Colt Telecom Share Discussion Threads

[dickbush] 11/9/2015 10:55

It was nice talking to you all over the years. Very best wishes for your future investments, none of which I would expect to have a controlling shareholder.

We may have been ripped off but never underestimate the potential for RB and Fidelity to achieve a SNAFU over the next eighteen months consistent with the past 100.

What goes around comes around.

Cheers
DB

[dealy] 11/9/2015 05:16

I think if the market hadn't crashed this summer they would not have reached the 95% threshold.

I spoke with Morten Singleton a couple of years ago and gave me views on a) exiting the wholesale voice business which was a hindrance to the share price b) improving liquidity c) positioning itself to compare with highly valued peers like LVLT and TCY. He knew I was right. He didn't know how they were going to solve the liquidity problem because it was linked to the other points. If the valuation had been normal they could have brought in new capital and hence new shareholders and diluted Fidelity to a more normal level.

In the end that was probably too much hassle so they elected to go private.

could have been worse but I would still liked to have held the company for longer.

[chrisanderton] 11/9/2015 01:36

It's not the end for me yet as I forgot to say yes - although it looks like they extended it to the 25th

Robwt and dealy I think you've suffered with these a similar amount of time as me (I've been in since 2001!) - all the best!

[robwt] 10/9/2015 15:36

Is that all there is!...Good luck to all the Colt long termers with all their future investing.

And on a sad note, my sympathy to anyone who holds any investment controlled by that behemoth of fat unhealthy also rans...the mug mutual fund FIDELTY.

[dealy] 10/9/2015 14:50

Good luck everyone. I feel a bit sad that a stock that was my "absolute conviction buy" for years has now gone. Overall I made money on it - especially in the last 3 years. Lots of cheap stuff to buy now.

Good luck everyone!

You can find me on the Lonmin message board.

[technohead] 10/9/2015 14:04

The end - nice to have known you all guys!

[robwt] 24/8/2015 10:54

Dealy..Lonmin I have been looking at. Another stock, Tullow TLW looks like it has been well oversold. I am researching some oil stocks and Tullow look good for recovery. Apart from that BP were rumoured to be looking at them..so they might also be a bid target when it all settles. All IMHO, not tipping anything.

[dickbush] 24/8/2015 10:14

Agreed, robwt, although I would be adding to my holding around that price. Obviously, if markets continue to get trashed I won't hold onto any of mine either. This looks more and more like "better to be lucky than smart".

Thanks, dealy. Where can I find info on platinum consumption by industry?

[dealy] 23/8/2015 19:34

Some tips from my side (heavily beaten up UK stocks):

- Lonmin (Platinum producer)
- Serco (outsourcing partner for governments)
- First Group (Bus and rail services)
- Glencore

[robwt] 23/8/2015 18:02

I think without the Fidelity offer Colt would be down to 120p. So, although to start with I thought it was a stitch up, they are now history. I am glad to be out of them and able to look at other areas to invest.

[dealy] 23/8/2015 12:37

190p looking very good after the meltdown we have seen over the last few weeks. Dax down 15% in 2 weeks. Ouch.

Also wondering if this was a classic capitulation sell off that will lead to a big rally or if more trouble is to come. Personally I believe the former. Things are getting better and the Dow and FTSE are at the same levels more or less as 2 years ago. Hardly frothy.

[dickbush] 21/8/2015 16:02

China market closed today at the same level as July 8th, after which the government began its support operation. I don't know how much today's decline on Wall Street will impact that market on Monday but it surely can't help.

[dickbush] 20/8/2015 16:59

mirko, it is still short of being the kind of trend the currency boys love to get in on, but it looks as though the Euro is strengthening against the Dollar and Sterling.

More importantly for us, this 190p in cash is looking better and better as the equity markets worldwide swoon. With Sterling still IMO overvalued, has anyone got any good ideas in foreign markets?

[dickbush] 20/8/2015 12:12

After hitting its low versus the Dollar in March, the Euro/$ exchange rate appears to be having a second attempt at breaking out upwards. i.e Fidelity is even going to gain on the strengthening of the Euro. Salt in the wounds!

[dickbush] 18/8/2015 17:16

mirko, see previous page-response to same question from robwt.

TechnoHead seems to have the only plausible theory, but why wait until now when all but 10% of the shares are already committed to the Fidelity bid and, presumably, even less now after the EGM result.

Is someone trying to get to 5% plus to make sure Fidelity can't compulsorily acquire the minority? That would be circa 45 million shares and circa £85 million.

[robwt] 18/8/2015 16:26

looks like I may have been too hasty.

[mirko] 18/8/2015 16:08

When we get the severance 190 pence per share ? date

[dickbush] 18/8/2015 13:43

Anyone heard a reason for this price action?

[technohead] 18/8/2015 12:30

How come COLT is trading above the 190p? Is this people looking to hold in the hope of a better outcome? That's the only logical thing I can think.

[robwt] 17/8/2015 13:28

DB..I got rid of the rest for 190.9 on in Friday's auction. I put the shares on limit at 190.5 0n Thursday morning, so the extra 0.4p was a bonus. The extra they made easily paid my broker commission with a bit on top, so I have got out of them all with a decent amount more than Fidelity's offer. My sales split into three since June were 191p, 191.5p and 190.9p on the major amount in Friday's auction.

I couldn't be bothered with any more hassle, I am out and now have none in my portfolios. The shares were possibly bought by an agent of Fidelity. I think they will have the 95% before long.

I wish you luck DB, I think you may well get more than 190p, even if it isn't a lot more.

[dickbush] 17/8/2015 12:21

I hope your broker is better than mine. Barclays tried to tell me that I should have submitted my share by August 5th. And they were the advisors to the independent shareholders!

[dickbush] 14/8/2015 17:09

Hi,nyla08 and bethsdad

If you want to accept Fidelity's 190p a share offer just contact whoever holds your shares on your behalf and tell them you want to accept the bid. They should take care of the admin for you. I'm assuming here that you do not hold the share certificates personally. If you do then you will have a form to fill in. See the recent RNS's for information on that.

If you do not submit your shares, and Fidelity do not reach 95% of the total outstanding-where they can compel the minority to accept the bid-you will be a minority shareholder in an unquoted Colt. The downside is that no one knows when or if Fidelity will sell Colt to another acquirer at a more realistic valuation than 190p. Also, you may not receive any information on the company's business except the annual accounts. It is always possible that no sale ever takes place. Holding on to your shares is, therefore, a gamble on a much higher valuation taking place in a year or two.

I cannot advise you. You have to decide for yourself. I am in a position to be able to hold onto some of my shares in the non-quoted Colt. Please note that I have been advised by Barclays that an unquoted company's shares cannot be held in an ISA.

I do not know what directors will do with their shares. It's anyone's guess, but mine would be that the Fidelity-employed ones (e.g. Rakesh Bhasin) will have accepted the 190p bid on the understanding that they will have another way to participate in any higher bid down the road.