Enodis Share Discussion Threads

[2shemshersingh] 24/5/2006 07:59

more news in the ft, i just hope this stock holds above 180p, its just a matter of time when the bid situation may create positive momentum.

[hyper al] 23/5/2006 14:25

Another RNS

[2shemshersingh] 23/5/2006 09:07

Yes I read on FT that the company chief executive of Middleby Mr. Selim Bassoul, arrives in the UK today. He is determined to drum up support for his £1.95 a share approach for Enodis. I think this offer of 195p is too low. Maybe he would up the offer, on the positive side Middleby's CEO in UK indicates that they are serious about making a bid. There was some speculation that the company being half the size of Enodis may not be able to fund the bid.

This stock is news driven and so far some news is supportive but I think more confirming news is what will push this stock up. Maybe in the short-term this stock will form a tight trading range. My guess is uplifting news is within a fews days time. We will hear developments from Middleby CEO.

[wwweternalfitnesscom] 23/5/2006 07:41

On the front page of the FT today there is news about the USA bidder trying to encourage shareholders to accept the bid of 195p. Maybe this will add some support to this stock.

[wwweternalfitnesscom] 22/5/2006 20:23

anyone long in ENO? Do u believe in this bid approach?

[wwweternalfitnesscom] 22/5/2006 08:07

I'm confused, Enodis comming off first thing this morning. I assumed the stock would gather pace due to a bid at 220p. Any futher news?

[wwweternalfitnesscom] 21/5/2006 23:11

There is little in the press in regards to the second bidder.

[wwweternalfitnesscom] 21/5/2006 22:29

Talk that Middleby Corporation will raise its offer for Enodis to 205p-a-share next week - citywire.co.uk

[wwweternalfitnesscom] 20/5/2006 23:44

Wow this is great news, that may mean that this stock will gap up on Monday to arround £2.20 or above if the expectations for a higher counter bid.

[grigor] 20/5/2006 17:49

Enodis set to receive new takeover offer
By Gary Parkinson, City Editor
Published: 20 May 2006

Enodis, the kitchen equipment maker that rejected a £796m takeover offer from its American rival Middleby last weekend, is to receive a more generous bid from another competitor, Manitowoc.

David McCulloch, Enodis' chief executive, and his advisers at Credit Suisse can expect an offer of 220p a share within days. That would value the maker of fryers and fridges for MacDonald's and Burger King at £880m.

Yesterday, Enodis was valued at £789m after the shares climbed 15.5p to 197.5p. They have more than quadrupled in value in the past three years.

Mr McCulloch dismissed Middleby's earlier 195p-a-share conditional offer as significantly undervaluing the company, despite being pitched at an 11 per cent premium to the then share price.

On Tuesday, Enodis moved to justify its rejection of Middleby's advances with a 71 per cent jump in pre-tax profits to £24.4m in the six months to April. Sales rose to £354m from £308m over the same period a year before.

Enodis, the kitchen equipment maker that rejected a £796m takeover offer from its American rival Middleby last weekend, is to receive a more generous bid from another competitor, Manitowoc.

David McCulloch, Enodis' chief executive, and his advisers at Credit Suisse can expect an offer of 220p a share within days. That would value the maker of fryers and fridges for MacDonald's and Burger King at £880m.

Yesterday, Enodis was valued at £789m after the shares climbed 15.5p to 197.5p. They have more than quadrupled in value in the past three years.
Mr McCulloch dismissed Middleby's earlier 195p-a-share conditional offer as significantly undervaluing the company, despite being pitched at an 11 per cent premium to the then share price.

On Tuesday, Enodis moved to justify its rejection of Middleby's advances with a 71 per cent jump in pre-tax profits to £24.4m in the six months to April. Sales rose to £354m from £308m over the same period a year before.

[wwweternalfitnesscom] 20/5/2006 14:49

The volume was very high yesterday as the stock rose. I saw a further breakout from the recent declines around 190p and bought my positions once again. I have a feeling that shares rallying on high volume on a day when most shares are declining, something is about to happen. Maybe an increase in bid offer.

[grigor] 20/5/2006 11:09

Hope so wefc - in at 65p!

[wwweternalfitnesscom] 19/5/2006 20:25

Looks like something dramatic is on the cards. Today's rise and close above the 197 mark suggests a possible further breakout. Maybe someone knows something why the stock rose so high in a falling market. My guess is the possibilty of positive news. Maybe a higher bidder.

[grigor] 18/5/2006 18:58

"2 Shags" OT for elmendigo4

[wwweternalfitnesscom] 17/5/2006 17:56

If ENO breaks below 188p then it is likely to fall back and test the 180p level. I sold out and took profits at 192p. I think as time passes the stock has room for slippage as short-term traders lock in profits or await for further news. With the lack of further bid news this stock could slide over the comming days. The FT reported that the bidder is much smaller than ENO and the main shareholder of ENO with 11%share would only welcome a bid price of 250p. The current bidder may not have the funds for that price level. The other risks to the stock is. It's main market is in USA and their profits are good when the dollar is strong. The recent dollar slide may hurt profits.

