CBG Group Share Discussion Threads

[longshanks] 26/8/2011 11:52

Oh well - someone caved in...unless they are bluffing!

Done deal now - so anyone holding off should probably accept the offer within the next 20 days.

[longshanks] 25/8/2011 14:48

Acceptances are close - but not close enough. They have extended the offer for another week but I don't know they will get the additional 3% required. They are looking a little desperate IMO.

[longshanks] 24/8/2011 09:28

Oh well MM's sold a few last week to balance their books and upped the offer price to 32p.

D-day today. Should get news by midday if t/o bid has received the 90% acceptance Giles need and whether they plan to extend the offer period if they haven't. I really fail to see how they can have received enough acceptances.

Admiral insurance was in the news this morning posting record profits - so to my mind sentiment is definitely on the curve and we could be much better off holding for a sustained marked recovery.

[longshanks] 16/8/2011 12:15

With the offer price 2p below that of the bid, the market appears uncertain as to whether this deal will go ahead. Giles have 50% of the shares promised by most of the large holders but the deal needs 90% to go ahead. That requires an awful lot of small shareholders to be bothered to provide acceptance and, considering the bid price is way below the price many will have bought at, I would expect many to just ignore and hold out for a better offer. I for one have approx 0.8% across various accounts and will be rejecting the offer.

Charterhouse group (backers of Giles) smell a good deal here but I somehow think they will be disappointed. A fair price is 40p and they know it - perhaps they will up their offer once the deadline of the 24th passes.

[the_beagle] 21/7/2011 09:06

Big article in last night's Manchester Evening News.

[the_beagle] 20/7/2011 11:16

longshanks...I'm told it was all in some Insurance magazine last week. Nothing from inside the boardroom!

[longshanks] 20/7/2011 10:49

I think you should report whoever gave you the tip; it looks like someone bought 12K on Friday with inside knowledge and should be prosecuted for it.

Offer price is fair given last years results - but discounts the turnaround in the business. Insurance sentiment is improving and PTP of £1.2m was on the cards for this year - giving a forward PER of less than 4 so a rerating was inevitable once that data was revealed to the market and the loan was renegotiated in August.

That is why Giles is making the bid now - a bit cynical - but Polar Capital will take up the offer to give a quick turnaround on their investment. Could be a close call on whether a bid will be successful at this price - but management are not particularly aligned with shareholders at present and may not make a fight of this.

[the_beagle] 20/7/2011 10:32

What are your views guys? I was tipped this last Friday with everything bar the price, and did nothing as the market looked too thin and I didn't fancy getting locked in if it had turned out to be an RTO and suspension.

I would have thought 40p more like it but it's only a guess. I now don't think Giles are looking to keep the quote, but if they did reverse in it would be a pretty big quoted entity.

[topinfo] 20/7/2011 10:11

DJ Giles Insurance Brokers Limited Statement re Possible Offer

TIDMZZZZ TIDMCB.

RNS Number : 7188K

Giles Insurance Brokers Limited

20 July 2011

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION.

Giles Insurance Brokers Limited

Response to statement regarding a possible offer for CBG Group PLC

Giles Insurance Brokers Limited ("Giles"), notes yesterday's announcement by CBG Group plc ("CBG" or the "Company") and confirms that it is in discussion with CBG about making a possible offer at a price of 32 pence per share in cash for the entire issued and to be issued share capital of CBG, subject to due diligence and the CBG Board's recommendation (the "Pre-Conditions").

This potential offer price represents a 54.2% premium to the share price as at the close of business on 19 July 2010.

The Pre-Conditions are waivable at Giles' discretion. This announcement does not amount to a firm intention to make an offer and accordingly, there can be no certainty that any offer will be made for the Company even if the Pre-Conditions are satisfied or waived.

Contacts:

[longshanks] 20/7/2011 09:20

Darn it - I have only just started building up my stake and now we get this bid from Giles which no doubt will be opportunistic and at a substantial discount to the inherent value.

Nice to see such decent volume on this news - not a single share traded today so far!!

[longshanks] 10/6/2011 05:54

Manchester Evening News coverage of a new Brewery Insurance scheme launched by CBG.




Insurance broker and financial services specialist CBG Group is breaking into the brewery industry after launching its latest product.

Its Craft Brewery Insurance, which has been developed in conjunction with Sterling Insurance Company has been designed to provide a full range of insurance cover essential for a commercial brewer.

