|Singer & Fried.
||EPS - Basic
||Market Cap (m)
|Nonequity Investment Instruments
Real-Time news about Singer & Fried. (London Stock Exchange): 0 recent articles
|7767: The shorters may well make a quick buck if they react quick enough. Lets look at a situation a bid is put to the table or maybe one is SAID to be on the table and a price is talked about which is known will be rejected say £3.40. Off comes the share price and hey presto there emerges another bidder with the right offer. How many times have we seen this happen I was caught out when a similar thing happened when Allied Carpets were taken over. The first bidder cant't lose he can take out short CFDs and also will be rewarded when he sells his own stake to the eventual preditor. I know this is speculation but didn't Green make a tidy some on his HoF shares when his final bid was rejected after all he bought them at around .65p and sold I believe in excess of .85p ALSO ANY POTENTIAL BIDDER would take out short position to protect his initial stake .If the accepted price is near his short position he will not lose too much but if rejected then the possible fall in the share price will be covered by his short positon. If you have been stake building say between 70p-£1.20 you do not want to unload your shares at less than .70p|
|abcd1234: This from the weekend FT........
Singer enters into talks with Kaupthing
By Kate Burgess
Published: April 2 2005 03:00 | Last updated: April 2 2005 03:00
Singer & Friedlander, the investment bank, is in takeover discussions with Kaupthing, the Icelandic bank.
The group confirmed it was in early bid talks following a steep share price rise yesterday morning. Singer's shares closed up 15 per cent to 322p, valuing the company at £553m.......................
|dicklaw45: yeh something is up TOC
shame its not the share price !!!|
|curryms: Consolidation in the banking sector looks on with the news of an approach to Abbey National. Takeover speculation could spread across the whole sector.
KB could use the current weakness in SFL's share price to raise their stake.|
Correct. The point I made was that KB did not pick up a clean £11m in dividends.
Some significantly large 'buys' today which given the fluctuations in the share price could be the actions of traders simply making a profit on a relatively small rise in the share price. That said, having sunk to circa 226p, they had to be cheap. Hopefully the buys are for a longer term position and are followed up by more tomorrow.|
The total number of issued SFL share was reduced by 11%( as was the market cap) ie every holding was reduced by the 8 for 9 consolidation - thus leaving everybody with the same % of issued shares as before (although not the same number of shares).
More significant is the 11% reduction in SFL market cap - it is now cheaper for a potential takeover.
KB's intentions towards SFL are the key to short term price movement.
|fbrj: I was interested to read the various comments above re effect on share price with the consolidation, the special dividend and the final dividend. Without wanting to confuse matters further it should be noted that the effect of the consolidation and the special final div (26p) won't appear until trading commences on Tues 4th May. All that happened last week was the shares went ex-div the final (3.5p) on Weds 28th.
These were the dates announced by SFL:
Ordinary Shares marked ex entitlement to the Final Dividend: 28 April 2004
Record Date for entitlement to the Final Dividend, the Special Dividend and for the Share Capital Consolidation:(Close of business) 30 April 2004
Ordinary Shares marked ex entitlement to the Special Dividend 4 May 2004
Commencement of dealings in New Ordinary Shares 4 May 2004
CREST accounts credited with New Ordinary Shares 4 May 2004
So, as i see it, a holder who had 9000 shares as at the close of play on Friday 30th had shares worth 9000x £2.41 = £ 21690 - should, on Tuesday, have 8000 shares @ 2.41875 (2.41x9/8 - 0.26x9/8) - ie theoretically slightly changed share price on a smaller number of shares... worth £19350 (difference £2340).
Then on 25th may the holder will receive the final and special divs of 29.5p on his original holding of 9000 shares ie £2655 (comprising £315 and £2340)
What I find more confusing though is that the stated reason for the consolidation was to "allow comparability" in the share price pre and post the special div (ie keep it much the same). However, assuming non special divs remain much the same say around 6p+/share....although the nominal div yield (on an unchanged shares price) will appear much the same, in reality this is not the case for our theoretical shareholder as the ongoing total divs received would be on a smaller number of shares! So proper on going comparibility should be that non special divs should be increased by a factor of 9/8 before any additional change to reflect the underlying business performance.|
|actonman: Other things being equal, when the shares go ex-div you may expect the value of your holding to fall by the amount of the div you will subsequently receive and the market cap of SFL to fall by the total amount of the div to be paid.
The 8 for 9 adjustment should have no effect on the total value of your holding. As someone on here has already suggested its possible that it may, by keeping the share price higher, be of benefit to anyone holding options to acquire shares.|
Ordinarily, shares that go XD reflect same with an appropriate drop in price. Even if the SFL price stands still, the point of my previous post remains the same. Moreover, there will be no reason for its price to move up without appropriate news to justify same. If I am correct in my original question, this is a very astute move by the Board in appearing to give something for nothing. The reduction of shares in issue might give the impression (to those ignorant of the history) of a large div next year, but to current holders the reality as I see it will be no gain. However, the virtues of holding SFL is the doubling of the Icelandic bank stake - the probability of a bid by a third party and SFL future prospects being on the mend.|
|bena1: \NTV, being as you asked sooo nicely...
From sat's FT.
COMPANIES: INTERNATIONAL: Iceland PM in protest at move by Kaupthing
By Christopher Brown-Humes in Stockholm and Elizabeth Rigby in,London
Financial Times; Nov 22, 2003
Iceland's prime minister yesterday withdrew all his savings in Kaupthing Bunadarbanki, the country's largest bank, forcing its two top executives to abandon a controversial executive share option scheme.
The move follows Kaupthing's recent acquisition of a 9.5 per cent stake in Singer & Friedlander, the UK merchant bank, and amid speculation it may launch a takeover bid.
David Oddsson, Europe's longest-serving prime minister, withdrew IKr400,000 ($5,357) in person from one of the bank's Reykjavik branches. He said it was "unimaginable" to keep his money in the bank in the circumstances. His move came amid a storm of protest after Kaupthing unveiled an executive share option scheme for 62 top executives on Thursday following its summer merger with Bunadarbanki.
Sigurdur Einarsson, chairman, and Hreidar Sigurdsson, chief executive, each received 6m share options.
The option strike price was IKr156, compared with the bank's current share price of IKr210.
"The amount was completely unprecedented," said one Icelandic executive. The other 60 executives had a strike price of IKr210 per share. The storm of protest included trades unions and other government members, prompting fears that there could be a run on the bank. Both Mr Einarsson and Mr Sigurdsson said they would forego their options.
Bjorgvin Ingi Olafsson, banking analyst with Islandsbanki in Reykjavik, said he expected Kaupthing to launch a full bid for Singer & Friedlander.
"It's not their style to buy just 10 per cent. They want to strengthen their position in the UK."
Martin Cross, analyst at Teather & Greenwood, the UK broker, said Singer & Friedlander's share price had a bid premium in it. "The shares are at about 223p now. If the Kaupthing stake hadn't existed, I think the stock price would be 150p, which I think is pretty much Singer's book value. I think the take-up price is about 250p, so it is more than halfway there in my estimation," he said.|
Singer & Fried. share price data is direct from the London Stock Exchange