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Appreciate your insight.
Go England.
Hard to see Sir Terry accepting defeat at the first fence. Hasta la vista
Depends whether you think there will be a higher counter offer from another bidder
Could be looking at another 10-15%
Remember the board have agreed to to the price, shareholders have not.
Would think many institutions will be looking for a bit more.
Well, the Fortress situation has been going on for a couple of months, IMO as Morrisons are close with Amazon, it would make sense that they already discussed any possible merger there before accepting the Fortress 5th revised bid. It is a little odd as Morrisons is a no brainer for Amazon, and Amazon love and need more warehousing, the fact the board will recommend the offer may sway the institutions into backing it at this price. That is how I see it, it may go to 2.70 but without Amazon coming in - and they will definitely have been made aware of the situation by the board - I don't see any more major developments here.
Agrees £6.3 bn takeover. Is it to late to get in?
Guys do not forget they are taking on about £3 billion of dept as well,
Well new bid in at 254 , these should open at 260 now Monday , so will they counter offer 275? .
Also Amazon is yet to make a move on a ready to go enterprise that will fit them perfectly.
All to play for now next week as they run there numbers over this.
Have had these in my SIPP for a few years but opened CFD on Friday, I will be buying more on Monday cause I don't think this is finished yet.
Just for a bit of fun open and close predictions for Monday?
Section on long article - too long for LSE
……….. Add it all up, and the Fortress offer, backed of Koch Industries and Canadian pension fund CPPIB, is still two low. So what should happen now? A higher offer may well emerge. CD&R is one of the biggest private equity houses in the world with very deep pockets. It may well decide to up the price it is willing to pay. Alternatively, now that Morrisons is clearly in play, and the board has agreed it is happy to sell, a trade buyer may be flushed out. Amazon has been eyeing a supermarket chain for ages, already has a tie up with Morrisons and could easily bid. Even £7bn would be small change to the beast from Seattle. Or another trade buyer may emerge from Europe, Asia or America.
In reality, if some of the smartest money on the planet is suddenly very, very keen on the British grocery market something has changed. After two decades in the doldrums, it has suddenly sprung back to life. Morrisons shareholders have had a dismal couple of decades. But right now they are sitting on an asset that is a lot more valuable than they probably realised. They should sit tight, and wait for a higher offer to emerge. It will be worth it — because this saga has quite a way to run yet.
Pearls, thats my point.
I suggest you re read the post as well as my earlier one this morning.
We're singing from the same hymn sheet.
Let’s see if anyone else steps up!
Early days
Seems a low bid to accept, when you consider the freehold property portfolio that MRW has.
Not exactly maximizing shareholder value, is it?
"There's too low volume on declared short positions left after June, they'll get it pretty much for the same price as TO, marginally above it but insignificantly anyway."
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Agreed, but per the latest short tracker, it's still a sizeable volume of ca 39m shares. The average trading volume is ca 8m shares.
There's too low volume on declared short positions left after June, they'll get it pretty much for the same price as TO, marginally above it but insignificantly anyway.
6.3[offer]/2.41[outstanding shares]--> 2.614p
one thing is for sure; live shorts will be panic covering this week :D
..and it doesn't even look like hostile takeover to get rid of competitor in order to gain better profits via main business channel as compensation due to too many other players on a market.. They might be able to cut CapEx a little bit to improve cashflow for draining it out, cut some OpEx on logistics because similar structure already exists with variable costs perhaps growing much slower there, may be even squeeze another 80mil/year on administration/management costs - but that's it, doesn't seem like there's any other spare capacity left, (customer base wouldn't cost that much)..
I did not see this coming, BoD has done a great job selling it that high, looking at book value (incl. specific type of property ownership value of which is under question now with retail habits shifting online and so many property funds hopelessly down and some running/winding down) and flow of Net profits it was already overvalued enough above fair value. Normally buying business would go with margin of safety to cover risk and profit premium (of at least favorable disposition for integration into holding's existing business model for expansion/synergy purposes) - but those who offers do raise an eyebrows on how offerors have came-up to conclusion what it will pay out in the end, I'm still puzzled to see justification on their decision to make this move and what's the real reason behind it..
Delaney, how’s your fantasy delusional island going? This idiot lectures everyone not to sell their declining ARB shares, and has developed a fantasy island he invites other rampers to go to where no opposite views are allowed. Ignore this fantasist who probably thinks the proposed offer for MRW is a good deal! Hopeless
Wow this deal reeks of foul insider/CXO play. The bidder is offering ca 20% below the fair price and the management is happy to accept?? Really interested to review the CXOs remuneration offers as part of this transaction.
On the face value, this is a shady deal.
Interesting to be announced today. Could be in for a turbulent Monday and possibly week or more.
Any promises made must be formal and contractual to avoid Cadbury type scandal.
That’s drivel, Kingalf. The Board are obliged to get maximum value for shareholders, not mediocre value.
Can only hope big institutional shareholders hold out and a bid battle develops. Shareholders are being sold out on the cheap at this level.
The execs have gone for the offer that's most likely to be accepted by the regulators, its not the best and certainly isn't maximising shareholder value but it will pretty much go through with minimal scrutiny. The execs have half an eye on their multi million pound payouts once this all goes through, they just have to convince 75% of the shareholders to follow suit, but bearing in mind the recent shareholders revolt over their pay, they will probably have a fight on their hands.
yes i saw the report reppyrr ,but i dont take in much the bbc say as being true ,like the sensitive defence docs supposidly found in a bus shelter and handed to the bbc ,any normal person would have taken[if concerned at all]to the police,more likely some dodgy civil ,white collar ,worker with a heavy briefcase and the bbc were prepared to pay ,bus shelter poor cover up and they think we are stupid mushrooms ,keep safe all and please escuse spelling i was dragged up in suffolk