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Timing is a bit odd, day before AGM to pass resolutions.
Placing is done, not sure why they would want to promote the company unless perhaps to raise more cash?
Mello has a good Q & A so chances are this will come up.
Kelso will be presenting & exhibiting on the 23rd of May next week at Mello2023. Https://melloevents.com/mello2023tickets/#
Cheers 1p
24th not far away, interested to see if Kelso they double down - biggest indicators so far are the Balderton boys, lots of folks will know their history including some funds managers, these guys are top of their game.
Yup, replied on THG thread.
Re. Comms referring to. Their recent prospectus. Found that information good
They should also get in touch with sue Farr and get her working hard for fed up shareholders and put that amongst an rns
Needs more confrontational less nicey nicey
I'll. Leave it then maybe see. Jg at thg agm
Let's see what kelso. Do next. Feels like they have to change tone or change something as these passive aggressive rns with advice are useless. I. Note they were. Founded. To. Identify unlock and develop value well we are near 6 months since there. Opening with thg and they look to. Be in the red now on average
My advice would. Be go hunting out and canvass big shareholder true. Opinions put matts comments to. The test re. The 65 per cent. Club
However to be fair can't fault them. On comms
Note did you see my note on. Rule9 thread on. Thg board
Really hope your are right regarding apollo
Unlikely to get in without paperwork in advance, you would need to be shareholder to get this prior to AGM.
In terms of voting, not sure what there is to vote on? either way not something of interest to me personally as happy for management to continue as is, uninterrupted.
Kelso's holding is far too small for anyone to take notice, that said if they leverage up £3m it will help in this regard. Voting rights can be exercised with agreement from your broker, might be a small admin fee involved.
Apollo, still not convinced this is over yet, could quite easily see them rock up with another RNS starting the whole thing over again..
Thinking of it if they hold cfds they dont have voting rights
Negative I would only go as a thg shareholder not holding kelso
I want to form. Some thought of collaboration to hold more voting power
Frankly right now any rns they produce or recommendations to thg are not even acknowledged never mind actioned
How can the analysts seriously argue with Apollos valuation of Ingenuity, after all, its not even in Apollo's best interest to talk up the price when bidding.
Analysts are jokers looking for an audience.
Is anyone going to the AGM on 24th when sign off is expected?
Good chance they will use funds (if approved) for THG stock given its almost back to where their first purchase occurred.
Not a chance they cashed that cfd in. They are long term holders not traders
It will be in red. Now and margin pressure will follow so they like the other suffering PIs need to take stock
Very sensitive to small volumes either way 1pencil.
A disciplined approach says hopefully they closed their CFD's on THG for a nice profit and still have their shares invested.
Indeed, its the first time THG have received an - independent - valuation for Ingenuity from one of the worlds largest asset managers, Apollo Global Management Inc with half a trillion dollars under management.
Not a bad result after spending nearly four weeks exploring the business, very comprehensive imo and worlds apart from analysts who never leave Canary wharf.
Norges Bank increasing also.
Just to keep things kind of up to date with chronology
Matt Mouldings linkedin post informing all that Apollo had valued THG Ingenuity alone at higher than the present THG share price and market cap for the full THG Group, including Nutrition and Beauty.
https://www.linkedin.com/posts/matthew-moulding_nothanks-pe-onwards-activity-7062681230554591233-gaz_?trk=public_profile_share_view
Kelso's response to events.
"Kelso notes THG's announcement whereby it has terminated discussions with Apollo. We note the comment about previous views of the board being on 'public record' which we take to mean the previous rejection of 170p a share from a year ago.
Kelso is pleased to see that the current positive trading momentum has continued during 2023 with improved profitability and cash neutrality in the current year. We note the comments about cashflow positivity in 2024 and a 9% EBITDA target in the medium term, which would produce £200m EBITDA on c.£2.22bn of sales.
Kelso previously made a clear statement setting out what we would like to see THG do. This included a focus on cash generation, a move to the premium index of the LSE from the standard index, a share buyback which we would urge the company to enact rapidly, clear shareholder communication and a clear value realisation plan.
Kelso invested in THG because it believes in its strong underlying value. We believe more strongly in this view following this morning's announcements (RNS and LinkedIn) which clearly show the board of THG and Apollo also share this view. We also note the tailwinds from reduced whey prices and logistics costs and reiterate our previous comments about the sum of the parts valuation of the business being well above the current market value. We commend Matt Moulding on his open and honest LinkedIn post and look forward to being able to remain a shareholder of this exciting company."
