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Started: niklol, 20 Feb 2024 19:27
Last post: niklol, 20 Feb 2024 19:27
Chief Exec of Pinewood sold shares worth £ 509,546
Started: Angelis, 15 Feb 2024 14:32
Last post: Angelis, 15 Feb 2024 14:33
Pinewood Technologies Group PLC
Now called?..
Started: niklol, 29 Dec 2023 09:58
Last post: Hunter-2, 9 Feb 2024 14:05
Hedin out. Onwards and upwards.
I think it will be different to today
Could anyone please explain what is likely to happen to the SP when this deal goes through.
Thanks
Started: Walkley, 19 Dec 2023 16:30
Last post: niklol, 28 Dec 2023 19:48
RNS today
Completion expected end Jan 2024
Your guess is as good as mine unfortunately
"Transaction Completion is still expected to occur in Q4 2023. Further announcements will be made by the Company on the progress of the Transaction in due course." Is Q4 still on?
Last post: PortfolioPower, 17 Nov 2023 16:10
Chunky buys
Recent Share Trades for Pendragon (PDG)
Date Time Trade Prc Volume Buy/Sell Value
17-Nov-23 15:49:08 32.00 584,011 Buy* 186.88k O
17-Nov-23 15:49:08 32.00 -584,011 Unknown* -186.88k O
17-Nov-23 15:48:52 32.00 10,000,000 Buy* 3m O
17-Nov-23 15:48:52 32.00 -10,000,000 Unknown* -3m O
17-Nov-23 15:48:40 32.00 65,000,000 Buy* 21m O
17-Nov-23 15:51:35 32.00 131,628 Buy* 42.12k A
17-Nov-23 15:50:13 31.984 10,000,000 Buy* 3m O
17-Nov-23 15:49:35 32.00 10,000,000 Buy* 3m O
17-Nov-23 15:49:24 32.00 5,000,000 Buy* 2m O
17-Nov-23 15:49:18 32.00 5,405,850 Buy* 2m O
17-Nov-23 15:49:09 32.00 5,000,000 Buy* 2m O
17-Nov-23 15:49:08 32.00 584,011 Buy* 186.88k O
17-Nov-23 15:49:03 32.00 364,944 Buy* 116.78k A
17-Nov-23 15:49:01 32.00 9,415,989 Buy* 3m
About 100 mills worth of volume....in 60 mins?
Started: niklol, 25 Oct 2023 14:01
Last post: niklol, 25 Oct 2023 14:01
Resolution approved by shareholders
Started: CityWatcher, 9 Oct 2023 06:27
Last post: pageyboy55, 18 Oct 2023 20:39
As Fergusson would say "It's squeaky bum time"!
The only thing consistent about PDG is constant disappointment
Sell all PDG now, We all know for the last 30 yrs or so, PDG have a habit of crashing when u least expect it,
Stop living on dreams and hopes. Stick with the here and now, the reality.
Then if still interested, Buy pinewood when it floats.
Bag any PDG profits now b4 too late,
PDG is starting to slide again now and SADLEY its only a 1 horse race now. (Lithia)...
TYPICAL of PDG to disappoint shareholders, IF ITS TOO STRESSFUL, Sell Now.
I sold 50% of mine 2m ago at 33.5p, My ave cost was 17.2p,
But soon after that when Hedin pulled out, I totally chickened out and sold ALL my shares, I hold zero PDG now.
Hedin pulling out made me worried that another one will pull out, and they have done !,
So, i bagged my profits and run so to speak, keeping my eye on the sp tho.
Does make me wonder if these companies are playing the markets tho!!
Having watched the share price collapse after the last bid fiasco I decided to sell a third of my holdings this time when it hit 35p. When a bidding war seemed on the cards I thought that looked a big mistake, I am now not so sure it was. Bought at 12p so a decent profit anyway.
