Avis Europe Share Discussion Threads

[gerry321] 16/9/2005 11:10

davacon
Can you explain what you mean by a gap ?
Is it a bunch of orders that are not matched ?

[davocon] 16/9/2005 11:03

Has the gap now been filled now?, if so, onwards & upwards.

[snaptastic] 15/9/2005 18:37

our buyer didnt appear today form some reason.. would be really good to get a close tomorrow of 59 or higher technically...

[snaptastic] 14/9/2005 18:28

a lot of buying went on today again... is someone building a stake i wonder?? maybe get a rns soon think if they reach 3% or more...

have a another theory behind the recent buying.. the news article below suggests that many may have sold their shares in July so that they did not have to pay up for news ones via the rights issue. Now that the rights issue is closed these sellers would probably want to buy back in to rebuild their original positions... credible i think...

1119 GMT 20th July [Dow Jones] Avis Europe (AVE.LN) -2.4% at 50.25p as the date for the close of the rights issue nears, note traders. One notes holders of the nil paid line (AVEN.LN) are selling as the issue close date nears, in order to avoid paying up for the newly issued shares. This is also affecting the fully paid line of stock, due to the bearish implications. The close of acceptance and payment of shares under the rights issue is July 26, 1000 GMT. Avis nil-paid -11% at 14.75p. (PBA)

[mr ashley james] 14/9/2005 13:39

Argy,

Slightly concerned by gap up on LSE:AVE Chart, 57.25p to 57.75p

[argy2] 14/9/2005 13:32

Mikelee1 is a cheap conman..beware

[markjq] 14/9/2005 13:31

POST REMOVED BY ADVFN

[mr ashley james] 14/9/2005 13:31

Snap,

Interesting this has come down from 319.00p to 47.50p even a 38.20% FR of 23.60% of the drop 271.50p of kicks out 72.00p as likely short term target



All IMHO, NAG, DYOR etc, etc

Cheers

Ash:)

[snaptastic] 14/9/2005 11:19

up we go.... some aggresive buying going on today.. should get some more upside today if it continues...

[snaptastic] 13/9/2005 15:54

someone keeps adding buy order to the bid at 57p... saw a 100k buy at the open yesterday at 55p but think they put it in wrong and split it into chunks later... some big delayed buys gone through also.. happy to sell a few at 64 area... i also think there may still be a fair few shorts out there which have yet to close.. may be helping us to rise today also...

a chart below to put todays price in perspective.. we have come a long way.. big bouble bottom formed.. 100p doesnt look so crazy when you look at it this way.. for a bid that is...

[gerry321] 13/9/2005 12:11

Hertz sale $5600m on sales of $6700m = 0.835
Avis 2004 sales 1177m euros = £800m x 0.835 = £668m divided by 921m shares
= 72.5p
Hertz sale $5600m on profits of $390m = 14.35 times earnings
Avis 2004 profits 54.2m euros = £36.856m times 14.35 = £528m divided by 921 shares = 57.3p

.............suggesting 57p is probably the bottom of the ave share price for the immediate future

[gerry321] 13/9/2005 11:51

Ash / Snap
Will this be the day???

[shirishg] 12/9/2005 22:30

Post removed by ADVFN

[mr ashley james] 12/9/2005 22:27

Snap,

That is why trades reported after 4.30pm were at above 56.25p SETS Offer mms obviously receiving orders late.

Think Wave IV Complete now at 200% by time of Wave III Three Day Up.




Looks like pennant to me. 8 Day EMA Convergence has tended to mark supports and move triggers.

All the best tomorrow.

Cheers

Ash:)

[snaptastic] 12/9/2005 22:23

done deal now...

Ford to sell Hertz rental car unit for $15 billion
SAN FRANCISCO (AFX) - Ford Motor on Monday said it agreed to sell its Hertz rental car unit to private investors for $15 billion, including debt, to raise cash and focus its efforts on its struggling automotive business.

Ford will receive a total of $5.6 billion for its total equity in Hertz, which will be acquired by a group of equity firms including The Carlyle Group, Merrill Lynch Global Private Equity and Clayton, Dubilier & Rice.

"This transaction reinforces our commitment to strengthening our balance sheet and investing in our core automotive business," said Ford CFO Don Leclair, adding that Ford will maintain a "strong business relationship" with Hertz.

The deal is subject to regulatory approval and is expected to be made official by the end of the year.

While the price tag exceeds some bankers' estimates of between $6 billion and $10 billion, the announcement doesn't come as much of a surprise, considering CEO Bill Ford's comments back in April and published reports of a bidding war from interested parties last week.

"Even though it's a great company," Ford said. "It's noncore to us, long-term, and we are going to take a look at the best way to utilize it." Earlier this summer, Hertz had announced plans to sell a chunk of the company in an IPO under the ticker "HTZ."

Unlike Ford's auto business, which has suffered from fierce competition and sluggish sales, Hertz has prospered.

