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Agreed, I would be amazed if the BoD accepted an offer without having a very good idea wether it would be accepted or not. What PIs think is irrelevant we are a tiny amount of the shares held.
What normally happens is , you can sit back and they will pay the offer price. you won't have to pay com but you will pay tax if you make more than your corp tax for the year.
Optimistic with my 38p then always knew offer would start of low
SP in January around 60p pre COVID. This offer is awful.
If this is accepted then you will see it delisted. In two years it will be floated for at least £1.5. Per share.
It will be good for the company.
Not good for us shareholders. I’ll make a loss. In at an ave 85p as been in 4 years.
You will get the full 35p with no deductions is my experience of these things.
The share price show fly up if debt is cleared surely?
Could be win win situation?
So to get this through will it need 75% or just 55%, and when they say they are going to invest , will it be buy issuing more shares and dilution or not?
thank god my avg is 24....
So if this gets voted through and they buy our shares
for 35pence per share etc , do all the usual platform dealing charges apply and tax ? Or is it like a placing / rights when they don’t etc ?
I knew it was going to be low , over optimistic with my 38p
This will get accepted make no mistake about it. I know someone who works for the company and the company without finance backing can’t sustain the debt. If you think large shareholders will vote against this then think again. It’ll go ahead regardless of what anyone thinks
So apparently I dont know how it works but what I do know is the AA would accept a low offer just as i predicted.
No apologies needed
Shocking offer...after all that waiting...
My understanding Jed is that if the bid is accepted then they buy our shares for 35p and we are history.
Whatever they do or how ever much they invest will not benefit you or I.
The Bod can “recommend” whatever they want but IMHO after 4 months of negotiating this is a sh1 t deal so they no longer have any respect.
My guess is this deal will not get voted through by the large shareholders so if there is no counter bid
then this is going to get messy.
Good buying opportunity though!
The Proposal represents a premium of approximately 40 per cent. to the closing share price on 3 August 2020 of 25 pence (being the Business Day prior to the commencement of the Offer Period) and 50 per cent. to the AA's one-month volume weighted average share price of 23.3 pence on the same date.
No wonder the price was just being held stock does not even price vaccine news yet 35p is basically PE guys laughing all the way to bank
35p I mean wtffff,
The Proposal being discussed with the Consortium includes an intention to also invest approximately £380 million into the Company to facilitate debt reduction and specifically to support a refinancing of £541 million of the existing Class B2 Secured Notes maturing in July 2022 and £372 million Class A5 Notes maturing in January 2022.
So i guess we want to know is the AA still going to be listed and carry on as is, because if the new owners invest all this extra money will the stock shoot up with much less debt . So should we just sit this out and wait for the sp to get to the £1 mark?
Obviously had not read the RNS when posted this “possible cash offer of 35 pence per AA share for the entire issued, and to be issued, ordinary share capital of the Company”. And they try to dress it up by a premium from when the news initially broke, not Friday.
Is that it after all this waiting, but will the big share holders turn this down?
PaulOz - good to see you on here as well as AML.
All - hope link works but another board highlighted this from ABC’s twitter feed. These guys own a tad under 20%, which again makes me think no 40p bid:
https://mobile.twitter.com/AlbertBridgeCap/status/1330631581585842176
Well..... 'people close to the matter..... estimated a chance of 50-50 to a deal being stuck' and the FT relayed that.
One of the most important factors in deal making, is positioning.
FT reports 50/50 chance of a deal. It’s a casino stock now;
https://on.ft.com/2Hpbflk
Doofus - Saga's also a medium-term hold for me. I can certainly see it settling at £4/£5 next year. Beyond that, who knows?
On Trakm8, there's a trading update this week (Thu/Fri probably), so we'll soon know more. SP is very depressed right now, but all being well, it'll recover. It just needs things like the AA's Smart Breakdown to take off. Be warned though, it's a very thinly traded AIM stock, so it tends to be a bit of a white-knuckle ride!
To clarify as the sky article is vague about it:
“A formal bid is likely to be pitched at a relatively modest premium to Friday's closing share price of 33.55p, according to analysts.“
What analysts? It is vaguer than other sections of the article such as the prospectus chair. Analysts have given anything ranging from 5p up. So could still be quite a bit over 40p. Agree with Rox why would ABC etc be topping up if they are only going to make 7p a share if 40p.
Exciting next 24-48 hours. A 07:00 RNS would be very welcome.
I think there is some good news fairly soon for Saga. Definitely a hold for me.
I've only 20,000 AA shares and assuming an offer comes tomorrow or Tuesday, will then close.
Never heard of Trakm8. What's your view? Worth a punt? Obviously would do my own research too, but nice to have a view from someone who knows their stuff