No bidding war sadly but attention should now focus on the value in the N.American JV which surely has to be considerably more than the 0.6p we are held to believe
in simple terms we know Lithia spend $100m now. The JV is on arms length but say they get the $100m down to $80m by using Pinewood. There will be minimal associated sales costs obviously but some management/service costs on those users. So the JV should deliver $60m+ of EBIT (allowing for some sales staff to target non Lithia) of which we have 49%. Put that on 15x EBIT given the opportunity to grow it outside Lithia and our 49% is worth $450m ie. 22p a share on the new share count. The road to the $60m is visible pretty quickly too- the published docs demonstrate the two firms want to get on with the customisation process to ready the package for the US. The rollout is targeted to be done within 18mths. I have seen a JPM note that says Lithia spends $150m per annum on the stuff PW does so my numbers could be way low
PS. you will note that in 2019 PW delivered the same EBIT more or less as now but on revenue of £16m not the £27m we have now -ie. we have put in huge operating costs to build out the product and move into new geogs since then implying the product really has minimal running costs to serve . 2019 saw £18.3m rev and £13.4m operating profit which included a small head office allocation
PPS. the market may have missed that in Lithia's own announcement re its increased bid it noted that it has already secured 7,500 additional potential UK users contingent on this deal going thru. This is pretty amazing and at 90% GM, this could drop £5m thru to the bottom line in short order
Started: CityWatcher, 5 Oct 2023 12:41
Last post: 404x, 5 Oct 2023 14:46
Even if it wasn't too late they mean acquiring much smaller firms than Pendragon, who have a larger enterprise value than Vertu. I do think Vertu are value now incidentally, as final listed dealer to be taken out can only be a matter of time before they receive a bid themselves.
Record revenues have been reported by Vertu Motors & as revenues grew over 20% to a record £2.4bn in the six months leading up to August, so could also pounce on Pendragon, joining the bidders.
The bumper results led the dealership to hike it's shareholder dividend by 21% to .85p per share.
Started: Arbitrader75, 4 Oct 2023 14:21
Last post: 404x, 4 Oct 2023 16:10
Interestingly Hedin's shareholding still makes them kingmaker here, even if they've proven as flakey in committing to their bid as last time. Curious as to why they pulled out, could well be they couldn't secure funding in time rather than not liking what they saw under the bonnet.
Lithia again now have to be odds on favourite. Assuming they're successful and then they make it past CMA approval / due diligence, will definitely look to re-enter ex-div. Once this becomes a software only firm, with their US network backing believe that higher margin business really has potential.
But significantly haven't accepted Lithia's or Autonation's offer. Hedin are showing a nice profit.
Hedin, PAG do not intend to make offer for Pendragon.
Latest headline from Bloomberg just now
Started: Arbitrader75, 2 Oct 2023 14:33
Last post: skier1, 3 Oct 2023 17:52
Shame that PDG is rolling over and selling up. It's twice the size of Hedin. Another blow for the London stockmarket. PDG should be buying and growing. Not selling and shrinking.
Accordingly, the Board of Directors of Pendragon now announces that the Original General Meeting will be opened and adjourned immediately and Shareholders are asked not to attend the Original General Meeting. Instead, a supplementary circular is expected to be sent to Shareholders shortly, containing further details of the Transaction Amendments, the Resolutions, the Board's recommendation and a notice of general meeting in respect of a further General Meeting (the "Further General Meeting") at which Shareholders will be asked to approve the Resolutions (the "Supplementary Circular").
@pagey vote cut off is tomorrow, it's always a few days before meetings themselves to allow for share settlement. That's unless the company announce a postponement, which could happen but only if one of the other two bidders change their offers.
But market cap of the group including Pinewood is only £480m
Again from memory, I am sure I read in The Times that Zeus Capital had valued Pinewood ALONE at £400M.
Despite having invested in the Stock Market for over 50 years I've never owned a share that was subject to three different bids.
I wasn't too keen on the original bid which entailed the selling off of the dealerships and the change of name and nature of the business and would have preferred a straightforward cash offer.
I am now puzzled that there are now two offers both for 32p. I previously commented that I thought that PDG might go for 35p but now consider that a higher price might be achievable. Having initially purchased at around 17p mid-year and topped up later at around 23p giving an average price of approx. 20.25p I'm staying on for the ride!
Started: Arbitrader75, 22 Sep 2023 15:37
Last post: Walkley, 27 Sep 2023 15:35
Was 16p in June and my average is 19.5p so should be pleased but have been saying for some time this is very under valued. With 3 hats already in the ring this surely will go higher.
If you look at their revenue vs mcap ratio you can clearly see that at these offers it's a steal for them and they could go much much higher
Looking at our bidders Autonation has a $6.64B market cap vs Lithia $7.89B, so these are cash rich proper big beasts slugging it out, we're just along for the ride. Hedin were so flakey last time I'm sure they regret that now they're facing these giants, but a threeway fight does mean unlike before one of these is sure to see it through to end.
