The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
Patience. CD&R to buy.
Good morning Bucklerfern. Could you kindly add positive comments to the board please. What is your background in finance and what are your thoughts on SIG plc? Thank you.
Hi
Forums are very good to get a wide range of opinions from many individuals. The more information at hand he better we can all make our own investment ideas and decide on the best decision individualy.
In terms of SIG plc, it’s not a share to make quick money from (unless you purchased at the bottom to flip), it is a long term play, 9/12months from now. CD&R are eyeing this up and navigating the business to a better position. Any ideas and thoughts, both positive or negative are welcome. I myself am experienced in mergers and acquisitions so have knowledge in that particular field. Hope everyone had a great Xmas.
I agree, until we get an RNS or any form of news, it good to discuss the possibilities and share thoughts in a positive manner. Gives us all various viewpoints from other investors. I've not really traded this one, I expected it to settle at 60p, but as you know the market is unpredictable. Medium to Long term hold for me, company is progressing in the right direction at a nice steady pace.
Yes. Thats correct. CD&R IMO will want the whole lot in the end. Let’s see how it plays, it’s a 6-12months hold. After it’s gone past 50/55p, that price won’t be seen again. Thank for the messages, great to have a productive chat regarding the share. Long May it continue.
Agree, 65p plus a premium to buy out right.
Should a bidder breach the 30% threshold, it will generally be required to make a mandatory takeover offer for all the shares it does not own. Such offers must be for all cash or have an all cash alternative at a price at least equal to the highest price paid for shares in the previous 12 months. Such offers may only be subject to a limited a number of conditions which are set out in the Takeover Code and which usually make a mandatory offer unattractive to a bidder.
Any acquisition no matter how small by any person connected with the bidder (e.g. a member of a concert party or any of its
directors or subsidiaries) that takes the bidder over 30% will trigger a mandatory bid. Accordingly, from the very earliest time, the bidder must seek to manage the actions of such persons.
In addition to the provisions of the Takeover Code, it is also the case that interests acquired of 3% or more, and any
subsequent acquisition or disposal of a percentage point or more, must be publicly disclosed.
If CD&R do breach the 30% holding, they will bid, and they will start at around 80p mark, minimum. As a private equity heavily invested, they have seen the potential, and have already had entry planned on purchased, turnaround plan, and exit strategy in place. They know what they are doing.
Good morning. Thank you for you question to my first post. At present CD&R own around 28/29% of SIG plc, with IKO Enterprises Ltd being the next biggest holder at 14/15%, then further down you have the various funds that own anything from 1% to 3% each. IKO Enterprises fund is around 65p a share, and all the other funds have the same, if not higher entry point to the share. For a takeover to happen, target shareholders are recommended to accept the offer by target directors (CD&R). All the target shareholders are not likely to sell there shares at a loss, especially the likes of IKO, other include UBS, Vanguard, Aberforth Partners etc etc, just to name a few.
For a takeover you need 51%, but CD&R are a private equity company, if they buy, they buy the whole lot. But they won't get it for less than 65/70p minimum. If they offer 90p/£1 a share, thats around £1bn for the company, its peanuts to CD&R. Thanks.
Good afternoon. This is my first post on LSE, I have been following the board for many months. SIG plc is making progress in the right direction. With CD&R as a long term supportive shareholder, who will strategically guide and support SIG to implement a new customer centre strategy that reprioritises sales.
CD&R are the real deal, and SIG will potentially be taken over by CD&R in the future at some point to add to the vast portfolio already held. Wolsely and Morrisons just to name a few.
Thanks