Net income in the second quarter for Hertz came in at $97 million, up from $94 million a year earlier. In fiscal 2004, Hertz more than doubled its pre-tax profit to $493 million.

Shares of Ford Motor finished the trading day up 2 cents at $9.92.

[mr ashley james] 12/9/2005 17:19

Gerry,

Yes it looks like Hertz at US$6,700,000,000 Revenue ie £3,674,767,771 is roughly 455% of the size of LSE:AVE with £807,800,000 turnover, a likewise valuation would by my calcs be US$3,298,153,034 for LSE:AVE

Presumably this is why chart gaps show if 30% Takeover premium from current double bottom low of 55.00p Chart fills gap to 71.50p.

Rough calculations, I think anyway LSE:AVE will move on sentiment if Hertz deal confirmed as looks likely.




All IMHO, NAG, DYOR etc, etc

Cheers

Ash:)

[mr ashley james] 12/9/2005 17:10

Clayton Dubilier, Carlyle May Buy Hertz for $15 Bln, People Say
Sept. 11 (Bloomberg) -- Clayton, Dubilier & Rice Inc. and Carlyle Group are part of a buyout group that plans to acquire Hertz Corp., the largest U.S. car-rental company, from Ford Motor Co. for about $15 billion, people familiar with the matter said.

Clayton Dubilier of New York and Washington-based Carlyle, along with Merrill Lynch & Co.'s private-equity unit, have offered $5 billion of cash for Hertz, plus they would assume about $10 billion of debt, said the people, who declined to be identified. A deal may be announced as soon as tomorrow, the people said. It would be the largest leveraged buyout since Kohlberg Kravis Roberts & Co. paid $31 billion for RJR Nabisco Inc. in 1989.

Ford, the No. 2 U.S. automaker, is selling Park Ridge, New Jersey-based Hertz to raise cash as it loses market share to rivals led by Toyota Motor Corp. Ford's North American business has been unprofitable for three of the past four quarters. Chief Executive Officer William Clay Ford Jr. has promised to increase earnings.

``The cash raised would be used to help fund Ford's restructuring,'' said Brian A. Johnson, an analyst at Sanford C. Bernstein & Co. in New York, who has a ``market perform'' rating on Ford shares.

Clayton Dubilier spokesman Tom Franco, Carlyle spokesman Chris Ullman and Merrill spokeswoman Terez Hanhan declined to comment. Ford spokeswoman Becky Sanch and Hertz spokesman Richard Broome also declined to comment.

Ford's Ownership

Hertz rents cars from 7,400 locations in more than 150 countries. The company's net income more than doubled last year to $365.5 million. Revenue was $6.7 billion. Ford earned $3.49 billion on net sales of $171.7 billion in 2004.

Ford has owned all of Hertz since 2001, when it spent $707 million to buy back an 18.5 percent stake that it had sold to the public four years earlier. Dearborn, Michigan-based Ford had considered selling shares of Hertz in an initial public offering before deciding to accept takeover bids.

Hertz has been in the car-rental business since 1918 and in the equipment rental business for more than 40 years. It has partnerships with more than 60 airlines, railroads and hotel chains throughout the world, as well as with credit-card company American Express Co. and Internet travel company Expedia.

Clayton Dubilier, Carlyle and New York-based Merrill have been bidding for Hertz against a group that includes Blackstone Group LP and Texas Pacific Group, said the people, who declined to be identified. Blackstone spokesman John Ford declined to comment and Texas Pacific spokesman Owen Blicksilver didn't return calls.

Joining Forces

Buyout firms have been joining forces this year to make bigger acquisitions. SunGard Data Systems Inc of Wayne, Pennsylvania, whose software handles most Nasdaq Stock Market trades, was acquired last month by seven firms, including New York-based KKR and Blackstone, for $11.4 billion.

More than a record $190 billion of LBOs have been announced this year, data complied by Bloomberg show. Carlyle raised $7.85 billion in March for the biggest U.S. buyout fund and New York- based Blackstone has received commitments of $12.5 billion for a global fund.

Ford is being advised by Goldman Sachs Group Inc., Citigroup Inc. and JPMorgan Chase & Co. Goldman spokeswoman Andrea Rachman and JPMorgan spokesman Adam Castellani declined to comment. Citigroup spokesman Jon Diat didn't return a call seeking comment.

The buyout group is being advised by Lehman Brothers Holdings Inc., Deutsche Bank AG and Merrill. Lehman spokeswoman Kerrie Ann Cohen declined to comment and Deutsche Bank spokesman Ted Meyer didn't return calls seeking comment.



To contact the reporter on this story:
Brett Cole in New York at [e-mail]
Last Updated: September 11, 2005 16:58 EDT

[mr ashley james] 12/9/2005 16:52

Gerry,

If they are prepared to pay US$5.50 Billion to US$6 Billion for Hertz including US$10 Billion Debt they are likely IMHO to pay more than £515.50m including £1,376.40 debt for LSE:AVE

Bluntly the Hertz ratio at US$15.50 to US$16 Billion true purchase cost gives up pretty decent upside at US$3.50 Billion Valuation Gross LSE:AVE including Debt, or about US$940m net.