Interestingly both companies share price has increased by more than 250% in last 5 years, with UK stocks in general and care dealers in particular being so unloved it's easy to see why they find value here.
With £271.9m in cash on the balance sheet, a positive cash flow of £64.8m in last half year, net assets of £308m even 40p (£559m) is a steal.
The company will clearly be sold now and to the highest bidder because otherwise hedin will vote against , imv.
Started: Walkley, 22 Sep 2023 16:45
Last post: Walkley, 22 Sep 2023 16:45
"In the event that there is an announcement by a third party of a firm offer for the Company that the Board has indicated it will recommend, shareholders holding approximately 11.5% of the current issued share capital of Pendragon will cease to be bound by the terms of their irrevocable undertaking to vote in favour of the Lithia Transaction."
Started: david1960, 22 Sep 2023 13:44
Last post: david1960, 22 Sep 2023 16:37
Now Hedin comes back with 32p offer, share price is now 30.20p ish, give or take.
WOW - what a roller coaster, Think they have until mid oct (18th ! - ?) to accept this offer or decline it, As far as i know this offer is for the whole package inc Pinewood. Maybe this is a better deal for us s holders.
Who put that k in should , sorry folks.
bl** fingers.
I always think it's better to have cash in the hand when you can, why not sell some /half and then see what happens.
We have all done this , thinking we are going to make a killing then the SP drops and you think Dam shoulkd have.
I notice Jefferies / Barclays and probably other large companies are shorting PDG bigtime,
does this mean they expect the share price to fall again?. or what?.
is this a signal to sell now? or?.
BIG QUESTION,
should we mere mortal share holders buy sell or hold PDG now, my shares cost 19.7p on average, during the last take over talks that failed they plummeted from 29p to 14p approx, i could have gained 20k but i didn't sell, i was expecting share price to increase more, maybe 30-35p, (greed). but they fell as per usual.
so should we sell now at 27p ish, or hang on and want more, if the deal goes through the way i see it is we get 16.7p plus own part of PINEWOOD, prob is we dont have any idea how much we would own either in shares or ££££,s......
so, should we sell now or what? any thoughts /advice/ regards : prospects/gambles or factual etc appreciated,
Started: MarkOfLoxley, 22 Sep 2023 14:11
Last post: jedclampit, 22 Sep 2023 14:26
Yes I was thinking that when the deal was announced, now you only get £1000 pa tax free of divi's or £2,000 if you have a joint account so not alot. and whats the tax 25%-40% so 25%-40% gone from 16p.
Difficult one.
Another consideration is the fact that the 16p offer is as a dividend and not capital return. So unless your shares are held in a SIPP or ISA then that return will be subject to normal income tax rules. As there is precious little dividend allowance from HMRC these days, then you need to consider that 16p being diluted again by the taxman taking his wedge.
It really is hard to call where the Pinewood valuation could go. A lot of complaints about the lack of growth in PDGs share over the years are because it is in an unfashionable sector and gets lumped in with other motor dealers. If PinewoodPendragon is moved to a tech share sector then it will be on the radar of funds that buy into tech shares for example.
I think Hedin will come back with a higher offer around 35p. Having made a killing investing in Lookers I very much hope so!
Started: BoltonBoy57, 22 Sep 2023 10:44
Last post: jedclampit, 22 Sep 2023 11:48
I think it's too late for that now and it looks like the bod's will push this through against Hedin thoughts.
Could be wrong.
Do people think Hedin will come back in with another bid? if so what would be the share price offered 30-32p, or will they let it go?
