The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
I understand your point about “poorly run”. The recent comments of founder Peter Wood imply that in this particular case it might well be valid. I agree it doesn’t always apply and is used a bit lazily during downturns that few management teams can do much about.
What does "poorly run" mean? As a former exec of a large engineering business, I have heard it many times but never heard it explained. I suspect that it is a catch phrase used by the ignorant to explain the occasional bad times which nearly all businesses experience.
I just came to the conclusion that that the UK market is not cheep but reflecting the true Vale but the punters and CEO's think that their company is more valuable. Most bidders to seem to walk away once a reasonable premium is offered and not accepted. Curry, DLG, ELM all too greedy and no one want to pay stupid level for these poorly run companies. Some CEOs accepted the offers and managed attract more higher offers because knew the CEOs of those companies are serious of offers and shown respect.
"Would Mr Winslow have taken the job on if he didn't think it could be sorted?"
Is there likely to be much that needs sorting? As far as I understand the issues DLG face are
long term - its higher cost base compared to peers.
Short term - failure of CEO/Board to anticipate perfect storm - Brexit, Covid, Ukr/Russia war shocks and react more conservatively sooner both in pricing and paying out to share holders after they hit.
The higher cost base was highlighted as an issue by James before stepping down, so it's likely work has already been done to begin tackling that.
As for the short-term issues - The CEO stepped down and policies have since been written to better reflect inflation. The latter takes time to feed through.
Shorters creeping in, LTH topped up and hold as no rush plus divs on the cards.
Doctor Doom and the price action predictions
"On it's way sub £2 - still the BoD say they can do better. Let's see.
Revealed: One of the largest shareholders in Ageas, the Belgian insurer, believes its pursuit of London-listed Direct Line Group is “aggressive and opportunistic” and should be abandoned, in a fresh blow to the prospects for a deal."
Would love to know what was meant by "aggressive". It certainly looked opportunistic and halfhearted. The second bid is a real headscratcher though....
Agreed. Surely the outlook statement has to be positive. Otherwise the board would look rather stupid in not entertaining the offers from Ageas. 6-12 months this is back to £3 imo
Would Mr Winslow have taken the job on if he didn't think it could be sorted?
If you are a stalker you know how I play - add trim or trim add - happy to sway in the wind rather than sit at £3 with a loss or hold at 225 for 12p when there are no certainties.
Holding forever rarely works in the UK.
The share price sways in the wind and if positions can be improved, why wouldn't you trade it and keep a core.
Anyway you are obviously not a Newbie so take off the mask.
Someone who is quick to pick up on anyone who sways in the wind :-)
RIshi so you signed up as a Newbie and found DLG to post that for your 1st post.
As they say on The Mask
Who are YOU?
So while Nero fiddles there is money to be made
Yeah cool story
Grab that falling knive at 16 :28
Looks like a WG' all over again. 2 bids reqjected withdrawn and back to 160p - hate to see the profit deteriorating but LH super divi share again.
On it's way sub £2 - still the BoD say they can do better. Let's see.
Revealed: One of the largest shareholders in Ageas, the Belgian insurer, believes its pursuit of London-listed Direct Line Group is “aggressive and opportunistic” and should be abandoned, in a fresh blow to the prospects for a deal.
Https://x.com/markkleinmansky/status/1768238299791884562?s=46&t=QwBTpUxZhS26Ts05345o0A
Sorry RZEZ but I should have added that the 6 beds was its original design build. However the 6th bedroom is now a second ensuite Bathroom and as such I used those identities' to carry out an online price comparison.
The good part of buying a large Victorian house is that they are open to remodel. Mine is now 5 bedrooms 2 with ensuite bathrooms and 2 with ensuite showers and WC. And the 5th single bedroom was my home office. It's the perfect home to cater for my children and grandchildren to visit when they come for a break by the sea or at christmas.
From memory any property over 5 bedrooms requires supervisor approval. So has to be done over the phone, one workaround used to be to do quote online (to get the best discount) for 4 beds then phone up and ammend it to 6. As additional questions are needed to be asked. But this is a pain and only those determined to be with DL would go through the hassle. Just incase you fancied it in the future. This was many years ago though so underwriting may have changed.
So why haven't you sold up Driftking
As far as I'm concerned the following overruled any form of greed.
Their offer which is from a foreign company would leave me as a retired person that uses Direct line shares as a dividend user to live on. Will wipe out 30% of my pension assets and stop that income from being used to buy UK services supporting UK jobs. It will be the same as the foreign owned energy companies. With UK customers supporting the EU and other foreign share owners to pay their bills.
All time that the DL horse is still running I will remain a UK backer of this UK and other UK companies.
Its just that we need to train better jockeys to run the race.
To confirm my views I just took out a cheaper home policy with Aviva instead of the Ageas quote at £250 higher that was just going to support EU shareholders profits with its higher costs. So for me it was an obvious choice. DL I might add would not offer a cost for my 140 year old 6 bedroom property on the east coast. Perhaps they thought that it's too much of a risk.
Hopefully a bid of 255 is made or round there. Doubt any chance of 275 now.
The 2nd bid should’ve been accepted by board. DLG is a poorly run insurer, and needs serious help.
Wandering can BUFFETT help with his $160bn?? loL
Ageas is running better than DLG, and coukd stresmline the business and save with synergies .
There bloody daft to decline the offer cause I doubt no one else with bid.
Been here since Feb 2022 with 5 figures l, better off in pharma and tech over this malarkey of dividends value trap anyday
It is still not a firm offer, so the date of March 27th still stands.
Ageas need to make a firm offer by that date or walkaway.
Does the revised offer not extend the date into April?
Not in the view of my holdings via Hargreaves Lansdown, Mary
So I will stick it out until then.
Ageas has until 5 PM on 27 March to either make a firm offer or walk away.
On a separate note is there anyone else that will consolidate a loss on their shares at their current unit value? Mine is £3.63