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There are a number of specialist businesses in the UK Roofing and Insulation companies, they may well all be up for sale as they have a far greater history and ability to provide returns the 2 large "core" operations can only dream of. The Performance Technology group, of which Mayplas was a part, still exists, but given the Hopeless ineptitude of the recent senior managements tenure these operations have fallen far from past performance levels. The new boy is just settling in to his seat so lets see what he brings forward in the New Year, at least we will have a new Chairman who can only be better than the present incumbent

As do i

The end of June 2007, i was there, the price was £10.60 so that's a 99% fall in value. Having lived through 18 years of the most awful mis management, especially in the last 10 years, i do honestly believe that the time has come to break it all up and sell it. There are still some great businesses in there both in the UK and overseas. With a market cap now nearing £100m someone, somewhere must see an opportunity? The good operations, freed of the hopeless!! current senior management could be turned round to former glories.

So Mr Chairman - a suggestion to consider for todays meet at 12. You step down with immediate effect and have the new boy take over as CEO and Chairman elect. The result is a saving of £500k; and i would suggest your ability to pass anything useful on (other than a masterclass in how to oversee a reduction in share price of over 90% during your tenure) is certainly debateable. FOOD FOR THOUGHT?

I would say the Chairman has been asleep at the wheel for the best part of the 8 years he has spent in the role. Shares at £1.60 when he stepped in, shares below 16p now, a fall of over 90%. 4 CEOs and now a search for another, surely he should be held accountable and surely he should be more than embarrassed to continue taking his £300k a year?

The Hopeless! train crash that is specialist markets is a fine example of his sleepiness - Allner, do your job and conduct a review of what has happened in the past 3 years under the disastrous reign of the present boss. A great group destroyed - WAKE UP

Third dimension - good question and as you rightly point out there could be issues with the CMA with certain disposals. However if you have a look on the link i sent it shows in detail the individual companies in Specialist Markets. There was a deal set and agreed 5 years ago to sell off the 3 in Building solutions - this only fell through die to covid. If you also look at the individual operations in SM all are specialists, all have a small market share in their area of operation and most are converters, manufacturers (generally not in mass production) Selling them off individually would be straightforward in my view. I terms of the French, Polish, Irish, German and other territorial operations, they too are saleable, maybe to management who in each of the cases mentioned are very understanding and very capable. There would also be the opportunity to look at selling to bigger groups or VC operations in these territories. The basket case is what is known as the core business, Distribution of insulation in the UK. This division used to be market leader 12 years ago but through a series of disastrous decisions by the main board and 4 successive CEOs they gifted it away and are stuck with high cost, low margin, low share and enabled competitors - not the best! However this "core" business really isn't core now representing around 14% of the total SIG turnover. Even given the scenario just described there are options on disposal but its here the CMA would likely be challenging.

Adding to the detail from Alvarro which is excellent the UK has a number of businesses in what's classed as Specialist Markets. The link below is a little out of date but describes the individual businesses, specialisations and locations.

They all operate under their own brand, are accounted for individually and are all highly saleable in isolation, in bundles or as a whole.

Add the fact that Poland, Germany, France Roofing, France insulation, UK roofing and Ireland are also highly saleable to either the strong management all these territories have in place or to others in their sector.

All the head office adds is a back charge, distraction, confusion, a Chairman and a bunch of non execs that add nothing other than confusion, ridiculously high central cost and onerous reporting demands

The break up value of all I have listed is, in my estimation in the region of 3 times the present market cap - somethings got to give?

https://sigdistribution.co.uk/wp-content/uploads/2022/07/Specialist-Markets-Brochure-Nov-2021.pdf

alvarro - you obviously have some insight to the mess the current "leaders" are creating. one key note that resonated was that of the chairman who is taking £250k a year to oversee this **** show and in his glorious tenure since nov 2017 has had 4 ceos with 2 investing for growth and 2 divesting to survive. god knows how much has been wasted on failed acquisitions but what we do know is the decline in the share price from 160p to 14p during his time in office - well over 90% whilst he has happily been banking his month salary. split it up and sell it for gods sake

The note below was posted when Gavin Slark joined the group. Looking to build on the platform left by Steve Francis he has instead overseen a 40% fall in the share price over the past year, way over that of any comparable business in the sector. The biggest faller in the first quarter is the biggest business, the UK interiors operations. I really do question when, after almost 18 months in the role, we are actually going to see some results or at least a plan from his tenure. CDR - are you there?

We welcome Gavin Slark, who joins the business today (1 February 2023) as our new Chief Executive Officer (CEO) of SIG plc with a focus on ‘continuing SIG’s journey of growth’.

Taking over from Steve Francis, Gavin has a proven track record of delivering shareholder value in the pan-European construction distribution industry, having led Grafton Group plc for the last 11 years.

Gavin said: “I am excited to have joined such an established name as SIG and a great team of people!

I look forward to building on the significant progress made by Steve Francis and the team and harnessing the opportunities ahead of SIG, to the benefit of all of our stakeholders.”

The title of your post is close to summing their position up - i was hoping the new, well nearly 14 months in, CEO would have brought some vigour to the Group but from the outside it seems to be just drifting along waiting for an upturn in the market. New Government, initiatives to build new houses, lower interest rates stimulating movement in house purchase and improvements are all external factors that should help as the year progresses. The outside chance that CD and R go in for majority or total ownership could bring a swift lift, but they have been in situ for nearly 4 years!