|Epic Brand Inv
||EPS - Basic
||Market Cap (m)
Epic Brand Inv Share Discussion Threads
Showing 1 to 14 of 25 messages
Chat Pages: 1
|Does anyone know whether the 94p cash distribution that I understand will be made sometime in March - suject to EGM approval - will be classified as a capital or income distribution in the hands of a private investor?|
|ok, so it wasnt such an epic investment, but made a double digit return in 6mths...
EPIC Brand Investments PLC ('EBI' or the 'Company')
Completion of disposal of assets
On 29 December 2004 the Board of EBI (the 'Board') announced that it had reached
agreement in principle to dispose of its investment portfolio to its
co-investment partner Lornamead Group ('Lornamead'), and that shareholders
representing over 50% of EBI's equity were supportive of the disposal.
The Board is pleased to announce that completion of the disposal, simultaneous
with exchange of contracts, took place on 11 January 2005.
The directors of the Company (excluding Mike Jatania because of his beneficial
interest in Lornamead), having consulted with ING Corporate Finance, the
Company's Nominated Adviser, consider that the terms of the transaction are fair
and reasonable insofar as the Company's shareholders are concerned.
Terms of the disposal
Under the terms agreed, EBI has received an initial consideration of £13.6
million in cash, the repayment in full of a short term loan of £351,200 to CD
Brand Holdings Limited ('CD') and the payment, to date, of all outstanding
interest on the shareholder, mezzanine and other loans made by EBI to the
investment portfolio companies. In addition, deferred consideration may become
payable dependent upon the future performance of the portfolio companies: should
the combined sales of the portfolio companies in the year to 31 March 2006
exceed £52.141m, Lornamead will pay to EBI a sum equal to 20% of the excess
above £52.141m as deferred consideration. If applicable, such a payment is
expected to be made in mid 2006.
In addition, the co-investment agreement between Lornamead and the Company has
been terminated with immediate effect. No compensation will be paid to either
Following the completion of the disposal, Mike Jatania has resigned as a
director and as chairman of the Company with immediate effect. Under the terms
of Mr Jatania's terms of engagement as a director, he will receive a payment in
lieu of notice of £17,685. There will be no immediate change in the terms of
engagement of any of the continuing directors.
Following the disposal, the Company is essentially a cash shell. The Board
therefore intends to write to shareholders shortly proposing a solvent
liquidation of the Company, so that the Company's net cash balances can be
returned to shareholders as soon as possible. Any deferred consideration that
becomes payable will be distributed by the liquidators at the appropriate time.
Related party transaction
Mike Jatania and Lornamead are considered related parties for the purposes of
the AIM Rules, due to Mr. Jatania's position as a director and chairman of EBI
and his beneficial interest in Lornamead. The disposal of the investment
portfolio to Lornamead is therefore a related party transaction and certain
disclosures are required under Rule 12 and Schedule Four of the AIM Rules. To
the extent not disclosed elsewhere in this announcement, such disclosures appear
Assets to be sold
The assets to be sold in the transaction comprise all of EBI's investment
holdings of mezzanine, loan notes, shareholder loans, equity and warrants in CD,
Law 2397 Limited ('Network'), Lypsyl Holdings Limited ('Lypsyl') and Natural
White (UK) Limited ('Natural White'), and certain of their subsidiaries. In the
period to 31 December 2003 and the six months to 30 June 2004, the investment
income earned (all of which represented interest on shareholder and mezzanine
loans) on the portfolio assets sold to Lornamead was £373,197 and £666,434
CD is a leading personal care brand with operations in Germany, Austria and
Belgium. It operates in the deodorant, soap, skincare and shower and bath
products markets. In July 2004, CD acquired Brisk from Unilever. Brisk is an
established German men's hair product brand.
Lypsyl is a leading lip balm used for the prevention and care of chapped lips.
Lypsyl holds the rights to the Lypsyl brand in, and actively trades in,
Scandinavia and Canada. Rights are also held for a number of other countries.
Natural White is a manufacturer and distributor of tooth whitening products with
operations in the US, Canada, the UK and Germany. Natural White's business is
predominantly contract manufacturing, however Natural White's newly launched
dSolve brand is an innovative new teeth whitening product.
Network is a brand management business based in the UK and owns brands such as
Te Tao hair care, Christy skin care and Triple Dry anti-perspirant. Network also
has a licence for the UK distribution of Sally Hansen, a leading nail care brand
in the US.|
|and citigroup buy in according to rns. bit odd.|
|hmm, disappointed, but will make a profit and will hang on for time being until all become completely clear.|
|Ram...not too sure whther its worth holding on for more now this announcement is out|
|Yes i noted earlier..and posted to u on the JDT thread...funny i was thinking of ringing them today and asking for an update..never got round to it...interesting that its 89 to buy....if they thought that 90 wasnt enuff...top up?..Be interesting to c the details emerge.|
|badtime, good news, imho...