Paul Jones, account executive at the AIM listed firm, which is based in Wythenshawe, is leading the division.

He said: "We've built up considerable experience in the brewery industry from working with the Society of Independent Brewers and its members. Breweries are looking for a provider that really understands their industry and the unique issues they face.

"We've worked with Sterling to ensure that the Craft Brewery cover addresses all of these requirements. It has been designed to save breweries time and money, while also safeguarding the businesses."

Dave Mackie, group business development director added: "CBG has made its mark in a number of specialist sectors by quickly identifying market potential in niche areas. CBG Sports continues to go from strength-to-strength and we have now replicated that success in the science and technology and healthcare provider sectors. With the launch of Craft Brewery Insurance, this is another extremely strong string to our bow."

The new Craft Brewery Insurance follows the launch of PALM − a standalone division of CBG Group that provides cover to corporate healthcare organisations.

CBG saw pre-tax profits fall by more than £180,000 to £842,000 in 2010 and revenues drop £1.2m to £7.7m.

[longshanks] 02/6/2011 17:30

Anyone else monitoring this?

A new institutional investor announced today: Hiscox has sold its stake to Polar Capital.

Is this the start of a recovery?

At £3.3m market cap - £1.2m cash (as of last December), operating profitably and paying a 3.5% dividend this must have some potential. Only blot is the shameful state of their balance sheet with short term liabilities not adequately covered by current assets.

They have a crunch renegotiation of a £2.3m bank loan due in August. If that is dealt with then this should dramatically improve sentiment (maybe why PC have bought a stake at this point).

Company has just moved their brokerage wing into brand new offices in Blackpool and are talking about a "recruitment drive" later in the year.

I have built a decent stake in this over the last four months and will be continuing to increase my holdings whilst the price is below 22p. There is no broker coverage but based on performance last year I am expecting EPS of 5p for this year giving a forward PER of less than 5.

Should be good for a hike in the share price to 50p or 60p on that basis - esp if sector sentiment improves.

[ibrahim1962] 22/3/2011 14:29

Comment on the co that came out today...

[bisiboy] 01/1/2011 19:12

does anyone know much about their wealth management divison how many funds they have under management and businees mix
are they rdr compliant?
i cant tell this from their website but they would appear to be inexpensive at current price

[palmist1] 30/12/2010 16:22

Got it, not sure how much I can tell you that you don't already know, but I'll email you

[grahamty] 30/12/2010 08:48

palmist, failed to make contact all those months ago.

Would love direct contact and chance to run through this.

[palmist1] 20/12/2010 16:47

I'd be amazed if the divi is paid whilst Darcy still holds 688k of shares, they won't want him or his other half to get an extra penny.

[longshanks] 17/12/2010 14:09

At the interims, cash flow still looked very good but the acid test (current assets/liabilities) was looking a bit weak. They have hemorrhaged senior management (who may now be competing) but it looks like the business is still quite sound and I would say dividend is secure (only 0.7p last year).

I'd say they have plans to sell off or close one of their trading divisions to (sic) improve profitability and shareholder value.

Getting close to a point where I would start making a punt on this for recovery.

[grahamty] 17/12/2010 12:35

Anyone tell me if active discussion on CBG on another Bulletin Board ? Would love to know what is going on here. And after todays statement, what are they pointing us towards ? Still traded profitably in 2H ? At operating level, EBITDA, pre tax ??? With c £200-300k profit in 1H, does that suggest £200-250k+ for full year, which might at least be 1.5p of earnings ? And no comment on maintaining the divi ? Any insight ?

[palmist1] 08/10/2010 11:50

Graham, go for it

[grahamty] 07/10/2010 14:02

Palmist............not checked this for a while. If you see this ( and I spot yr reply) can we do as discussed above. Thanks

[palmist] 20/9/2010 11:51

grahamty,

Sorry, been away for a couple of weeks and just seen your message.

No problem, I'll check back later today.

[longshanks] 06/9/2010 14:40

Market cap now at £4.5m. This still has further to fall but it is starting to look mighty cheap for a recovery in the long term.

I am glad I sold (at a loss) when I did - but will be watching this with interest.

[palmist] 26/8/2010 14:16

Darcy offically leaving, taking his old slapper with him by the looks of it because she's also vanished from the website....not a word about either of them leaving on the company website!

Any connection to the news in the pre-close statement of dodgy transactions and revised previous year accounts?

Or is it just cost cutting?

God knows what willhappen to the price if he starts dumping his shares