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This news has no enough information. Hope hyve will issue rns to say more about it on Tuesday morning. Personally, I think it could be anything. 1, too early to say anything yet. 2, how many shares will issue to Carlyle and how much a share? I don’t think hyve will issue much more than 100m shares to Carlyle to keep Carlyle holding just below 30% of the company. Which means may as high as over 200p a share if rise 250m pounds. 3, if Carlyle like to pay more than 200p a share, why not to bid for whole company? They are managing 260b usd at this moment, must have enough money.
Anyway, I am more than happy to sell my holding for over 200p in near future.
Gla
Let's hope so, at least 20% would be nice to see Tuesday morning ??????But who knows.
This should surely have a positive effect on the SP.
Tell Carlyle £10 a share
Does anyone has more information on this? And what are we expecting on share price? Thanks
Events group Hyve in talks with Carlyle about £250m PIPE dream
The group behind Shoptalk and Mining Indaba has become the latest listed target for private equity investors, Sky News learns
https://www.google.co.uk/amp/s/news.sky.com/story/amp/events-group-hyve-in-talks-with-carlyle-about-250m-pipe-dream-12319945
Your explanation is absolutely wrong. You neglected the stock consolidation 1 for 10 took place before rights issue in May 2020, meaning that every 10 old stocks consolidated into 1 new stock. Every price in the platforms are adjusted for this because it is simple (just multiply old prices to 10). Thus, price in December 2019 was 1080 for each new stock (or 108 for each old stocks where every 10 old stock construct one new share). Because we want to compare current price and old prices we specify all prices in term of new stocks. Again, Hyve shares never traded at 100p or 108p per share in Dec 2019. It was traded at 1080 per share (Or you can say 108 per old share where every 10 old share constructed one new share). Imagine before Pandemic, the price of Hyve was 108 and at the middle of pandemic still is between 70 and 140. Does it make sense?
Just for your information, I bought Hyve at May 2020 at 15 per old share (150 per new share) and got rights issus at 69p per new share and sold all of my Hyve stocks at 162p per each stock in June. So the price of 16p you are saying is absolutely wrong because I muself sold them at 162. The price was 160 in the start of June 2020 for just one-two days and then gradually decresead to 120p and then more decrease to even a very cheap price of 70p (the rights issue price).
So the price of Hyve before pandemic was 575p per new share (If you like you can say 57.5p per old shares but this 57.5 is no longer comparable with current price).
For the second round, I bough Hyve at a cheap price from 70 to 110 and so I am in a strong position and no reason to psychologically overestimate Hyve price. This is the typical problem in mergers, consolidation and rights issue.
Well said
You're looking at a back-plotted extrapolation, not the actual trading price. In December 2019 the rough actual trading price was about £1=100p.
It then dropped and indeed you can see on this page stock price graph, immediately prior to consolidation 26/5/20=a mere 16p.
I have been in here between April 20 and now. I still hold, and have increased recently. I know what I pad then and I know which historical prices were in existance. I sympathise with the misrepresented information which everyone sees as acceptable but it isnt as it s mis-representing the historical MC of the business.
If you wish to believe that this stock was previously trading at hose vaues then good luck to you. You can top up at 340 by taking mine off me!
GL
Also, the pre-dilution price is in the London stock exchange or Yahoo finance. It was 1080 at Dec 2019. I remember google for a long time misrepresent the price and now I see the price of Hyve in google matches with my estimation (575 in Dec 2019).
The problem of calculation leading to 300 or 340 is ignoring the capital proceeds by using the rights issue. This capital has decreased the debt and increased the cash (deposit) and so the market value of the company in the numerator has changed as well.
And here is the Price adjustment:
1. The price of each share before rights issue was 215 (price at 6 May 2020) and the theoretical ex-right price is 114.2 (price at 12 June). The decrease in the price was because of the dilution due to rights issue. So we have the dilution rate (53%) to convert old price to new prices (adjusted prices for rights issue).
