Thanks for posting that comsman it is a very balanced piece. I am happy to hold for the dividend at present, but obviously any capital growth that comes organically or via a takeover is welcome. I held these before when they were near the top of the FTSE250 dividend yield table for a couple of years (2013-2014), getting in when the price was in the high thirties and exiting at 56p with a nice profit. They fell back after that, but the Columbus deal and the recent rally tempted me in again.
RE: More UK Press Coverage
This is a well written and objective article that provides an insight into the CEO's thinking and basically confirms a takeover is likely in the next few years.
Hi Grayling. Whilst it is great to have him 'on board' John Malone's shareholding post completion of the merger is just13% compared to the 20% for John Risely and 3% for Brendan Paddick the two people who originally set Columbus Communications up. For him, this shareholding in CWC is relatively small and as you say he has his sights on bigger things right now so I wouldn't be too worried if he sold his holdings and concentrated on bigger enterprises. On the other hand if John Risely and Brendan Paddick bailed out next year (as the terms of the takeover allow) that would be a worry to me. For now I am sticking with CWC, the dividend is fine and I do believe that in this age of telecom consolidation it is only a matter of time before one of the larger regional players (Telefonica, America Movil or even perhaps a cash rich VOD!) will make a bid for the company. Good Luck.
RE:RE: Price fall
Comsman as the Times piece says towards the end it all depends what John Malone does with his stake post the Columbus deal. Does he hold and support the future development of CWC or cut and run? He seems a bit distracted with eyeing up Vodafone at the moment judging by recent comments. I am not complaining about that as I also hold Vod and the price has bounced very nicely after the immediate post-results drop. Mostly I feel because Malone has shown interest in a tie up.
17 May '15
RE: Price fall
Don't panic, stick with it for a full year under the new arrangements and the SP will be 80p plus. The enlarged company is now attracting the attention of the mainstream financial press and might even break into the FTSE100: http://www.thesundaytimes.co.uk/sto/business/Tech_and_Media/article1556815.ece
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