takeover code7 Mar 2017 23:33
It is worth looking at the RNS issued around 0850 this morning Tue 7th March. The Argonaut Fund (an Argos fund) bought 25,000 shares @ 313.5 on 6 March 2017 bringing their total holding to 1,203,736 - 9.68%, that is £3,375 more than they would get in the offer.
RNS Mon 6th March Bonafide Global Fish Fund bought 221,000 @ 305.85 on 3rd March giving them 1.78% paying a premium of £12.928
It looks as if these 2 are trying to force an increased offer. On their own these shareholders will deny Staunton 90% who might try to switch to “a Scheme of Arrangement”.
RNS Mon 6th March WH Ireland Ltd bought 320 shares @ 312p on 3rd March
Previously they had shorted @ 310p. What’s remarkable is that they are FIH Group’s broker and the advisor who recommended the acceptance of Staunton’s offer. I think they were deliberately drawing people’s attention to the price rising, as their advice had been given, based on FIH directors forecasts which seems now to have been less optimistic than those of some shareholders. Of the 2 independent directors, one is the MD who will be carrying on, and the other is Jeremy Brade, a Director at Harwood Capital Management Ltd who has been investing in UK private equity for 15 years. He has led several successful acquisitions and public-to-private transactions so I doubt if Staunton’s offer was any surprise to him.
It is difficult for us small investors I downloaded The Takeover Code 411 pages, a very clear guide to it by Skadden 44 pages and The Offer Document 44 pages. I could only just skim read the last 2. The big boys can employ advisors at a price.
If only I had read the signs properly so many things make sense now: The clearing out of small shareholders etc.