The company has just saved 1.2 million by not paying a xmas bonus for the first time ever , time will tell if this is the right decision but many people i know who work for the company are very angry some even threatening to quit , massive management own goal is my initial opinion ?
You may well be right londoner7 about this asset swap being announced on there next trading update ( nov 20 ) but its a done deal and im surprised especially by the way the share price as been performing lately why they are not making this public ? This is a good deal for both and will improve profits . one of the sites being exchanged to breedon is minnford quarry in North wales , a hardstone quarry with an asphalt plant with 40 + years of reserves , these mineral deposits are scarce and very hard to get hold of .
I believe there might be an announcement as early as tomorrow regarding the asset swap with tarmac , breedon receiving quarries and possibly asphalt and block plants in return for many concrete plants plus cash ? Been told deal cannot be done till january because of agreements regarding plants relating to the lafarge tarmac jv in 2013 .
Im slightly disappointed in the results , was expecting better revenue & profits but in light of the hope works being shut for almost 2 months im expecting a better 2nd half . the 2 greenfield quarrys is a plus and im sure there is another greenfield site about to open just outside northampton but the most possitive thing mr ward said at the presentation was about the company looking to expand in the south east , the south east is vibrant and margins are far greater in that area so if i was a betting man i would have thought aquisitions in that area are likely .
Welcome aboard tealo , i completely agree with everything you said and predict , looking forward to half year results on 20th july , only one way this stock is heading in the long term and people are starting to wake up to the potential of this company under this experienced and shrewd management.
Profitable little business pro mix and breedon can use there own materials so should make a decent little add on , the 1st mix business has doubled in size in the last 6 months from 15 plants to 30 so things heading in the right direction 👍
One of breedons limestone quarries are producing concrete aggregates for 7 former hope concrete plants and have not been this busy for 20 years , and that is just one quarry ,there are synergies also to be gained from a much broader product mix ,the synergies are endless and i personally believe that 10 million figure was a very conservative one .
Hi londoner7 just saying really that although they bought hope in august i dont think from an operational point of view ie cement into there own plants ,aggregates into former hope plants much happened till november so there will only be thise synergies for 2 months ,intergration of the southern business is supposed to happen on the 1st april ie computer systems transport etc ,at the moment on seperate systems ,asset swap with tarmac has been rumoured as part of phase 2 after hope completion ,ie lots of former hope plants in tarmac quarries and a few tarmac asphalt plants in breedon quarries ,nothing major but will improve profitability.
I wouldn't expect major synergies this time around from the hope acquisition ,much more to come this year from that once the companys are integrated on the 1st of april officially , asset swaps with tarmac on the cards which should also increase profitability.