise the misvaluation. The safety net is that somebody will come along and buy it."
In other words, he aims to cotton on to potential buy-out targets earlier than other investors, who will buy the stock later than him and drive the price up - possibly pushing it so high that, paradoxically, it becomes not such an attractive take-over target after all” Quote from an article on FT.Com.

I have picked up on the comments re a possible takeover for the company and it seems that one of the UK's leading fund managers may agree.I guess the most interesting thing for investors is what sort of return are SVG investing for. Having paid in the mid 40s one can but speculate, but my guess would be for a minimum 30% within a shortish time period of say < 6 months which gives a price of around 58p. They may be wrong, and it is of course only speculation, so as always, DYOR.