19 November 2004
EPIC Brand Investments PLC ('EBI' or the 'Company')
Update on potential offer
On 30 September 2004 the Board of EBI (the 'Board') announced that it had
received a takeover approach from Lornamead Home and Personal Care ('Lornamead
HPC'), a subsidiary of EBI's co-investment partner Lornamead Group Limited
('Lornamead'), a company in which EBI's Chairman, Mike Jatania, is beneficially
interested. Accordingly, the Company established an 'Independent Committee' of
its Directors (comprised of Francois de Visscher, Jan Verstijnen and Vincent
Campbell) to review this approach, together with EBI's financial advisers ING
Lornamead HPC indicated that its offer price would be at 85p per share. The
Independent Committee, via its advisers ING Corporate Finance, subsequently
informed Lornamead HPC and its advisers UBS that it believed that such an offer
price would materially undervalue the Company. In further discussions Lornamead
HPC increased its indicative offer price to 90p per share. After a review of
this revised offer and following discussions with several major shareholders,
the Independent Committee still believes this indicative offer price does not
reflect EBI's fair value. Accordingly, discussions with Lornamead in respect of
an offer for EBI have been terminated.
The Independent Committee has considered various alternatives to realise
shareholder value and will shortly bring forward its own proposals. These
proposals will include a return of a significant proportion of EBI's cash
balances to shareholders at the earliest opportunity. EBI intends to manage its
current investment portfolio with a view to its disposal. Lornamead has been
advised that this is the most likely course of action for EBI to follow and has
indicated that it still wishes to acquire EBI's portfolio of investments. The
Independent Committee has therefore agreed to continue discussions with
Lornamead to ascertain whether a value can be agreed for the EBI investment
portfolio that represents a fair price that the Independent Committee can
recommend to EBI shareholders. If such a disposal can be agreed and concluded,
EBI's only assets would be cash and it would then be in a position to go into
liquidation and return this cash to shareholders.
Irrespective of the outcome of these negotiations with Lornamead, EBI expects to
continue to work constructively with Lornamead in order to maximise value for
shareholders. Notwithstanding the possible sale of the investment portfolio to
Lornamead, where appropriate opportunities become available, EBI will seek to
dispose of its current investments.
The Board expects to announce the outcome of its further discussions with
Lornamead and the details of its proposals to return cash to shareholders
shortly and to convene the necessary extraordinary general meeting to commence
EPIC Brand Investments
c/o EPIC Investment Partners, 020 7984 8649
ING Corporate Finance, 020 7767 1000
This announcement has been approved solely for the purposes of Section 21 of the
Financial Services and Markets Act 2000 by ING Bank N.V., London branch.
The corporate finance division of ING Bank N.V., London Branch, ('ING Corporate
Finance'), which is regulated in the United Kingdom by The Financial Services
Authority, is acting exclusively for EBI and no one else in relation to the
matters described in this announcement and will not be responsible to anyone
other than EBI for providing the protections afforded to clients of ING
Corporate Finance or for giving advice in relation to this announcement or any
transaction or arrangement referred to herein.
This announcement does not constitute an offer or an invitation to purchase any
The Independent Directors of EBI accept responsibility for all the information
contained in this announcement.
To the best of the knowledge and belief of the Independent Directors of EBI (who
have taken all reasonable care to ensure that such is the case), the information
contained in this announcement is in accordance with the facts and does not omit
anything likely to affect the import of such information.|
|badtime, i think that if the board reject the bid then they have to have a good alternative on offer ie some sort of tender offer. at the mo, as things have worked out, this is overcapitalised and still has £21m cash. im sure a nice chunk of that could be returned to shareholders. meanwhile, i think that there is some real potential in the businesses - afterall, the man who should know best is making an approach for it.|
|ram.....wonder how long they r gonna take over this...if rejected...maybe a higher bid will be made...or they com up with some way if realeasing the discount to shareholders...or bid is rejected..no plan..and share price falls back..hmmmm
Anyway i've taken a bite|
|Hello ram...there u r a visitor...i'll look closely at these!
|nav now 102p, possible bid by managment at 85p!
got to dash.|
|two million to go...
EPIC Brands Investment plc (the 'Company')
The Company announces that on Friday 18th June 2004 it purchased 1,000,000
Ordinary shares at 77.5p for cancellation.|
|note that the discount to nav will have had the benefit of the buyback of 12m shares at 80p ie an extra £2m on the remaining shares nav for free. expect them to buy back another 3m which takes them up to 15m, and us up to £3m or so, the most they have permission to do.
from here on in this a punt on the Jatania brothers/lornamead doing what its very successfully done so far.|
Chat Pages: 1