Intl Power Share Discussion Threads

[arja] 16/4/2012 07:47

is that an agreed bid and no chance of it being increased ? seems so .

[tpaulbeaumont] 16/4/2012 07:32

GSZ 418 bid now

[arja] 10/4/2012 14:43

true at 75% but there must be advantages to 100% control or why would they make a bid ? access tol cash flow I assume .

[jeffian] 10/4/2012 12:07

They already have control!

[arja] 10/4/2012 11:51

I think there will be another bid and threat to walk away was just a bluff . I am sure they want control and can then get their hands on the cash flow .

[jacks13] 08/4/2012 15:43

If they roll the June dividend into the offer and add it to Friday's close that gets us to 413p. A final bid around 420/425p is not beyond them I would think.

[jeffian] 08/4/2012 12:08

I don't really understand why. The French simply say "Non!" and then what?

[grupo guitarlumber] 08/4/2012 09:21

i see the FT CONSENUS highest target is now 430P
up from 417P

[waldron] 07/4/2012 07:15

Elsewhere International Power, up 5.3p to 407.5p, was in demand on hopes that France's GDF Suez would have to increase its 390p a share offer for the 30% of the company it does not already own.

GDF's bid was rejected by International Power's independent directors and despite the French company suggesting one of its options was to walk away, investors are betting on a higher bid. UBS said: "We believe that there will be an agreement, but that the deal value is unlikely to exceed our 420p price target."

[peterboroughmatt] 06/4/2012 01:14

Still holding a load of these from IPO, dug out the certificates last week.

Might hedge afew with shorts next week.

Those GDF boys want it so lets see the colour of the money lads.

[waldron] 05/4/2012 21:18

GDF Suez Likely To Sweeten Bid For International Power- Source
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Gdf Suez (EU:GSZ)
Intraday Stock Chart
Today : Thursday 5 April 2012
Power operator GDF Suez SA is likely to "reasonably" increase the price it is prepared to offer for shares in International Power PLC it doesn't already own, according to a person familiar with the matter.
GDF Suez is "likely" to increase the price "reasonably above 405" pence a share, the person said.
The standoff between the two companies escalated on Wednesday, as the U.K. company rejected GDF's GBP6 billion ($9.55 billion) bid for the shares it doesn't already own, and the French utility reacted by warning it could walk away.
GDF Suez confirmed last week it is considering launching a formal bid for the 30% it doesn't own in International Power, offering potentially 390 pence a share.
Buying out International Power's minority shareholders would grant GDF Suez total control over the U.K.-based power distributor's strategy.
GDF Suez would also benefit from the increased value of International Power since it bought 70% of it in February last year, mostly on the back of anticipations of a minority buyout attempt. International Power's value was also boosted by its exposure to buoyant emerging markets.
Last week, investment firm Invesco, a major minority holder in International Power, sold shares to unidentified hedge funds at 405 pence a share, a price that explains "why it would be difficult [for GDF Suez] to offer to buy below or even at that price," the person also said.
The approach was rejected Wednesday by International Power's management as undervaluing the group, which GDF answered by saying it could also drop its plans.
GDF Suez's Chairman and Chief Executive Gerard Mestrallet insisted 390 pence a share would be a fair price and the group's board of directors as well as its biggest shareholders approved the potential offer, which is yet to be formalized.
GDF Suez's largest shareholder is the French state, which owns 36%, followed by Belgian businessman Albert Frere's holding Groupe Bruxelles Lambert, which owns 5.2%.
Mr. Mestrallet also insisted the group is determined to retain its A-type credit rating while the board offered to save some cash for the transaction in offering GDF Suez's shares to pay for the 2011 and 2012 dividends.
Yet analysts believe GDF Suez has the means to increase the price and that the apparent standoff between the two parties is but a normal part of a tough negotiation.
-By Geraldine Amiel, Dow Jones Newswires; [phone]; [e-mail]

[cool runnings] 05/4/2012 18:42

GDF Likely to `Reasonably' Raise International Power Price: DJ News wire

[jacks13] 05/4/2012 18:12

GDF would have been amazed if their opening pitch had been accepted. They're not going to walk away at the first refusal and will have their line in the sand pitched somewhat higher than 390p.
I wouldn't be at all surprised if they're not in ongoing discussions and I expect a revised offer fairly soon, perhaps even next Tuesday.
I wouldn't fret if they were to walk and in some respects would even welcome it.

[jeffian] 05/4/2012 17:43

Well it's holding onto a significant premium to the bid price, so the market seems pretty sure there's a sweetener coming.

[praipus] 05/4/2012 15:46

Weiss buying even more IPR convertibles!



Tracking the rest of there holding on the WAM thread:

[aleks_atanasov] 04/4/2012 12:25

yes, something could happen with MSY.. but who knows. A predator has time up to April 24, after that the scheme will most likely be effective.

[praipus] 04/4/2012 12:14

First Eagle are worth watching on the WAM thread they have been trading MSY

[aleks_atanasov] 04/4/2012 12:01

i see. so no point trying to do them, as i thought very low return on capital there.

"lots of possabilities" haha i dreamed that last night! :)

CW. - (that was announced in Feb)as you know i already traded that, the deal will be with cash so no arbitrage opportunity.

HAMP - that smurf, nobody wants it.

TEG - SEAQ share.. i would be better of buying GOAL.

so.. By the way the year started somewhat nice with RWD, BLVN, CW., all leaked.

[praipus] 04/4/2012 11:47

I've experimented with the "convertible arbitrage" trades before but with other stocks and no appreciation of what I was doing or how I should exit! So took small profits and moved on. Cant get hold of the IPR 3.25% convertibles here so having to sit it out although tempted to short uncovered.

The profit I dont know I cent even get a quote for the convertibles. I suspect the profit isnt large % wise but it would be riskless for Weiss.

M&A agreed lots of possibles CW., HAMP, TEG etc all stagnating.

[aleks_atanasov] 04/4/2012 11:35

Hi Praipus, yeah i did open a short this morning, looks like more upside less downside now (for my short).
I don't know I am bored, traded it from 390 to 405.. That's free pennies, not money!

But right now nothing else is happening, i mean the M&A market is literally on life support, can you imagine, not a single T/O announced for March... . In March 2008 there have been 10! .. i am talking all SETS shares.

i was thinking about that arbitrage trade you were talking, i guess the bond market there is very efficient, how much do you think could be the inefficiency.. less than 5% i guess? And yes by inefficiency I mean profit.