Cable & Wireless Share Discussion Threads

[djwr100] 12/6/2012 12:39

I can't see it being legal for Orbis to get a better deal than the rest of us.

But, I wouldn't be surprised to see it happen!

[jacks13] 12/6/2012 11:52

loganair - The logic is attractive, superficially. We might expect Orbis to act out of self interest and make some sort of deal.

The flaw in the logic however is that an acceptance by Orbis results in a 38p/share capitulation. I don't see how Orbis, if they vote yes in the scheme vote, can arrive at a deal that maintains their holding in CWW.

If there is a deal in the offing then this scheme offer is more likely to be pulled and a contractual offer announced in its place.

[loganair] 12/6/2012 11:28

Orbis may be going to the meeting to have a last minute personal chat with Vodafone to hammer out a deal which is mutually benefical to both sides but not us the small private share holder, like two sides just before doing to court and hammering out a deal.

[rogermauricesmith] 12/6/2012 11:23

Hi 7Kiwi,

You could be right about price fall - but I really don't think it will be much harsher than 7p - it could be even less.
The reason is that a vote against Vodafone will indicate that shareholders believe there is more value in the company than the 38p implies and the market will recognise that.
With Orbis going to the meeting to vote in person, Vodafone is now in a very difficult position indeed. It can have no idea what the outcome will be.

[djwr100] 12/6/2012 10:58

Why would 15p be realistic, when others, like TATA, could just buy in the market, because they thought the shares were worth more. Then, with the buying, shouldn't the price rise?

What's to stop vodafone buying later, share by share, until they have enough?

[loganair] 12/6/2012 09:54

Sorry if already posted before as a few days old:

The Board of Cable & Wireless Worldwide has welcomed the news that ISS, a provider of corporate governance services, has recommended that shareholders back the Board's recommended acquisition by Vodafone at the upcoming Scheme of Arrangement Meetings on the 18 June.

ISS recommended that shareholders vote in favour of the Vodafone offer for Cable&Wireless Worldwide.

John Barton, Chairman of Cable&Wireless Worldwide, commented: "Cable&Wireless Worldwide is pleased that after a thorough and detailed independent analysis, ISS has concluded that the Board's recommendation to accept the 38p cash offer by Vodafone is in the best interests of shareholders. We welcome the significant support that this provides to the Board's position".

In their analysis, ISS commented: "Based on reasonable sale process with two bidders, adequate valuation and the risk that investors face in going through a difficult turnaround, we recommend shareholders support the Vodafone offer."

[milacs] 12/6/2012 09:37

7Kiwi

Don't you get a bit fed up ramping this share.

M

[7kiwi] 11/6/2012 22:35

RMS,

I would suggest the downside is more than 7p if the deal falls through.

Markets are turbulent and macro-economic issues are worse than when the share price fell below 20p last year.

I would think 15p is a more realistic scenario, if only for a short while, if the bid fails. Certainly below the mooted 25p offer Tata were going to make.

As I understand it, VOD can make a conventional offer if the SoA fails. Not sure if that then fails. Probably can't re-bid inside 6 months unless someone else makes an offer.

[djwr100] 11/6/2012 22:32

There's probably a plan B, and a suitable loop-hole for it.

[careful] 10/6/2012 11:03

orbis are doing the obvious.
why declare your hand until the last minute.
they will grab that 38p and move on.

[targatarga] 08/6/2012 11:19

hairy - glad someone made some dosh out of these!

[thehairydagger] 08/6/2012 11:17

I'm out guys,going to try my luck on some more GKP. good luck all it's been a great ride from 26p.

[fenners66] 08/6/2012 10:42

I mean the whole BOD.
They can guess that if VOD takeover they will be on their way...

[loganair] 08/6/2012 10:38

fenner - why would they need to do that as our dear CEO already has written in to his contract 1 years salary should CWW be taken-over, plus share bonuses which means he's already on to take over £1mln should the take-over go through.

[fenners66] 08/6/2012 10:14

And no doubt they will have written themselves improved severance contracts in readiness for the VOD takeover but would use them if voted out for incompetance as well.

[impecunious] 07/6/2012 21:32

'Improved shareholder engagement' presumably did not appear to feature in his targets. Including the largest shareholder of all.

[jacks13] 07/6/2012 19:23

We've been told that Gavin Darby has already met his executive targets and has been awarded 2m shares, just six months into the job, but we're not told what his target was. Where do they get these jobs?

[jacks13] 07/6/2012 13:56

warranty -I agree with you but as RMS says, the company is now in play and will go to someone. If Vodaphone stick to the script they should pick it up.

If Vodaphone walk, which has a probability approaching zero in my book, then Tata's interest would be reignited. They may have to find someone to partner them, but it's doable.

[warranty] 07/6/2012 13:27

Personally I'd be quite happy for VOD to fail and the share price to come back again so that I can add more. This company is crying out for decent management and with the assets it holds let alone it's customer base it should have a massive future if managed correctly. The fact is it's been managed by self interested, incompetent individuals and based on the current situation still is. The sooner we see the back of VOD, out this board and install people committed to delivering shareholder value the better.

[rogermauricesmith] 07/6/2012 11:51

Careful

The two exampes you quote are of course correct. But for every disaster there are three or four successes - ICI seeing off Hanson comes to mind.

And loads of examples where targets should have seen off their stalkers for the huge benefit of shareholders who were effectively robbed.

And I think in the two examples you quote the stalkers were offering very attractive terms - very unlike the situation we have here.

[rogermauricesmith] 07/6/2012 11:48

Fenners,

Yes that was a watered down line in the scheme document compared to previous pronouncements. There is a lot of scope in that sentence.

I think the share price would drop to around 28/29p if Vodafone withdrew (and not the much predicted 20/25p)as CW is now so obviously in play. In reality that's not too big a short-term risk to take. If Vodafone doesn't get CW someone else will.

I just can't see Vodafone letting this opportunity go. Let's hope UBS hasn't painted Vodafone into a corner so it can't increase the offer.