There will be others imho
Following Matt's post it suggests the board consulted larger holders perhaps up to 50% or more, in doing so it would make those holders insiders effectively preventing any further buying during the offer period.
It may help explain the lack of rule 8.3's from THG's existing shareholder base in contrast to last year.
Yesterday's announcement was a watershed for those inside with trading as normal, lets see if support comes in next week.
----------------------
Kelso, lot of info out yesterday too with AGM on 24th:
"The Placing remains conditional upon, among other things, an FCA approved Prospectus, the Resolutions being passed at the Company's AGM, the Placing Agreement not being terminated in accordance with its terms and Admission becoming effective."
£3.0 million before expenses been raised subject to above being signed off, interested to see if they continue with THG share purchases - could give them c£20m if fire power with margin
Some general observations, Apollo's filing under Rule 8 appears to have left the door open - under normal circumstances the six month rule applies as it did with Candy/Belerion, filing a rule 2.8 effectively bypasses this restriction (with board approval).
This clause "any person acting in concert with Apollo, reserves the right to set aside the restrictions in Rule 2.8 of the Code and announce an offer or possible offer for THG, or make or participate in an offer or possible offer for THG, and/or take any other action otherwise precluded under Rule 2.8 of the Code within six months of the date of this announcement"
Its not standard practice to submit these notices, in other words you don't get rejected and then automatically file under rule 2.8 to have restrictions set aside.
It may be nothing or it could be part of the overall negotiation strategy, no idea really but worth mentioning all the same.
Was meant for the THG bulletin board. Strength of volume into the finish is always a good sign as is finishing at or near the days high.
So how do Kelso benefit from the rising THG share price.
Position Number 1. 5 million shares at 54.5p (RNS 31/1/23) At 109p it has x1 bagged.
Position Number 2. "a net purchase of a beneficial interest in an additional 2.4 million shares in THG, which takes Kelso's total beneficial interest, consisting of ordinary shares and CFDs, in THG to 7.4 million shares; (30th March RNS) Looking at the graph and the closing sp on the date prior 29/3 that date it looks like exposure to a further 2.4 Million shares at Less than 63.82p.
Position Number 3. "Kelso today announces that it has acquired further interests in shares in THG plc ("THG"), through a Contract for Difference ("CFD"), taking Kelso's total economic interest in THG shares (held through a mix of ordinary shares and CFDs) to 8.0 million shares." (21/4 RNS) So coverage over another 600K THG shares. Probably contracted on the dip of 17th April and announced 21/4. At 76p roughly though it did dip lower.
Question. What did they do with the £3 Million pounds (less expenses) from the successful placing that they announced by RNS on 27/4 ?
Beginners luck or a high calibre grouping of High Net Worth individuals making their own luck by identifying undervalued shares and then actively investing to create fuller value and truer net worth.
First of many with hopefully the rolling snowball effect.
Last few minutes.
Looks like Apollo are serious!!
https://news.sky.com/story/former-coty-ceo-puts-gloss-on-apollo-bid-for-beauty-retailer-thg-12871291
I ve bought a tentative 200k shares. Thanks for the heads up OSG
Are you invested in? I am.I am very confident that the share price will double in less than 1 year.The risk/ ratio is great.In less than 6 months, they raised £6M, made a good first investment in THG, gained good media coverage.The directors said they don’t take any fees and salaries and put their own money at a small discount (lately 2.5p).As far as I understand they will get a max of 20% of free shares from the value created for shareholders as an incentive.I think it’s fair!
Ingenuity and BigCommerce strategic Partnership
https://www.marketscreener.com/amp/quote/stock/THG-PLC-112544292/news/THG-Ingenuity-and-BigCommerce-to-form-strategic-commercial-alliance-in-commitment-to-supporting-br-43627647/
MyProtein into Airports and selling well.
https://www.linkedin.com/feed/update/urn:li:activity:7056521747822436352/?updateEntityUrn=urn%3Ali%3Afs_feedUpdate%3A%28V2%2Curn%3Ali%3Aactivity%3A7056521747822436352%29
"detailed talks" and "steep premium"