RE: Reply from RF. (He doesn't hang about, does he)8 Mar 2021 14:06
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Marston's/Brains
R
Ralph Findlay
to me
39 minutes agoDetails
Dear Mr Bradshaw,
If you look on the Marston's PLC website under 'Corporate', and 'Presentations', you should find a video link to the presentation given to analysts on Friday morning. As I explain at the beginning of the presentation, we were not able to give the presentation previously because of the potential offer situation that existed at the time of completion in February, which is when we had intended to give it. The link is also here:
https://vimeopro.com/instinctifpartners/marstons-brains-transaction-update-5-march-2021
The presentation gives details of the transaction in some detail, and sets out the details behind our plans for the core estate of 107 pubs. You can also see/hear the analyst questions, and our answers.
On the subject of the Platinum offer, I am pleased to hear your view on valuation: I, and the rest of the Board, agree with you.
As to whether the previous offers should have been disclosed by way of an RNS, that will always be a matter of judgement: there is no requirement to do so under Takeover Panel Rules unless there is a sharp change in price. If that happens - and it did - it indicates that there is some market awareness . Usually, it comes about through a leak. Such an increase in price did take place on the day we received the third proposal, and our RNS was issued within an hour or so of that happening.
In any situation like that, there are clear but complicated Takeover Panel Rules, and they must be followed. You can be certain that the Panel would have been aware of this process from the very first point that a proposal was made. There are several good reasons why approaches may not be made public, including reservations about value, about deliverability, or some uncertainty in a due diligence requirement. That changes if the approach is leaked, as I have described above.
You should also be reassured that in any situation like this, a Board must take independent advice, and must satisfy itself that it is acting in the best interests of shareholders. As I have noted, that consideration is not solely about value - though that is obviously a major factor - but extends to concerns about whether a proposal made 'subject to' can and will be delivered as proposed. In our view, the Platinum proposal did not meet the first 'valuation hurdle', and was, as you know, rejected.
Finally, I am also pleased to hear that you have enjoyed the service in Marston's pubs. If it is Stourbridge you are referring to, than that is probably The Glasshouse - we have a very good team there, which is what always makes the difference.
Yours sincerely,
Ralph Findlay
Chief Executive Officer