Dechra Pharmaceuticals Share Discussion Threads

[robertball] 07/9/2023 08:39

Looks like it might be with cma looking at vets

[robertball] 24/7/2023 12:56

Bid going to be referred?

[robertball] 14/6/2023 21:43

I don't know. Bloomberg would have this info but at north of £13k per year for a terminal I don't know...

[prokartace] 14/6/2023 12:37

So Robert, if the deal goes ahead what will be the percentage of the UK market held by EQT?

[robertball] 05/6/2023 20:27

I guess the price will hover until we get a CMA announcement.Any idea as to when?

[steeplejack] 03/6/2023 11:12

No FT,no comment!Yes Spyder mentioned that here when the bid approach was made some two months ago .

“The Competition and Markets Authority may take interest in the deal.The regulator recently blocked the purchase of 12 vet practices by Medivet,a large veterinary group owned by CVC Capital Partners.EQT also owns IVC Evidensia,a chain of British vets,and has investment in ManyPets,a pet insurance business,and Zooplus,an online pet food shop”.The Times business section Sat 3 June 2023

A research note published by TD Cowen said. “We would expect the merger review and party discussions to take time. We would caution against aggressive close expectations.”

[robertball] 02/6/2023 22:26

The return is high because the competition authorities might look into the EQT/ Dechra deal.EQT own IVC Evidensia. This is the Luxembourg company which owns Independent Vetcare Limited.They in turn, have a sizeable share of the UK vet and vet hospital market.Also see tomorrow's Lex in the FT

[vworlds_cambridge] 02/6/2023 14:56

The price is not good for me, but we are where we are. Had bought this for the long-term. Thanks for all the useful info on here.

[mower] 02/6/2023 08:50

Well thats it for me. Been on this journey for 20yrs and by far the jewel in my investing crown. Sad to see it go, but I suspect Ian Page has thought the time is right.Now to find the next nugget.

[steeplejack] 02/6/2023 08:44

If you opened an Investec one year term money account currently,you could get 5%.Marcus would give you 4%.Here,if you bought Dechra shares you'd get £38-75p in around 6 months time implying an annualised return of over 12%.Such boring calculations are often overlooked.The bid would adjusted for any dividends paid but one isnt due until around November.There's always the chance of another bidder emerging but that's highly unlikely.

[steeplejack] 02/6/2023 08:32

The Acquisition is currently expected to complete towards the end of 2023 or early 2024, subject to the satisfaction or (where applicable) waiver of the Conditions. An expected timetable of key events relating to the Acquisition will be set out in the Scheme Document.

[robertball] 02/6/2023 08:19

Might be worth looking at sector plays owning into focus- CVS and Pets

[robertball] 02/6/2023 08:18

and it a capital return so no tax if below cgt limits

[steeplejack] 02/6/2023 08:14

Interesting if not unsurprising.The market is making around £36-50p against a cash bid of £38-75p.This offers a 6% upside.It might a few months for the cash bid money to hit your account but that 6% return beats money market rates by a country mile.

[steeplejack] 02/6/2023 07:49

Private equity is nothing but opportunistic and has the ability to move swiftly."Materially lower" is the profit referenced in this mornings RNS.Things look to have taken a nasty turn.Ian Page was recently featured in a press article criticising directives that dictated the composition of his board.I think personally,he'll be very happy to be less visible to pen pushing Government legislators.UK companies like Dechra, operating in sound growth areas,are increasingly likely to be picked off by private equity.

[1jat] 02/6/2023 07:25

Unlikely another bidder will emerge to raise the price so we will never know what the share price would have been……but it is quite likely that EQT will sell it in 5/10 years and will want double the current offer….

[1nf3rn0] 02/6/2023 07:17

Shame it's so far below the peak of summer 2021. For me it's a reasonable result given I bought in much more recently, but I had hoped that over 2 or 3 years it'd get back towards the £50 mark.

[steeplejack] 02/6/2023 07:10

3875p cash offer agreed.

[steeplejack] 01/6/2023 14:39

Ah…who knows the secret of the black magic box

[phillis] 01/6/2023 14:09

Both parties can agree an extension which is probably what will happen

[steeplejack] 01/6/2023 09:58

Yes i tend to agree.It reads as if tomorrow might well be the 'put up or shut up' deadline.The Company remains in discussion with EQT X EUR SCSp and EQT X USD SCSp, each represented by its manager (gérant) EQT Fund Management S.à r.l. (collectively referred to as "EQT") regarding a possible all-cash recommended offer of 4,070 pence per ordinary share. As announced on 11 May 2023, in accordance with Rule 2.6(a) of the City Code on Takeovers and Mergers (the "Code"), EQT is required, by not later than 5.00 pm (London time) on 2 June 2023 either to announce a firm intention to make an offer for Dechra in accordance with Rule 2.7 of the Code or to announce that it does not intend to make an offer.

[lindowcross] 01/6/2023 09:52

I've held for 8 years or so, so not too bothered either way. Willing to hold for another few years if need be. Provided it continues to be well-managed then the company is worth owning for the medium to long term. And I'd be a little rueful to see another good UK company removed from the market

[steeplejack] 01/6/2023 09:47

Its rather unsatisfactory that shareholders have to endure this game of roulette as tomorrows deadline approaches.The marketmakers are the only players who will be enjoying this opportunity to jangle investors nerves.I'm not sure whether a further continuation of the due diligence process is permissable .I presume that it is,if the company can convince the panel that meaningful discussions are critically poised.

[1jat] 01/6/2023 09:30

This is now on a knife edge…..it could jump £6 tomorrow if the bid is follow through or it could fall up to £9 if EQT walks away….the market is not indicating confidence in a 4070p bid.

A high risk gamble at this point in time.

[lindowcross] 30/5/2023 09:44

Steeple, I agree with your comments at 602 and I'm betting the takeover will proceed at the current mentioned price or close to it. So I bought a few more last week.