Aveva Share Discussion Threads

[togglebrush] 27/12/2020 10:31

That was the Year that was:-
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20 Feb 2020_____February 2020 Trading Update
16 Apr 2020_____April 2020 Trading Update
09 Jun 2020_____Results for the Financial Year to the 31 March 2020
21 July 2020____2020 Annual General Meeting
29 July 2020____Trading Update
12 Aug 2020_____Proposed Acquisition of OSIsoft, LLC
12 Oct 2020_____October 2020 Trading Update
05 Nov 2020_____November 2020 Interim Results Announcement
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News to come
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18 Dec 2020 Antitrust clearance in Austria
31 Jan 2012 Brazil is ongoing and clearance expected
01 Feb 2021 review procedure of CFIUS is approval is expected OSIsoft transaction to close shortly thereafter.

[junior shrewd] 01/12/2020 11:30

IMO, there doesn't need to be a point of the offer for any individual investor. Raising the required funds by getting the major institutional investor(s) on board is what Aveva needed to do IMO.

[togglebrush] 01/12/2020 10:21

Neutral Position is the TERP issued on 5th November in the circular to give investors a base against which to base their own projections from the 8th Dec.. Figures on which to base the projection are given in the Prospectus and Circular. YOU have to do your own calculations. No one on a bulletin board is licensed to give financial advice.

[mattgibbo] 01/12/2020 09:51

Many thanks for the response, and again apologies for my ignorance and the fact you may have to repeat yourself about it being neutral, however my thinking is that there must be some kind of incentive to take up the rights as opposed to letting them lapse / selling them or is this really not the case, if so what the point of the offer for the investor?

[junior shrewd] 30/11/2020 10:39

More to it sadly.
The "gain" you are seeing on the rights issue is balanced by the equivalent drop in the price of AVV shares. So it's not really a gain, as others have pointed out.
So you are in a neutral position.
The way I see it, it is just a question of whether you want to increase, decrease or leave unchanged your investment in AVV.
Taking up all your rights increases your overall £ holding as you are putting more money in. Selling all the AVVN decreases your £ holding as you are taking money out. A combination - sell some AVVN and take up some of the rights will leave you roughly back where you started in terms of £ holding.
All IMO, please DYOR.

[mattgibbo] 30/11/2020 09:48

Sorry I have a real newbie question with regard to rights issues, If you have the funds is it practically a no brainer to take up the rights issue, from what I can tell assuming nothing untoward happens and the price remains the same will you not just gain 32% (the discount) when they are exercised and you can sell them the next day, or is there more to it?

[hahmedk] 29/11/2020 11:05

So best to default and not take up the rights

[sharw] 29/11/2020 09:25

But if you sell the rights or allow them to lapse you will make a similar amount so it is not a profit. At close on Friday AVV = 3375 and AVVN = 1120. 1120+2250 = 3370.

[ianguerin] 28/11/2020 18:10

hahmed - that is true for the rights, but the value of the original shares you owned will have fallen from £40+ each

[hahmedk] 28/11/2020 12:31

Thank you for replying. If I buy the rights at 22.50 I would be making an instant profit if the share price remains around the same level.

[sharw] 27/11/2020 20:01

You actually have 3 options:

1) Sell rights in market which you do just like a share - code AVVN
2) Take up rights - you have to come up with the cash for this. Some people sell enough of their ordinary shares to pay for the rights - that means the original sum they put into the company remains the same.
3) Do nothing - the company will sell them for you in the market and give you the proceeds less costs. See 2.4 (b) of part III of the Prospectus which you should read here:

[togglebrush] 27/11/2020 16:26

Re hahmedk27 Nov '20 - 12:51 - 758 of 758
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Final example includes the cost of the Rights Issue . It is with Rights taken Up
70 rights at £22.55p.... and the Final price is the calculated TERP ... Theoretical Ex Rights Price in Circular
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End___08-Dec-20___TERP_____Value_______Cost______ Profit
90___Original_____33.28____£2,995.20___£3,648.00
70___Fully Paid___33.28____£2,329.60___£1,578.50
=================================================
160 End of Rights__________£5,324.80___£5,226.50_____2%

[hahmedk] 27/11/2020 12:51

So at the end 08 Dec in the example given you will have 160 shares worth 33.28 per share if no rights are taken up?