The information for calculation of ex-right price is inside the rights issue announcement released by Hyve at 7 May 2020 (they calculated ex-right price equals to 113.1 close to my estimation. Note that net gross proceed was 116.8 million and 9 new shares were issued for 4 possesed shares).
I get back and calculate theoretical ex-right price. I don't remmeber the number of shares before and after.
The mistake of your calculation is that you ignore the capital proceed by rights issue. The main part were into the bank deposit and so the numerator should be changes. The calculation of the theoretical ex-right price is inside the rights issue announcement. I did out the here3-4 month ago as well.
Exactly, what’s the matter with people!!!, take the rose tinteds off!!!, don’t look at the share price , look at the company !!!, fundamentals, new levels of debt, a good company with a good reputation and position in its sector!!!!, there’s a difference between trading and investing!!!, just have to decide what strategy your adopting on any given stock!!,
Topped up to 6% from 4%. If the insti’s are buying………..
That was 9 for 4 rights issue, so every 4 old shares become 13 new shares. So, should be around 340p before covid. But, there are many stocks price higher than before covid. Anyway, I will be happy 200p+ in next six months. Gla
Market cap pre covid was 815m shares x circa £1.00= £815m. It was trading aroudnt he £1 mark just before COVID hit.
Shares in issue now 265m....
So assuming the business gets back to where it was MC wise that gives roughly 815m/265m= £ 3.08.
I think someone worked it another way and came up with 340?ish?
This was all being discussed on here June 21 last year...when the chart was still showing the £1ish pre-covid. Its dropped off the back now but you can just about still see the £0.20 ish that it was trading at post covid/pre-consol levels.
GL
dehghani,
I'm afraid that is completely wrong.
Most platforms have adopted some mad back plotted adjustment which they struggle to explain. (I know I spent a while arguing with HL and the FCA about it).
If you dont believe me research the previous market cap and compare... your figures on the previous shares in issue would give a rather grand position indeed.
To the credit of London South East, the graph on here represents the actual prices, but only goes back 12 months unfortunately.
The issue here is that a lot of platforms and Hyve themselves make it very hard to track the historical shares in issue (and the shares in issue has regularly been increased for this that and the other (see RNSs where the share price dropped).
But to be clear, in current money, this has never been over 340. Sorry.
Note that 575p is the real price (adjusted for dilution due to the rights issue). The pre-dilution price was 1080p in Dec 2020 and the dilution rate was 53%. Many platform still are using old price without adjustment for rights issue. Thus the adjusted price in Dec 2020 is ~575p that you need to multiply 1080 to 53% to get 575p.
Some upside today happy me
You'll be holding a while then...
As my learned friend just said, the dilution here means previous high about 340 max.
Just so your aware the 575P is a pre dilution price which I understand to look more like 300p post dilution. However, I still believe that this share will do well.
In the last December, when the price was around 110, I have written here that the Hyve price should go up to around 145. Now the price is 130 and given ongoing vaccination and high probability of removing the lockdown in the UK and US and then other countries, the timeframe is too tight to expect a deep dip. It might decrease to 120 for a while but the momentum is upward. I would say the price will soar to somewhere between 175 to 200 by the end of summer. I bought Hyve at price around 90-100 and my target price is 200.
Just to have an idea about Hyve price:
Dec 2015: 540p
Dec 2016: 525p
Dec 2017: 600p
Dec 2018: 350p
Dec 2019: 575p
Dec 2020: 130p
Mar 2021: 125p
Jun 2021: ???
Sep 2021: ??
Dec 2021: ?
No doubt this will rise and fall, rise and fall, but remember the saying "Time in the market beats timing the market"
We have a likely multi-bagger on on our hands here, I favour holding and topping up on the dips rather than attempting to play the market.
Current price: 132p, Pre-covid price: 500-550p.
I'll sell when we pass 500.
I was going to sell earlier - however the dip means I will wait a little longer.
Unsure whether to take profit on this and invest back when it dips, never seem to know when it’s actually going to thrive again
This move good for my investment but bad as I wanted to invest more at 113 or 115 as this stock could rise to any price