Member Info for Slownsteady

I can't help feeling we are being undersold by about 100p. At BWY's current price of c.2550p, we are selling out at c250p. Not much different to the bid that they had rejected earlier.

The pre-covid price for BWY is c.65% above its current level. CRST's pre-covid peak is 140% above its present price.

This BOD is incompetent beyond belief. Let us hope for a rival bidder to see the value in CRST. And the current lot fired.

Yes. If Avant agree to a 25% stake as a further offer rather than 30%, then that equates to a price of 350p.

The takeover Offer by Avant is likely to be WELL north of CRST's current price. About 290p.

Here's my back of the envelope calculation.

A quick check for a number of Builders tells me they are mostly on a P/e of around 15.

Avant Homes net income (in 2022, before it was merged with Berkeley Deveer) was c £15million. Both are Private Companies, but given Berkely DeVeer were a small outfit, that gives me a market cap of £15million x p/e 15 = £225 million.

Avant want to own 30% of the enlarged CRST Group, which gives us a market Capitalisation of c. £750 million.

Current CRST market Cap @250p is c£650 million. That gives a bid price of c290p.

I reckon BWY would have to come back with a minimum 3rd bid of £300p (20% above the current price).

There you are. No need to pay the Investment Banks bucket loads of money with a little bit of digging.

The takeover looks promising. The BOD have not actually rejected the Avant bid, only put them on the back-burner until the Bellway Offer period ends on 11 July.

It implies that the Avant offer is very interesting, and Bellway will have to come up with something good to see off the new bidder.

Hang on for the ride...

Yes just read it thanks. I don't know how bids can be kept "secret" by the Board. It can lead to wrong decisions being taken.

For example, if I thought the BWY 3rd bid was reasonable, I would have sold and invested elsewhere. But now I know there is a bidding battle, I will hang on.

This needs to be taken up with the Takeover panel. It is us - as the Company's Owners - who should decide on whether to accept a bid or not. Not a (frankly failed) BOD who will have an eye on their own interests and jobs.

Suddenly shot up. And PSN strong as well. Labour or news in the pipeline?

Don't mention it, Oldham manners...

If the takeover of HL is any indication (last bid made the day before dealine), it gives the Acquirer time to lobby the major shareholders to garner their support, and possibly to negotiate with current Management to get their agreement. In the case of HL, they would have taken on Hargreaves and Lansdowne's views, structured the deal to accomadate their wishes, and then had to gain agreement with their partners.

A friendly takeover is always preferred to a hostile one.

Kentio, book your next holiday to the U.S. - I can think of at least one geriatric who desperately needs your help.

Many congratulations, and for being mentally alert and internet savvy.

Although twenty years younger than you (I'll be 70 in a couple of weeks), I'm also a dividend hunter and earn enough from this to follow my passion in (shared) Racehorse Ownership, out of dividend income.

No need for all that. The proper way is: Make a FORMAL complaint. Wait for their FINAL response. If still unhappy... Refer to Ombudsman.

Excellent Corey, thanks. Have lost count of the number of times I've had to explain this and UT volumes to unknowledgeable posters.

Hargreaves would have been consulted. The Equity option is obviously designed for him to retain an interest. Anyway I've sold up and re-invested elsewhere.

Ok, but he says now that he is 88 years old. That puts a very different complexion on things. Perhaps we have been too harsh on the poor fellow.

Agreed. Labour will be good for the Housebuilders.

Reeks of opportunism. 350p is a fairer offer. Or 325p cash.

Lol Evans. You missed out on the humdigner where ma.dd asked if there were any hot-shot Lawyers about to take on his case against HL. He he he... :-)

I wouldn't spend too much time thinking of him. He's a small time NRI (Non Resident Ind.ian) in that neck of the woods, whose leveraged stake has probably wiped him out. Move on.

Steady as she goes?...

FTSE100 is up and HL is up even more

Why? Mapp has moved to Bell and ii, so HL can stop wasting their time on him.

Quite. It had to be a Takeover approach. No other reason for a c. 25% rise since the Trading Statement.