Charles Jillings, CEO of Utilico, energized by strong economic momentum across Latin America. Watch the video 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.
Paypoint
PayPal or Pay ? uk listed ? Thanks
>Does anyone have idea of other takeover targets that might happen … given strong dollar
Look at PAYP
Shed do the math
This offer is a low multiple of 6 times EBITADA for equity. It will increase their revenue for North America & EMEA by half, double that in Japan & Asia
It will increase their debt to adj. EBITDA to 3.8 but they can reduce that to 3 in 2/3 years given increase in cash
Opentext are no fools. They have increase their cloud revenue 8 fold in 9 years, This will be there focus
So if this is the final offer 3 per cent upside from here in Micro
If Dark gets offered 650 to 850 p then 25 to 65 per ce t more upside from here ( low risk of no offer )
The market cap of the buyer not big , similar to MF … I doubt if they can offer more , the buyer share price went down like a brick some 14 per cent on Friday after they announce to buy … my humble advice is not to expect more from this buyer , the only hope is another buyer …. so far no sign …
Switch 20 per cent into Darktrace which is also a potential takeover target and spread your bets …with chance to increase your return with 2 takeovers if they happen
Does anyone have idea of other takeover targets that might happen … given strong dollar
Maybe another bid … but unlikely given Micro history and debts … fingers crossed for an improved bid …
Look at Darktrace .. a bid might come next week or following week , could see a nice jump :)
Maybe consider switching 20 per cent into Dark , hedge your bets … :)
Bought back 5000 shares just couple of days ago and one fine morning this RNS landed... It seems overnight big news is only way I can make big gains nowadays.. I seem to have lost patience... Can't even hold shares for 1 or 2 week once they start move.... Need to refresh my mind and rebuild habit of being little patient once again.... There could be some other bid from PE who could be interested in dismantling MCRO however chances are low considering debt....good luck all who made some money with this roller coaster...
If you look at OpenText's financials, it is basically another Micro Focus but in different software markets. Legacy applications that they are milking to generate FCF that is returned to shareholders. Unlike MF, they do have revenue growth but this is going to be another purchase of revenue, strip out the costs and move on. I really struggle to see the synergy of this deal and have no idea how the MF Board is recommending it. Stephen Kelly's (former CEO of MF) comments in the Telegraph yesterday tells you all you need to know...
Just had a look to Opentext financials... not sure if they are buying MCRO with debt, shares or a mix. They already have $4.6 billion debt...adding this zombie to their balance sheet doesn't paint a pretty picture either....
Just more proof of how our markets and stocks are so undervalued.
What a way to end the week for holders, with OpenText Corporation having agreed to take over British software company Micro Focus International PLC, (LSE: MCRO), in a deal worth £5.1bn including debt.
Micro Focus shareholders will be entitled to 532p per share under the terms of the agreement. This is 98% more than the closing price of Micro Focus as of 24 Aug. Its market capitalization is £1.8bn.
https://www.share-talk.com/share-talk-weekly-small-cap-movers-shakers-saturday-27th-august-2022/
Agree 550 p , so offer should be at least 30 per cent higher , say 710 p or more … certain 530 p too low , but the question is how will any shareholder vote go ?
CR888 - sorry you are wrong - MCRO has exceeded a sp of 550p within the last two years. 532p is cheap and a second or third bidder is not beyond the realms of possibilities, 6-700p would be a better reflection of value at this time.
Maybe sell part of your holdings in Micro , 30 per cent to 50 per cent and use the proceeds to buy Dark ….
Darks highest 2 year price 1000 p , currently before bid 520 p
Whereas Micro is already over highest 2 year price .. spread your bets over a few buyout companies maybe :)
Anything can happen ..
Relying on a new bidder risky , the current offer could be the only one , and already over last 2 years trading price even above tech bubble price
Having said that a premium to last 2 years price would be better , say 600 to 700 p fairer … sadly I own no shares now of Micro, and would switch to Dark if I did
Good luck for higher price if you decide to wait
Kape tech is a good company , CCC too
Times says hold Dark at 520 p , the upside conservatively is 30 per cent to 65 per cent upside if offer comes in next 2 weeks , Sell Micro but Dark could be a great strategy :)
Yeah I am still underwater and bet many many are too.
Have to look at it that at least can put the money I get back to better use esp with stocks well down at moment but still maybe there'll be a rival as this is indeed very low ball but just like blue robot and plenty other UK companies that get snapped up last few years
Whilst it is great to see someone else see the value in Micro Focus, this bid grossly undervalues the company. The board of MF has been atrocious, unable to stabilise revenue, find growth opportunities or fix the internal plumbing in a timely manner.
In addition, the constant negative reporting has decimated the SP over the last few years. MCRO has tremendous potential and upside and this could be achieved with a new leadership team. The sale of the company will simply end up destroying more value and no doubt many staff at both companies will pay for this with their jobs.
It is infuriating to see these numpties getting rewarded to the tune of millions for what is basically abject failure.
I for one will be voting against this offer although fear it will go through anyway. Many MF shares are owned by VC etc. and no doubt they will vote for the sale. Hopefully, another company Enterprise company out there will swoop in and make an offer which better reflects the opportunities and assets on offer.
With the strength of the USD against the GBP this sort of opportunistic swoop was inevitable.
Reduced both holdings in the past month (s).
Happy buy kicking myself.
Other holding quite large , sold none of of those....
If you really want to take a punt CINE is ripe for it.
On the flip side, say you sell your MCRO stock and invest in DARK right now. Then, Thoma Bravo walks out without making an offer. Darktrace will retract from curent levels to the old 300p (if not less). And your investment will shrink accordinhly.
I am invested in both and I am not going to touch them, set aside putting all my eggs in the same basket (and Dark is indeed the wrong one in this case, as no sound offer has been made). I agree it is very likely that other bidders follow suit and price raises, but that could happen in both cases.
From my perspective, and where I am most likely to put my money after September 8, Kape Technologies and NCC Group are as juicy as MCRO and Dark for a takeover, and thats my strategy.
Can you see shareholders turning down a significantly higher offer? I can't. Plenty of time for another player to outbid Opentext. I'm in agreement with Mark Bell, genuinely expecting at least 2 other parties to make offers comfortably over £6. Could reach £10 and would still be a bargain in the right hands.
if only it had 10 bagged.
as is your scepticism. I am in most shares in the FTSE 350.