It shows the potential for the failing bidders who it seems have US$70 Billion to spend to turn around and take out Avis.

It is pure common sense IMO.

All IMHO, NAG, DYOR etc

Cheers

Ash:)

[gerry321] 12/9/2005 16:44

Ash
Heres hoping

[mr ashley james] 12/9/2005 16:33

Gerry,

I have just read there are Seven bidders for Hertz which is going to set a Merger and Aquisition frenzy out in the Private Equity Sector.

Reckon we are bound to see AVIS firmly on every M & A Broker and Private Equity Target List.

All IMHO, NAG, DYOR ETC

Cheers

Ash:)

[mr ashley james] 12/9/2005 15:56

Gerry predictable covering approaching last half hour.

[mr ashley james] 12/9/2005 15:29

Gerry,

Think when day traders close in last 30 mins this will reverse ie hammer personally.

[gerry321] 12/9/2005 15:22

Thanks Ash

[mr ashley james] 12/9/2005 14:24

Doc re. Interim Report

RNS Number:1474R
Avis Europe PLC
12 September 2005


Avis Europe plc

12 September 2005

Avis Europe plc

Interim Report 2005

In accordance with the UKLA Listing Rules Requirements, Avis Europe plc's
Interim Report 2005 has been published.

Copies of the above document have been submitted to the UK Listing Authority and
will shortly be available for inspection at the UK Listing Authority's Document
Viewing facility, which is situated at:

Financial Services Authority
25 The North Colonnade
Canary Wharf
London E14 5HS

Tel No : 020 7066 1000

Judith Nicholson
Company Secretary
12 September 2005



This information is provided by RNS
The company news service from the London Stock Exchange
END
DOCGGGMLDZKGKZM

[mr ashley james] 12/9/2005 13:13

Snaptastic,

After this Hertz deal goes through attention must logically shift to LSE:AVE




September 09, 2005


Private equity fights for wheel at Hertz


HERTZ rates among the better known brand names in the United States and, like so many others, it is about to find itself in the ownership not of the stock market but of private equity. Two teams of private equity firms are fiercely battling to win control of the car-hire business. Unless owner Ford Motor Co has a last-minute change of heart, it looks as if Clayton Dubilier & Rice will be able to claim victory in the deal.
Even by the standards that now prevail, Hertz represents a big mouthful with its price tag of between $5.5 billion (£3 billion) and $6 billion, especially when debts of more than $10 billion are factored into the equation. But the private equity operators have more money than they know what to do with. Estimates are that their fundraising this year alone will have topped $70 billion, and with the leverage they can add to that, their spending power looks more like $350 billion.



Some Wall Street bankers are wryly watching the private equity activity with a view to the business they confidently expect it will eventually generate for their restructuring departments in the future. For deals done on the basis of benign background economies and relatively low interest rates might look very uncomfortable if revenues come under pressure and interest rates are ratcheting upwards.

For the time being, however, the private equity buyers can find it easier to borrow than the ratings-conscious corporates which might otherwise be tempted. Thus it was that this summer saw SunGard Data Systems succumb to a bid from a private equity consortium led by Blackstone and KKR. At $11.3 billion, the purchasers were offering a 40 per cent premium to the previous stock market valuation of the business. That still leaves the record for the biggest buyout with KKR for its ground-breaking $25 billion takeover of RJR Nabsico in the 1980s.

Clayton Dubilier can claim to be one of the oldest players in the private equity business, having been around since 1978. Its model differs from that of some of its rivals in that the partners do get deeply involved in the running of the businesses it buys. Its most recent deal, for instance, was the $3.7 billion purchase of Rexel, which is the leader in the international electrical wholesale distribution market. It represented the largest ever European public to private deal, a title which it cannot hold for long. Immediately, Rexel had a new chairman, Clayton Dubilier partner Roberto Quarta, who has just spent four years presiding over the reshaping of Italtel, the Italian telecoms outfit bought in 2000.

Mr Quarta was one of the first UK executives to decide to tread what is now a well etched path from the head of a stock market quoted company into the world of private equity. Unusually, however, he remains chairman of BBA, the company he once ran.

Backing his move into Rexel were private equity funds of Eurazeo and Merrill Lynch. Merrill features again in the team bidding with Clayton for Hertz, along with Carlyle Group. They must all be watching with fascination as Sir Gerry Robinson tries to invent a new form of takeover of a large public company. On the information sketched out yesterday, Sir Gerry is likely to find himself banging on a Rentokil door that is firmly closed.

Investors might be happy to accommodate Bob Quarta and his private equity colleagues, in exchange for a hefty cash premium. It would be astonishing if a majority were moved by Sir Gerry's offer of a slug of their own cash on condition that they give him £50 million of shares. Since the shares will be earnings dilutive new shares, it could be argued that Sir Gerry has invented the concept of paying a discount for control.