RE: “It’s unusual for so many Jupiter funds to own Chrysalis, and it’s definitely not best practice. The09 Aug 2022 15:27
If MM really consulted IIs about accepting a 170p bid, and they all said it undervalued the company. How come Jupiter, one of the larger IIs, are selling now at 63p?? Did MM lie? If he did, why are we not assuming his line about “continuing to perform in line” is also a lie?
The fact that Jupiter are forced sellers should actually give shareholders confidence. It explains the appalling sp performance. It is a short term situation. Once the dust has settled, maybe fundamentals will take hold again. IR should be having a quiet word in IIs ears, advising them to bag themselves a bargain.
RE: Very Very Basic Timeline IMO DYOR please be gentle on replies08 Aug 2022 16:08
I couldn’t work out who has been driving the price down. I feared that there was something fundamentally wrong with THG. I’m much happier after this RNS. If Jupiter sell the rest of their stake and RNS that news, it will be fill your boots time. I’m finally optimistic.
Boom. Very tricky. I agree he’d look very bad taking private for less than 170p having declared that it undervalues the company at that price. Legally, I’m not sure I agree with you. He can just say the world is a very different place now and if IIs are happy to sell, he’d be a buyer.
Rich. MM has put the business up for sale. At the time of the 170p bid, he said he’d accept 2bn. There were apparently a lot of circlers, no bids. You say the sp is down here solely because there are a few PI sellers and algos. The fact remains there are no buyers whatsoever. Even the likes of BOO and ASOS have attracted a few buyers and the sp has rallied off the lows. The only thing that has convinced me that there isn’t anything untoward going on is the director purchases.
Boom. You are right. MM and IIs will have to attain proper value at some stage. They may believe in the business and be happy with a 5 year horizon. If he wants to take private he will not be paying £2 whilst the sp is 65p. It can’t happen. He’ll say things have changed, recession, outlook, etc. He won’t be giving money away. The opposite, he’ll be looking to nick it on the cheap.
A lot of people take comfort in the fact the the share price is down to manipulation, algos, etc. This May account for the odd 1p on any given days. Shares can’t vice manipulated down from £8 to 65p. This is unloved and uninvestable. No buyers when the Citi note came out. No buyers when directors bought. If the results in sept are fantastic (a big if) the shares MAY rally a few p. Then probably sell off. Our only way out is MM taking private. He might. But as I’ve said before, he runs this as a private company anyway. He now doesn’t seem too worried what the press say about him. He would have acted before now, if he really had any intentions.
RE: Still trying to Eek out as many as they can get04 Aug 2022 10:43
Why woulD MM delist and relist in the US? Just to get the share price up? I don’t think he cares about the share price. Otherwise he would have done something by now. He’s not a seller. In fact he’s a buyer. The lower sp the better. He’s playing the long game. He has faith in the company. It’s very frustrating for us short termers. But that’s the reality. His only worry is a hostile bid, where someone else gets the upside value. But, as we all know, that can’t happen at the moment.
STE. Unfortunately I fear you are correct. Results will not rerate the share price. I’m not sure that the BOD care that much about the sp. They are in it for the long haul. In the meantime they continue to get their salaries which aren’t related to sp performance. They would have done a share buyback by now if they were going to. MM would have done a take private by now if he was going to. Hostile bids are out of the question at the moment. So we are all in it for the very long haul. I’m afraid.
In my many years experience trading shares, it is incredibly rare for bids to come in for quoted plcs at more than double the sp. small free float or not. REVB may or may not get bid for, but it will be at about 40p! Similarly THG won’t get bid for at anything like the mooted 200-250p. When the sp was 150ish, I tried to temper the delusions that a bid of £3+ was imminent.
This is continuing to drift lower. Looks like 60p. The problem is that when the September update comes, even if it is fantastic, we MAY rally to c80p. Which isnt great. Lets be honest, without MM taking private, which doesnt seem to be happening, and without a bid, which cant happen, we are stuck down here for the foreseeable future.
RE: Trading Update Released - Revolution Beauty02 Aug 2022 11:30
Thg sp goes down when the rest of the market goes down. Goes down more, in fact. And doesn’t rally when the market does. No buyers. IR should tell people what MM and Lord Allen know and what caused them to buy the shares.
SP28 I agree the British press hate success stories. They can not help themselves from putting a negative spin on success. The complete opposite is true in the US. There they champion and encourage success stories.
Oxfordbull. Results would obviously help. But we are massively out of favour in the city, press, etc. It’s not all down to the fact that people don’t believe we’ll make our numbers. A lot is down to the perception that the company has disregard for its shareholders, is being run as a private company by a maverick ceo. Terrible PR. Mavericks aren’t all bad, but you need a positive spin. IR need to do a better job.