Member Info for skittish

Q is - who will be doing the hoovering if it does go significantly above 57p?

If most institutions take up the OO and apply for some excess entitlement then the fund raise may end up costing Alliance & Co only a fraction of the £100M being raised.

It may also reduce their holding below 45%, thus broadening the shareholder base and introducing greater liquidity.

Not only has possibly the "debt" maybe held this back but also the significant holdings of Alliance & Co, meaning no one else could achieve a sizable stake.

Maybe there are a number of long term issues being dealt with here via the fund raise, and perhaps there is an expectation that the Alliance stake will actually be reduced in % terms.

I'm happy to see how this pans out over the next few weeks, interesting that some have been willing to buy at over 58p today, and not just the CFO at 61p last week.

Free money ahoy!

Maybe things are about to get interesting.

The open offer is actually only open to those on the register at 3/11.

Now here's an interesting thing.

As I interpret matters whilst Alliance & Co has underwritten the whole offer @ 57p they have also agreed not to take up any shares under the open offer and allow all those shares - around 45% of the new shares to be issued - to go to satisfy any of the excess applications under the offer.

If the sp remains under 57p then it is unlikely that pi's and ii's will take up significant amounts.

But just supposing the sp goes and stays above 57p - that would then be free money for anyone who takes up the shares in the open offer and gets shares under the excess entitlement.

Possibly lots of free money.

If there were great demand then Alliance & Co's overall shareholding % would likely reduce significantly below 45%.

If the shares do go much above 57p then there could be considerable demand under the OO and excess entitlement and thus leading to a virtuous circle.

And I believe the OO and excess entitlement remain open well into December, so plenty of time for people to take their positions.

I'm a bit surprised the sp is suddenly doing so well but maybe there is more going on than is immediately apparent.

I was a bit despondent earlier in the week thinking we were going to be stuck in the low 50's until at least Christmas.

But present action suggests maybe not. Current opinion seems to be supportive of the view that this is a land grab by the Alliance family.

Whilst the sp is below 57p this is quite possibly the case - and I wouldn't necessarily disagree - but if the sp were to motor above 57p, and stay there, probably most would take up the offer and there would be few available for Alliance.

Could be about to start getting much more interesting at sleepy BWNG.

Looking like a bit of a bounce on. Let's see how close to 57p we get.

The other side seems to think a seller has cleared.

Would be nice to get back into the upwards channel again.

Don't forget the CFO buying @ 61p last week.

Take over is now effectively complete.

The new directors and associates hold circa 25%.

Outgoing directors hold very small amounts from memory less than 2%. They got their rewards via the £600k salary costs and expenses.

Directors now much more aligned with shareholders.

We are not quite a shell but could easily embark on that route.

Shell with lots of cash?

Goody goody - watch for that interesting swerve to a new direction.

Old crew going and cashed up are the most interesting things to take from today's update.

Shore Capital says the CDM bid significantly undervalued the company.

P/E is the same as here.

The Times says other bidders may be flushed out including possibly TM17's new friend Tencent.

800p next week?

Boosted by CDM

The effect of the new shares will be to reduce the % of the free float as Alliance will take up any allocation not bought by other share holders.

Follow the money- Alliance's, the FD's, and the £103M free cash flow.

In 6 month's the price will be squeezed upwards.

Schroders again?

Those 4 trades amount to around 1% of the company.

Smart money sees opportunity.

CFO this morning bought £35k @ 61p.

The really important factor in the results is fcf and that is £103M pre tax in 6 months.

The underwriting of the funding is contingent on the move to AIM so there is a large element of IHT planning here.

And with 45% of the shares Alliance already has effective control.

This is a company in a hurry so I suspect the sp wobble is just temporary.

Follow the money as there appears to be a lot of it sloshing around the vicinity of BWNG.

This is a pre emptive capital raising as stated in the announcement.

All the shares have been taken on a conditional basis by the Alliance family @ 57p, unless they are taken up by individual shareholders.

So everyone can pay for 11 shares @ 57p for every 18 shares they hold, and the Alliance family guarantee, subject to certain terms ie AIM listing, that they will buy any that are left over if any other shareholders don't take up their full allocation.

Very bullish.

Yes, good news on the divi, should be worth a few pence on the sp alone.

Profit figures skewed by the bad debt provision of £17M - otherwise highly cash generative.

And everyone can participate in the new shares - none of that mates rates nonsense for their city pals.

An outstanding quality company.

Question - what price the new shares? Missing piece of the puzzle.

No wonder this has been held here.

Hopefully brakes off tomorrow!

Nice quiet board.

Closed at ath - 1136p.

A few large sells across the Channel pushing the price down - but recovering now.

No surprising as Schroders have recently bought 12% of the company.

"Andy Brough is the Head of the Pan European Small and Mid Cap team at Schroders, responsible for managing the Schroder UK Mid 250 Fund since its launch in 1999 and the Schroder UK Smaller Companies Fund. He became sole head of the team in 2016, having co-led since 2002"

Positive to the tune of around £18M.

Only a few more days to when the post wedge trading pattern reveals itself.

Been climbing the % leader board all day - now finally at the top!