Started: david1960, 18 Sep 2023 12:43
Last post: Valient, 22 Sep 2023 09:14
They realise the value of their awarded options and existing stakes in the company and receive full bonuses once the deal is done
How does The CEO Berman plus other managers, benefit from selling
Its simply this, The CEO Berman (Previously Chairman ,) always had the motive to sell and dispose of Pendragon by whatever means.The board are not long serving members and have no allegiance to the company and therefore have the same appetite to sell. Hedin wants greater presence in the UK and tried to manoeuvre a clever albeit the Pinewood legal issue was something that could not be overcome. In mho the Lithia deal is the only credible option as an asset sale and separating out the Pinewood element. Pendragon was never a long term project for Berman and the board, which is why its being broken up and sold. The real issues here are as follows: will Lithia secure the Franchise agreements with the Manufacturers who often have first right of refusal to take the franchise back or approve the new potential owners and secondly,the premise of the Pinewood element relies on a future in North American expansion...not guaranteed. Whilst it is a very clever deal,nobody wants Pinewood given the legal issue.So the Lithia deal has to go through as the investment by them in the Pinewood piece at £10m would seem to be a goodwill cost exercise worth losing
Who do you trust here? Are Hedin going to do more due diligence and find something they don't like which might be enough to remove any interest from Lithia. Is the software really worth as much as they are suggesting? Why are the board seemingly so keen to get out of the car dealership business when others are keen to get into it (e.g. the recent purchase of Lookers by Alpha Group).
Hedin been smoked out, their offer is less than last time, 29p, they will need to come back with at least 30p a share, or it gone from them, Hedin themselves valued their holding at 35p a share?
Started: david1960, 20 Sep 2023 14:09
Last post: david1960, 20 Sep 2023 14:09
If the Lithia deal happens & we get our 16.7p per share, Why is it called a dividend if were selling our shares to Lithia?.
i assume we would own nothing but Pinewood shares with an unknown value!,
Also, Pinewood still has the court case pending which if lost could make Pinewood worthless, That's the way i see things,
Does anyone know if this is a good deal for us PDG shareholders or not ?, and why?
What exactly would we get?
Apparently, Hedin is unable to block this deal due to only a 51% vote in favour needed. Does that mean Hedin will come back with a new PDG offer, Hedin only wanted the same as this Lithia deal, i.e. The forecourts, car sales and leases, Basically everything but Pinewood, So why was this not offered to Hedin previously?
Also this £280M Deal would be for all 160 of Pendragons forecourts,
But, Did Pendragon not recently pay £300M for only 50 forecourts, bought from Jardine?.
So why now are 160 forecourts only worth £280M ? That's a titanic loss in forecourt values suddenly!, why:?.
Does anyone know exactly what share holders would get from this deal,
The way i see it is, Were selling our shares for 16.7p and will keep a stake in the pinewood Saas business, which may or may not be worth much.
But how much do we keep, and the value?. Would we get any Lithia shares
pls advise anyone!
its too complicated, to much unknown to decide if its good for us or not. To be honest ime a bit fed up with gambling with PDG, i always loose out in the end.
My thoughts are this still undervalues the business. The market knows you stand to get a 16.5p dividend and will no longer own any of the dealership side of the business and be left with the DMS (Pinewood). So the market is effectively valuing PInewood at 24p less the 16.5p dividend = 7.5p, give or take a small discount for the risk of the deal not getting through.
The BoD are presenting this as a good deal with their calculations valuing it at 27.4p per share, but they couldn't get it through when Lithia offered 29p so it's clearly not a good deal but just a way to flush Hedon out.
This will play out one of three ways prior to or on the day of the general meeting;
1. It gets voted through and the share's might increase to the 27.4p which the BoD thinks they are worth. Increase of approximately 15% on the current price.
2. It doesn't get voted through as more than 50% of shareholders think it's a bad deal (this would most likely include Hedon who don't need to make a competing offer) The share price falls back to where it was prior to the offer.
3. Hedon or another buyer make a competing offer for the assets similar to Lithia, or the whole business. Share price increases close to new offer price.
I sold on the day of the announcement as I'm 50/50 on whether this would pass or fall short at the vote. They only have 26.5% irrevocable undertakings, and some of those may be reducing at this price level.
If it goes through I'm happy to leave the 15% additional on the table. I don't particularly want to own a software company trading on London (historically not well valued) which is going to be cash-hungry to develop further and get into new markets, and I think the shares will get diluted with new share issues.
If someone else makes an offer I'd be leaving more on the table but I see this as a low probability prior to the vote.
If it doesn't go through and drops back to previous levels I'd most likely buy back in and wait for the court case to be resolved and Hedon to buy it or someone else if they offer 35p.
Started: BoltonBoy57, 20 Sep 2023 10:26
Last post: BoltonBoy57, 20 Sep 2023 10:26
I believe tomorrow a RNS with conformation of the first half trading figures, that might flush out any other bids. If the proposed sale states a value of 27p a share, why only trading at 24p? perhaps unsure on the new listing value? Lithia getting a great deal I think.
