|The Fidelity letter of intent was for the bid at 640 they did not join in the one at 740. It looks like the company is buying in small amounts of shares and that what has moved the price up. KLK don’t look like they are going to pay more than 715 yet.|
|Ta, Exbroker. :-)
I didn't know Fidelity had voted that way. They had orignally been one of those who stated an intention to vote against the offer. It was non-binding, though.
I see someone has been buying today at 730p. Maybe we'll get another KLK holding announcement soon?|
Most of the acceptance came from Fidelity who have sold the stock at 715 so your numbers are a touch light!|
|I like your optimism, roidster1.
My view, fwiw ........
Market accumulation is very slow now for KLK. Needs another major holder to fold, imo.
KLK bought 11% for around 715p. Those who voted to accept 740p (if they still hold) would presumably accept the same again. That would take KLK potentially up to around 24% at <750p. On that basis 775-800p might do it?
Can KLK get one more significant holder on board at <800p?|
|Klk have bought 600000 and 5 million plus in last week or so. They now have 11.3%.
Klk have just been upgraded to a buy in the star. I would imagine that with the companies share buybacks we will see near 8£ a share. I expect Klk to offer 9-10 to the board within a few months which no doubt will be accepted. Especially if they (klk) buy close to 30%. I wouldn't see acceptances for less than 850-9. 9-10 yes....keep your hats on it could be fun. Also the pound gas appreciated some 4% which equates to 27p ish per share. So the stronger the pound the more expensive it will be to buy...id expect them to want to do it as quickly as possible. GLA holders|
|If you are KLKB then you either want to own all the shares in MPE or none. They are building up a position to give them a better negotiating position. Looks like they bought up to 600k odd today. HSBC have been doing the volume.|
|Yes, interesting, Pineapple1. Potential clash of rules as far as I understand it. If KLK were to exceed 30% then normally there would be a mandatory bid but in a 'no bid' period till 6 months elapsed.
If some of the other institutional holders get onto the Board there may be an agreed bid. I wouldn't be surprised if this happened.|
|Ta, Exbroker. :-)
I had wondered about the trades at 715p. So, for sellers, best to contact KLK's agent.
6 months, not long to wait. Volume looking better today.
I don't think KLK bought any shares during their bid period, so their highest buy price over the previous 12 months might only be 715p. Possible starting price for the opening takeover bid, second time round?|
|Yes a couple of decent sized AT trades today the most recent being 214,000 at 700.
Someone is distributing of course but its a willing buyer.
If it is KLK then they must surely plan to comeback.
I wonder what happens if theyget to the 30% level . Maybe they'll sit just below once finished buying.|
KLKB are in the market again today at 715, They have to wait 6 months not 12 and can bid now if the board agree the terms.|
|The buyer was KLK!
I guess KLK will come back 12 months after the lapse and try again.
They're almost certain to get more acceptances the next time, since they start off with their own 9.8%.
They may hoover loosely held shares till 12 month anniversary. Why not? It's possible for them to buy in the market at prices below their takeover offer.|
|So, there were 13.2% acceptances at 740p and a 9.8% sale at 715p. 23% total at 740p or less.
There may be other holders who, like FIL, having misjudged KLK, would now be softer.
Fwiw, I suspect that an 800p bid could succeed. KLK are excluded from that for now, unless they get an agreement from MPE's board. A fresh party could appear with a hostile bid, however.|
|Yes, Typo56, 5,464,284 shares is exactly the size of FIL's holding. It was 9.8% of the issued shares.
Seems FIL took a gamble that KLK would go above the 740p bid ....................... but got that one wrong. Accepting 715p now is a damage limitation exercise by FIL.
Maybe that 9.8% can be committed to a fresh bid (obviously above 715p)?
Yes, who bought will be very interesting. We'll find out soon.|
|Looking at that 5.5m trade, have FIL sold? If so, who bought?|
|I wonder if KLK are coming back, Seems perky today and i doubt as a result of the share buyback|
|Hi Ohisay. I'm fine thanks, and yourself?
Thanks for that EK piece. Yes, probably explains yesterday's strength. I'm still holding and, although I've questioned the stances of both management and major investors, I continue to think that a deal will be done - perhaps with KLK, perhaps with another party. Anyway, as I bought in at about 420p I'm likely to exit at some point with a useful profit.
I've had a quick look at RE.. I guess, once again the value is in the assets, as opposed to current earnings. Not holding any but may get time to look a bit deeper over the break.|
|Hello Ed - hope you are well - thought you might be interested in EK's comments today.
MP Evans (LON:MPE) surprises me. It was always known that KLK would fail at the first acceptances stage with their 740p bid where the major shareholders (55%) had in mind perhaps 840p. So when the failure was announced and KLK said that its offer would lapse, one might have expected the price to settle at around, say, 650p. In the event, I paid 530p this morning since it seems to me that MPE is worth at least 700p as matters stand and likely to receive a bid in excess of 800p.
Interestingly, one would have expected REA (LON:RE.) to fall in sympathy. However, it is quite unmoved and is still a screaming buy below 400p. My wife holds the 9% loan stock which was not in any sense diluted when a £10m equity placing occurred last week.|
|Well, the shares are up about 27% today. Someone is buying keenly.
Prettygreen, you may get your Merry Xmas!|
|Ed, I agree with your comments about the institutional shareholders. Despite the valuation report the company is worth what someone is willing to pay. As things stand at the present we're down nearly £3 from the cash offer price - with the 10p dividend to look forward to. Merry Xmas !|
|Hmmm. My reading .... they had to declare the count and, having done so, the offer had to lapse. That was just the formal process. Going forward, an agreement remains possible. KLK and MPE might have been waiting for this count to decide their next moves. If many more but less than 50% had accepted, an agreement might have been possible at a price slightly above 740p? At about 13% acceptance the Board may feel justified in holding out for something materially higher (£9?). Agreement may not be possible at all with KLK.
I didn't understand the institutional holders' attitude. In the absence of another bid or asset sell-off it's likely to take a few years to climb back to the offer price of 740p.
Perhaps the Board will seek approval to sell off all MPE's assets themselves now? They could return £10(?) per share to shareholders?|
|Offer lapsed - although they reserve the right to submit another offer with the board recommendation. Is it dead in the water or are they still talking ?|
|Good posts Coolen Tks.|
|The volume is very low today but the share price has risen. I guess the two sides are still talking.
If the assets are really worth about £10.50 per share, an agreement at £9.00 might be fair?
I see that Winterflood head the other market makers on both the buy and the sell sides. Others are sitting safely clear of any action. Not sure what that means.
I'm still in here and hoping for a recommendation. Almost any price will do for me.|
|Interesting: the last para of the Shareholder Information sent to shareholders with the notice of the general meeting on Dec 23 indicates that total dividends, including special dividends, are expected to be at least 45p in respect of 2016 and 2017. The board are putting up a good defence, methinks.|