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I think the broker note/news update circulated might be on the money. That suggested they are expecting bids by end of October or first week of Nov.
Both of these make sense. Nov would be 28 days after Rns mas o menos. 31st nice round number.
How does one see this coming to 20p+ in the coming weeks when everything apear confidential and the FSP may not be released until late December. Could we be hanging at these levels until end of Dec 2019?
I see it slightly differently. “Conclude the formal sales process” is not the same as completing the sales process in my opinion. I think receiving our cash and/or shares could well be H1 next year should a sale go through, but the bidding and agreement process will be completed by the end Q4. This is just my reading and understanding of the last RNS, and the length of time a takeover normally takes once agreed. Fingers crossed we get the right outcome ASAP!
Bumbling - I agree that in order to conclude the sale in Q4 they have to have a pretty near bid submission date. It will have to go to a shareholder vote, and after the vote there will still be 4-6 weeks of activities to conclude the transfer. I also think to get the sale done this year 31st October bids submission date would be reasonable, at the absolute latest second week in November but then the end of the process starts to clash with christmas. Bids in by 31st, evaluated and then a recommended offer put to shareholders within two weeks of that.
‘Take no further action with their shares’ does that mean not to buy anymore?! I’m seriously considering going in bigger on this. What does anyone think are the risks. Presumably a no sake, if so, would the SP plummet?
formal sales process (the "FSP") entered into on 19 July 2019. Last update was the 11th October.
In the last update they said “The Company has conducted a thorough process to date, including the provision of large amounts of data to interested parties and their advisors through virtual and physical data rooms.” So interested parties from further afield potentially, that couldn’t get to the physical data rooms. There is “Multiple well-funded parties are engaged in the process.” So it’s fair to conclude offers will be tabled.
“The Company has issued revised bidding instructions to interested parties, inviting firm proposals to acquire the entire issued and to be issued share capital of the Company (the "Bidding Instructions").” So bidding instructions have been handed out, it is therefore fair to assume a bidding submission date. Is long is reasonable from issue of bidding instructions, I’d guess couple of weeks which is pretty much end of month and everyone likes a round date. I’d guess bids in by 31st or 1st.
The Bidding Instructions make clear that proposals should include confirmation that any potential bidder is in a position to comply with requirements of the UK Takeover Code relating to Cash Confirmation (Rules 2.7(d) and 24.8).
The Company is seeking to conclude the FSP in Q4 2019. Further updates will be provided in due course. Shareholders are encouraged to take no further action with regard to their shares.
Who thinks this will go into 2020, or will it actually looking at 4Q 2019 and believe management and could it go down to 31/12 or will they have a holiday break at the end of December. Any ideas???
@pickedpeck - "We all got a bit excited about the use of the word 'strongly' at the time". we did indeed. i agree.
9th of August they also said:
'Shareholders are strongly advised to take no action in respect of their shares until completion of the FSP.'
We all got a bit excited about the use of the word 'strongly' at the time, the latter wording is more normal.
Well that certainly sounds very encouraging!
"...AMER's announcement to shareholders not to sell during this process."
@leas - 11.10.19 the company rowed back a tad "Shareholders are encouraged to take no further action with regard to their shares."
So Amer has actully said ‘do not sell’? That’s gotta be a pretty good sign right. Wonder if I should go in bigger
Any talks with interested parties will have a non disclosure agreement in place. Usual practice as it is price sensitive to all involved. The company could say talks or progress is going well, or announce a rejected offer. My view is that we will get an announcement 'out of the blue' and can only reiterate AMER's announcement to shareholders not to sell during this process.
Well so far, no, we are not being told much about the sales process, I would suggest we are being given pretty much the legal minimum of information. That of course is helping stop the share price inflating, presumably the desired effect.
Will shareholders be informed of the sale progress as in how many potential buyers are involved as time goes by? Or we will just be told of the winning bid in due course.