Started: david1960, 18 Sep 2023 23:05
Last post: david1960, 18 Sep 2023 23:05
Some Points of interest, for entertainment purposes only.
Figures stated below are approx, but hope you get my points!...
According to Google Finance:
1- Lithia Motors share p INCREASED 250% in last 5 yrs. Even with all the doom/gloom.! They also give dividends !..
2- PDG share p has gone DOWN 10% in last 5 years. No dividends.
BUT GET THIS,
3- LITHIA MOTORS share p INCREASED a whopping 2331% since Dec 1996 to date. That's 23 times up.
4- PDG share p has increased a massive (being sarcastic) 9.8% since Dec 1996 to date. Why so Low !?.
Why has PDG done so rubbish, PDG share p should be 50p-100p by now surely. Not a measly 18p to 23p,
That's Chicken Feed.
Started: BoltonBoy57, 8 Sep 2023 11:25
Last post: daniantonellis00, 18 Sep 2023 13:17
Why are there so many minor transactions?
Fingers crossed, because the sp is getting very boring now, nothing except takeover talks seems to move it upwards, but the sp goes down for no reason at all.
i have a TIP for all PDG shareholders,
if you hold quite a few PDG shares and thinking of selling some, go to your website where you sell, first click the buttons to sell all shares but obviously dont sell, just get the real price, look at the share price they give and the amount of cash you get, then amend the deal by nocking off the last digit of shares selling, example if selling 100,000 shares, get a price for that first, then nock the last zero off and try again, what your now doing is getting a price to sell just 10% of your shares, ie 10,000,
by selling smaller amounts you get a higher price, so do the maths both ways and see which is best, usually you get an extra 0.5p or so when selling smaller quantities, i guess its the market makers messing with the share price,
good luck to all PDG shareholder,
and bring back our dividends please PENDRAGON, we need them!
So any idea when this court case is or results will be known?
Good morning david 1960, yes it's so difficult to know what's going on with PDG . they have already posted a pre close statement below The Group delivered another robust performance in the first half of FY23, with growth in gross profit more than offsetting the underlying pressures of interest rate rises and ongoing cost inflation. As a result, the Group expects to report a c.9% increase in underlying profit before tax to c.£36.5m for the first half of FY23 (H1 FY22: £33.5m).
And there will be again some good profit , but will there be any DIVI ? i GUESS NOT. And with plenty of takeover interest in the last 6 - 9 months at about 28p-29p this should be at least 50p+ by now. Been looking at buying more this last week as it should go up, but who knows.
With lookers also now taken out you would think PDG must be next.
I really don't understand this PDG company, Cars are selling very well, There is no prob in this market, Bosses are raking in their bonuses, But the share price 30 years ago was 16p per share, Today its not far off at 17p per share,
THAT MEANS ITS GROWN BY A WHOPPING 1p IN 30 YEARS, WELL DONE PDG. Bring back our much earned dividends, Anyone know why this share price is so rubbish by being the same now as it was 30 years ago?. its crazy, It should be up to 100p by now surely.
Started: BoltonBoy57, 18 Sep 2023 11:00
Last post: Walkley, 18 Sep 2023 11:06
But other shareholders may want more so 51% may not be possible. If the bid fails presumably the price will drop back - if Hedin make an offer will rise! Decisions, decisions.
It seems Hedin will not be able to block this offer, it only needs 51% vote agreement to go through, it could push Hedin to come back with a higher bid,
Started: jedclampit, 18 Sep 2023 08:16
Last post: littlened, 18 Sep 2023 09:50
I think it depends on the value of the offer compared to market cap.If over 75% then a vote is needed
The talk is, as its an offer for part of the company and not a take over offer, then only 50% approval my be needed. But I'm unsure. IMO the current offer is too low!
Does anyone know what percentage the BOD need to issue new shares? It is usually 75% which as Hedin have more than 25% means that the bid cannot go ahead without their support.
Goodness where did this come from., I guess it was only a question of time before someone made an offer of some sorts.
But to me it looks like the BOD's of PDG have sort to get one over on Hedin as it's them that has blocked any other bid thinking they have total control.
Not sure Hedin will want to pay more, but it does give a kick up the ass to get the SP moving. Fair play to the Directors.