Ensor Share Discussion Threads

[battlebus2] 03/6/2015 17:13

I see that old small cap shrewdie David Stredder announcing his holding...

[shanklin] 02/6/2015 15:48

kalkanite

Thank you.

With the exception of the building products business, I had understood ESR was seeking to sell the rest of the company in a single sale. It is good to see that where better value can be achieved through other means, this is is not the case.

I must admit how best one would slice and dice the rest of ESR to achieve the best outcome. I presume these two sales were in train before ESR put itself into the strategic review process.

[kalkanite] 02/6/2015 15:32

You make a good point Shanklin. I would think that the rest of the business will now be sold off in two possibly three parts, the building businesses and Technocover.

Technocover already has a good foothold in the water utility business. What value would this be to a company like Tracsis or Renew Holdings which could leverage its rail industry penetration?

[shanklin] 02/6/2015 12:37

They also simplify what is being offered for sale, which can only be a good thing.

[kalkanite] 02/6/2015 12:35

V nice, the two land sales combined = 10.5p per share on their own.

[fozzie] 02/6/2015 11:33

Ensor is pleased to announce the disposal, on 1 June 2015, of its Stockport
land holding for proceeds of GBP1,309,000, payable in cash and representing a
premium to book value of GBP763,000, net of disposal costs.

[sharesoc] 01/6/2015 12:37

We are holding one of our popular Investor Masterclasses in Manchester so local investors and shareholders in Ensor may be interested in attending as Ensor is based nearby our venue...

[davidosh] 29/5/2015 10:26

DVB99...If you have a house with a detached garage and plot of land and then one day someone knocks on the door and says I will give you £400k for the garage and land but you do not know if that private deal will affect the value of the whole estate...Do you

1. Just accept the £400k and carry on living there ?

2. Get it valued (and then the agent tells you that the road is in great demand and there are other interested parties) so you need to start marketing & advertising officially as there may be more buyers and better ways to sell parts or all the estate ?

3. Simply sell bits of the estate every time someone knocks on the door when clearly as a family you are ready to leave the area now ?

That is my simple way of looking at it from the other side of the road !

[dvb99] 29/5/2015 09:43

As a holder my main concern is that by putting the business or parts of it up "for sale" suggests they are struggling to release the value and as such will not get a good price, unlike with an out of the blue takeover offer.

[shanklin] 27/5/2015 15:59

AIUI, excluding whatever deal may arise on the Building Products business, the aim is to arrive at a single buyer for the whole of ESR. And I expect the results on 10-Jun to be far from shoddy :-)

[battlebus2] 27/5/2015 15:18

Well said David..

[davidosh] 27/5/2015 15:17

There is nothing at all wrong with holding a few shares in illiquid smaller companies so long as they are well run and that directors have shareholders interests at heart and are aligned with them. That is certainly true here.
Some investors need protecting against their own impatience to sell if a stock simply falls by 5% on nothing or if they have a bad week in the markets. The patient investor tends to gain in the long term at percentages well ahead of the market so long as they pick wisely and spread the risk around at least 10 good quality management teams especially with family minded firms paying dividends.

Anyone selling some today in part or whole will have done well over the last few months or years but i am here for the long haul and it is my second largest holding so the illiquidity has not worried me too much over the last eight years i have been here through thick and thin and you could say I am wedded to the end so lets hope we see a deal everyone can be happy with including all the excellent employees.

[shanklin] 27/5/2015 13:03

With the Harrison family holding so many of the shares, a trade sale is the only way they could ever fully realise the value of the company.

[fozzie] 27/5/2015 12:58

I've held for a few years and am happy to let this play out. Maximising shareholder value is the boards intention, that sounds good to me.

[battlebus2] 27/5/2015 12:09

Well i didn't hold before this mornings announcement but bought a few in the hope of 90p plus return

[janeann] 27/5/2015 11:43

I too sold the few I had - may be too early but this am presented an opportunity better than I expected; that said it could get interesting though.