[elmendigo4] 17/5/2006 11:59

grigor

You are obviously the smartest person on this thread, Can you answer this riddle.

What does John Prescott have in common with a MFI flatpack?

Best of luck

[grigor] 17/5/2006 11:18

ENODIS, which makes fryers and ice machines for the restaurant trade, has become the latest UK engineer to attract a US suitor. This time it is not Honeywell or UTC (bidders respectively for Novar and Kidde) but Middleby, an Illinois company about half the size of Enodis.

Middleby's offer of 195p an Enodis share, subject to due diligence, was swiftly rejected by the target's board, which justified its stance with better than expected half-year results - revenue up 15 per cent to £354.2 million and pre-tax profit up 177 per cent to £24.4 million. Importantly, operating margins in the first half, traditionally Enodis's weaker period, moved from 8.6 per cent to 9.2 per cent, towards a 12 per cent full-year target.

Enodis is back in good health, but then again it was struggling only three years ago when the shares troughed at just 30p. Middleby, which is more profitable than Enodis, has not gone away, and is now in the process of hiring Hoare Govett to help out. The approach may also flush out other bidders. Enodis is in play. Shareholders should sit tight.

[grigor] 15/5/2006 11:05

LONDON (AFX) - Enodis PLC, the kitchen equipment manufacturer, today turned
up the heat up on potential US bidder The Middleby Corporation after it posted
much better-than-expected first half profits and reaffirmed its rejection of
Middleby's 195 pence a share takeover approach. ...

[wwweternalfitnesscom] 15/5/2006 08:01

The results beat expectations, this could mean the bidder my review their price and agree to a better price refecting on the results.

[wwweternalfitnesscom] 15/5/2006 07:48

This could mean a higher bid on the cards. I think the bidder normally tries their luck on a low bid then work up.

[grigor] 15/5/2006 02:18

Enodis pours cold water on £796m offer
By Louisa Gault (Filed: 14/05/2006)

Enodis, the global food and beverage equipment manufacturer, last night formally rejected an unsolicited bid approach of 195p per share from Middleby Corporation, its smaller US rival.

The London-based company, which provides equipment for fast-food restaurants such as McDonald's and Burger King, regarded the offer, which would value it at £796m, as too low.

"The board considered this approach carefully and rejected it on the grounds that it significantly undervalued the company and its prospects," said Enodis.

Shares in Enodis soared by 6.2 per cent to a five-and-a-half-year high of 175.5p on Friday on speculation that an approach was imminent.

Middleby, which manufactures and services equipment used for cooking and food preparation in commercial kitchens, issued a statement late on Friday confirming that Enodis had turned down a request to discuss a possible offer.

It also said it had written to Enodis to express its continued desire to meet to discuss a strategic transaction and added that "one option includes making a formal offer".

Enodis confirmed that it had received the letter. The company will publish its interim results tomorrow, a day earlier than planned, because of the unsolicited approach.

They are expected to show a significant improvement in revenues from the North American market, which accounts for three quarters of the company's turnover.

Merrill Lynch, the investment bank, is forecasting a 28 per cent rise from last year in pre-tax profits before exceptionals of £19.3m.

Enodis is being advised by Credit Suisse, while Banc of America is acting for Middleby.

[jonno1] 14/5/2006 21:06

from shares mag this week re weakening $
ENO AVON & SNR singled out as having signifiant US exposure
"if the dollar keeps going the way it is, it is possible there could be downgrades" Andrew Douglas at broker KBC

[grigor] 14/5/2006 14:30

Catering equipment maker Enodis beat the mid-cap rout, adding 10.25p to 175.5p ahead of first-half results due on May 16. One story doing the rounds was that hamburger titan McDonald's, an Enodis customer, has started refitting kitchens and may be ready to extend its purchasing contract into the United States.

Even without a new McDonald's deal, Enodis may still be able to show solid sales growth thanks to a drive among American chain eateries to introduce new menu items, improve service speed and cut labour and energy costs. American firms supplying the hot food industry, such as ITW and Middlesby, have lately been reporting US sales growth of around 10 per cent for the first quarter.

Merrill Lynch forecasts Enodis to show revenue of £326.6 million for its fiscal first half, up 7 per cent, with operating profit before exceptionals rising 28 per cent to £19.3 million.

[wwweternalfitnesscom] 13/5/2006 12:31

huge volume on Friday, I wonder why the stock has risen so fast? Someone told me that the results will be reported on Wednesday and people may expect good results.

[bhha2] 12/5/2006 12:46

HI ALL

so whats the story here then??