Staffline Takeover Rumours (STAF)

The way I see it. If a vote of 75% is not achievable for a takeover, I don't think that it's any different for proposing to take a company private by delisting from AIM. Are my thoughts erroneous? I really hope that that 5m was HRNet buying instead of selling.

Let's come up with a list of questions: 1. Has there been any talk in the last 2 years of taking the company private? 2. Has there been any talk in the last 2 years of takeover/reverse takeover or merger with HRNet? 3. Why isn't the company making a demonstrable attempt to increase margins? 4. Do you think that shareholders outside of managment, would consider management to be correctly paid based upon performance?

I'd like them to tell us whether they have been approached for a takeover in the last 12 months.

We need to see interest rates coming down and I think Automatically this stock would start climbing up. High interest rates and uncertainty in Ukraine holding this stock from shining or potential takeover, being watched from the sidelines by hrnet

Wasn't referring to you Dukie. Nope, I still hold and my reason for holding is for a takeover -in my view, there's no other reason to hold at the moment. Got in at decent prices, not fussed too much about fluctuations. They've told us what to expect, so I can't see the sp doing anything spectacular in the next 6-9 months but would welcome a surprise. They must have a huge database of employers and staff as well everything in place ready for a takeover and they also have the lse listing.

In my fantasy, we're still priced for a takeover.

Who cares. Who will be buying at 42p? Who will take at a lot more than that if HRNet decide to have a punt at a takeover??

If there wasn't the possibility of a takeover/sale/merger, I wouldn't touch this.

Cash So what do you think will happen to share price and what price would you call for a takeover. Personally I see this slowly rising and the near term you must be thinking 40p within a month. Crazy projection maybe but since results it steadily rising and today suggests appetite returning. The three year chart is what I’m looking at if this rise is for real and I’m thinking over 50p possible. Then I’m probably hoping for that so biased

Yeah, at a guess, they'll either be looking to take it private with a view to selling it to some other company or they are waiting for HRNet to catch-up for a sale/takeover/reverse takeover. I can't imagine anything else. I think that had it not been for covid, one of my imagined senarios would have happened by now -Brexit hasn't helped either. *I think that it's worth more with the lse listing, unless the buyer already has a listing on a recognized gold standard listing (UK, Ireland, US, Germany, France)

I think mostly covid and a bit of Brexit hammered things. But even at 30p per share, a company could spend that 5.8m quite easily for a hostile takeover to spread their wings at least into the UK market and also get that LSE listing. My thoughts are to keep an eye open to see whether HRNet buy a few. They could of course just put in an offer. I think Ellis is on their board, so in my mind, there may be a logical reason for that. If HRNet bought any now, based upon what you've indicated, the question would naturally be 'why?'

So on one view, at one point, HRNet were 0.05% away from a mandatory takeover offer and since then, there's been dilution and HS (+management)have been building up holdings. Let's hope that Asia/the far east comes out of the economic recovery starting blocks first. Just under 19.4m shares at £5.8m -3pps, should do it. HS does not have unlimited funds if you look at their accounts. As always dyor etc

HRNet Starts buy acquiring 5.32% in the rns of 22 July 2019 RNS Number : 3110G Then on same date 22 July 2019, a different rns, RNS Number : 3113G, they are at 6.20%. Then on the same date 22 July 2019, in another rns, RNS Number : 3116G, they are at 7.39%. The on 1st August 2019, they go straight to 24.89% RNS Number : 6492H. Again on 1st August 2019 with a further rns, they go to 25.02%. On 4th September 2019, they up their stake to 29.95% from 25.73%(????)RNS Number : 2592L. This was all pre-covid and pre-Brexit and prior to fundraising by issuing shares etc. So I'm guessing that HRNet may have contemplated a takeover/reverse takeover but I am assuming that their holding has been severely diluted now and they are down to 17%. I've not looked whether they have sold any, I'm just guessing that they've been diluted.

imvho HRNet buying may/could be the game changer with a view to a reverse takeover and the benefit of a uk listing for HRNet.

Not fussed about HS buying anymore, although if they do, it shouldn't be for less than book value or at a premium. A takeover is still possible if a decent offer comes in and they'd find it difficult to justify refusing, as I'm sure they would. I'm waiting to see if HRNet starts to increase. By my calculation based on 149,190,000 shares, versus HS, TS and other management holdings, they have 25.88% so they can block a takeover from an outsider. In my mind, that leaves HRNet for a reverse takeover to help get it a UK listing or for some sort of merger. Anybody have a view on my view?

A combined holding (2 or more holders siding with each other) of more than 25% can prevent a takeover where at least a vote of 75% is required to accept a takeover offer.

Well, if there's no takeover coming, I don't have the patience for it.

I suppose much depends upon how other large holders will react. If the buybacks are with a view to taking the company private or taking it private with a view to selling it on or in preparation just in case there is a takeover in the future, lots and lots of shares would not be surprising.

If another 15m shares are taken off the market, I think that the 24% holding gets them to around the compulsory takeover? Do you think they'll take it private?

Any views on a merger/takeover/reverse-takeover with HRNet???

Cash I didn’t watch it this time as the results was bad enough for me. The best we can hope for is a bounce on no news because the share price had been eroded enough. Then a takeover. I’m actually struggling to see why Henry Spain has mopped up so many shares. Even if a takeover came I wonder what the price would truly be given the margins!. The board are hoping market sentiment changes by 2025 as it’s clear year on years fundamentals are literally static

"Delivered Underlying operating profit in line with market expectations" - yep. I really wasn't expecting much. Sat on a loss. I'd be willing to accept an offer of 26p on a takeover or board & management replacement with intrepid Channel boat people.

Never say never! I see it as a total gamble. Lack of 'news flow' from them doesn't help. If they haven't been able to deliver, hopefully a takeover will come about and replace the board and management as there's no amount of yap-yap garbage that would nurse the sp and lack of performance.

The strange thing is all competitors like Gattaca and Robert Walters all bounced back from lows in 2023. Gattaca went from 50p-£1,00 while Staffline went to lows of 22p. Clearly without talk of a takeover it’s well undervalued as interest rates fall. Debt was hedged until 2024 I believe and interest falling so that was a smart move. What’s really happened though. Best guess a takeover

Tia, Henry Spain is a small financial advising practice They have a licence to run their own funds, like a DFM, and they use Professor Glen Arnold to run a deep value fund. You can invest for 100k upwards. Its a longterm, highly concentrated equity only fund.The Deep Value Fund is loading up on deep value shares, eg staffline. They also have Character group. You can check RNS .They are not acting as a broker, buying up shares for a takeover ad you have misleadingly stated.

I think a takeover on the way 100%. To much activity but how does the share price fall on such buying!!!