[wall street trader] 27/11/2020 11:01

once people understand the market position AVEVA now have with the take over of OSISOFT this will produce a long term up trend for the next few years - hopefully the dividend will continue to be raised also making this a great long term hold

[togglebrush] 26/11/2020 13:39

FWIW EXAMPLE of how Rights Issue works, I am no teacher but give this example as a guide
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Shares___________Price___Value___________Cost_______Profit
90___Invest 5 Nov_40.54____£3,648.60____£3,648.00
‘
90___26-Nov_______32.63____£2,936.70
70___Nil Paid_____10.22______£715.40 Cash or Value
========================================================
Total in Nil Paid_________£3,652.10_____£3,648.00_____0.1%
‘
End___08-Dec-20___TERP_____Value_______Cost______ Profit
90___Original_____33.28____£2,995.20___£3,648.00
70___Fully Paid___33.28____£2,329.60___£1,578.50
=================================================
160 End of Rights__________£5,324.80___£5,226.50_____2%
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Take NO Selection of Action on Rights Issue you may/may not
receive some cash from auction of your entitlement
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E&OE___Example only

[wall street trader] 26/11/2020 11:20

The OSI Soft acquisition will be transformational for AVEVA - am happy to hold for the long term - I've been in the industry they work in and can see the demand that is building up - OSISoft dominate the oil and gas sector for historic data and with the AVEVA applications now have a world leading offering to embrace and partner with the worlds leading oil companies

[junior shrewd] 25/11/2020 21:16

So, 7 rights issue shares (nil paid) for every 9 shares in AVV.
A bit of maths.
AVVN trading at around 1060p at close.
7/9x1060 = 824p approx per AVV share.
AVV down 821p today according to my Monitor.
So I reckon overall I might be slightly up on the day if I've got it right.
Which is a lot better than my first thought when I saw the price this morning!
Only problem is that there is no sign of my AVVN in my SIPP. Presumably that will be remedied shortly.
Someone agree or put me right.
Thanks
JS

[togglebrush] 25/11/2020 14:23

FWIW EPIC for Aveva shares
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Code_____Instrument name_________________Price
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AVV______ORD 3 5/9P_____________________ 3,263.00__Normal shares GBX -20.72%
AVVN_____NEW ORD 3 5/9P (NP-09/12/20)____1,022.00__Rights Issue Nil Paid
AVVF_____NEW ORD 3 5/9P (FP-09/12/20)_____N/A_____ Rights Issue Fully Paid
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Ordinary shares have declined in Value by some 21%
Rights Issue Nil Paid shares are being traded today
Rights Issue Fully Paid shares are NOT yet being traded today

[togglebrush] 24/11/2020 13:23

RNS re General Meeting extract
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CREST stock accounts of Qualifying CREST Shareholders are expected to be credited with Nil Paid Rights in respect of the Rights Issue Shares as soon as practicable after 8.00 a.m. on 25 November 2020.

[togglebrush] 22/11/2020 09:09

Potential fun trading options for the Lucky ones, who are qualified for Rights issue, will soon be available. Rights Issue rarely occur and my understanding is:-
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Between 8.00 a.m. on 25 November 2020 and 11.00 a.m. on 9 December 2020, you can either trade Ordinary Shares (which will not carry any entitlement to participate in the Rights Issue) or you can, subject to demand and market conditions, trade in the Nil Paid Rights these are Priced under a different EPIC
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Other fun tricks are “Cashless Take-up” or “tail-swallowing” is if sell some rights and use the proceeds to take up the remaining rights. Contact your stockbroker or financial adviser who may be able to help if you wish to do this.
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If you don’t wish to take up your rights do nothing. You may, or may not, get some cash later when those not taken up are sold in an auction. Other tricks are listed in the Circular and Prospectus DYOR

[togglebrush] 07/11/2020 12:47

FWW Extracts from circular and elsewhere re AVV and OSI
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Revenue Growth has been impressive
Year End 31st Mar 2015_/_2016_/_2017___/__2018_/_2019__/_2020
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Aveva Revenue £ m 209__/__201_/__433___/__486___/_767__/_834____CAGR 32%
Year End
OSIsoft US$ m ________________/_ 422.7_/_ 439.1_/_470__/
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Current P/E is 36.3 EPS Growth 52.1% for AVV
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Proforma for Enlarged Group
£m Revenue £1,202___ PBT £123.1____Net Profit___£85.6 £ m

[togglebrush] 05/11/2020 07:18

Interims synopsis
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Creditable performance in a Covid-disrupted trading and a strong H2 pipeline
Revenue______________________GBP332.6m__v____ GBP391.9m____(15.1)%
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Dividend per share ______________15.5p__v____15.5p
payable 5 February 2021__________XDiv on 8 January 2021
‘
OSIsoft's strong trading has continued.
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Merger Expected to complete between December 2020 and February 2021
Rights Issue to be launched very shortly

[togglebrush] 02/11/2020 10:16

Press
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Shell taps AVEVA technology as part of digital transformation efforts
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More Good news
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AVEVA Group plc was the recipient of a significant decrease in short interest during the month of October.
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[sharw] 25/10/2020 08:42

5/11 Interims confirmed