[woodcutter] 27/5/2015 10:05

Sold up this morning in several tranches. ESR is a great business with sound management but it's true valuation has struggled to be recognised imv, maybe that's because it's too illiquid, who knows.

Todays announcement may result in shareholders gaining more value than is currently available in the market but i have my doubts, capitulation maybe?

I sold over half my holding slowly prior to today and this news was the opportunity to sell the remainder.

I still have a few illiquid stocks in the portfolio but i'm coming to the view that they're too cumbersome to work with, difficult to buy and sell in any volume, which inhibits your portfolio when it gets to a certain size.

aimho

good luck to those who stay on board.

woody

[meijiman] 27/5/2015 08:53

I have a few of these. Not sure one party would bid for the company in its entirety -so the process may take a bit of time. Good solid company this so I expect plenty of interest.

[cheshire man] 27/5/2015 08:32

Nothing like a potential bidding war to drive the share price north :-)

[cheshire man] 27/5/2015 08:05

This could get interesting :-)

[shanklin] 27/5/2015 08:02

Added a few.

[shanklin] 27/5/2015 07:26

After all the shenanigans at PLUS, its good to see today's RNS from ESR. Whever, I have phoned, and asked to speak with a director, I have always had helpful conversations and I can fully understand the directors wanting to fully benefit from the quality business they have built.

[battlebus2] 27/5/2015 07:14

Surprise surprise.

Strategic review and commencement of Formal Sale Process

Ensor today announces that it is launching a review of strategic options open to the Company to maximise value for shareholders including a potential sale of the Company. The Company has therefore decided to initiate discussions relating to a sale of the Company under the framework of a "formal sale process” in accordance with Note 2 on Rule 2.6 of the City Code on Takeover and Mergers (the "Code"), under which the Board of Ensor (the "Board") is able to have discussions with third parties interested in such a transaction on a confidential basis.

The Company is currently in separate discussions in relation to the disposal of Ensor Building Products Limited which if concluded would allow the Company to increase its focus on physical security products with strong cash flow from its packaging business. Over the course of the last year significant progress has been made within each of Ensor’s operating businesses, which was reflected in the first half trading to 30 September 2014. During that six month period, the Company reported a sales increase of 11% to £17.0 million and an operating profit increase of 98% to £1.46 million. The strength of the balance sheet also improved with the minimal gearing reported at the half year now having become net cash balances. Trading in the second half of the financial year has continued in line with the Board’s expectations and growing order books provide optimism for trading prospects. The Company expects to announce preliminary results on 10 June 2015.

With this greater focus of the Company’s activities and stronger financial position, the Board considers that now is an appropriate time and it is in the best interests of the Company's shareholders to seek to sell the Company by means of a formal sale process. This process includes the possibility of an offer being made for the Company although there can be no certainty that an offer will be made. Whilst the Board believes that the Company has a secure future as an independent business, the Board has taken this decision in order to seek to unlock and crystallise value for shareholders whilst safeguarding the interests of all stakeholders.

The Company has appointed BDO LLP ("BDO") as financial adviser to conduct the sale process. Parties with a potential interest in making an offer for the Company should contact BDO (contact details are set out below).

Any interested party will be required to enter into a non-disclosure agreement with the Company on reasonable terms satisfactory to the Board and on the same terms, in all material respects, as the other interested parties, before being permitted to participate in the process. Following execution of an agreed non-disclosure agreement, the Company intends to provide interested parties with information materials on the Company. Following receipt of the materials, interested parties shall be invited to submit proposals to the Company. Interested parties who submit an acceptable proposal will be invited into the next phase of the process.

[cheshire man] 14/5/2015 16:12

and there's the turn up I felt was going to happen :-)

[cheshire man] 14/5/2015 15:16

Ha you're right of course,,,,,,,,,I'll have to stay off the lemonade :-)