Balfour Beatty Share Discussion Threads

[scallywagkid] 20/8/2014 09:09

We shareholders are paying price of Steve Marshall's ego and inability to get another job. Time for him to go.

[smurfy2001] 20/8/2014 08:20

Oh well, I'll still hold ..

[lab305] 20/8/2014 08:14

BBY management are terrible. They have ignored their shareholders to protect their own jobs. Any money made from selling off the family silver will be wasted in losses on bad contracts. Selfish idiots.

[redartbmud] 20/8/2014 07:57

Handbags are out!

[bookbroker] 20/8/2014 07:53

More like down, selling the family silver will not make BBY's job any easier!

[inv] 20/8/2014 07:48

should go up more today

[skinny] 20/8/2014 07:04

The Board of Balfour Beatty has considered the terms of the revised merger proposal from Carillion plc ("Carillion") dated 19 August 2014 and consulted with its major shareholders.

The revised proposal again fails to address the two key concerns that Balfour Beatty has consistently raised:

1. The considerable risks associated with the proposed business plan, including the strategy to significantly reduce the scale of the UK Construction business when it is poised to benefit from a recovery in the market; and
2. The continued intention to terminate the sale of Parsons Brinckerhoff at a point when it is reaching a successful conclusion.

Accordingly, the Board has unanimously concluded that the proposal is not in the best interests of its shareholders and has decided to reject the proposal. Therefore the Board will not be seeking an extension to the PUSU ("Put Up or Shut Up") deadline of 5pm on 21 August 2014.

The Board also notes that the revised proposal represents only a small value change in the terms compared to the proposal from Carillion rejected on 11 August 2014. Further details are set out within the Appendix.


more...

[aspers] 19/8/2014 18:10

I think we will see the pop tomorrow once the news gets fully out.......I see this going back above 300p very quickly. :)

[smurfy2001] 19/8/2014 16:38

Not the pop l was expecting, l guess there's doubt this will go through.

[redartbmud] 19/8/2014 16:36

Bby shareholders must be laughing all the way to the bank.

[smurfy2001] 19/8/2014 16:18

Carillion is offering Balfour investors a 58.26pc share of the enlarged company, up from the previously agreed 56.5pc. In addition, Carillion will pay Balfour shareholders a final 8.5p cash dividend which values the business at £2.08bn.

[smurfy2001] 19/8/2014 16:17

Very happy :)



smurfy2001 31 Jul'14 - 14:53 - 2226 of 2258 0 0 edit

Bought first slice @ 239.x

[smurfy2001] 19/8/2014 16:17

Carillion sweetens Balfour Beatty merger terms

Carillion improves merger terms to offer Balfour Beatty a bigger slice of the combined company

[nickg2] 19/8/2014 16:05

"Carillion Sweetens Balfour Beatty Approach Ahead Of Looming Deadline"

[nickg2] 19/8/2014 15:32

"Carillion PLC Carillion offers 36% premium"

[share_shark] 18/8/2014 08:55

From Beauforts Securities today.

Balfour Beatty (BBY, 245.90p)– Hold

On Friday, the Board of Balfour Beatty announced it had further considered the announcement from Carillion plc dated 14 August 2014. It considers that the proposal remains unchanged to that rejected on 11 August 2014 and so reaffirmed its rejection. In reaching its decision on the merger proposal, the Board has considered a number of different factors, including the potential for synergies, cost and execution risks, the proposed reduction in exposure to recovery in UK construction, risk of revenue and cost leakage and the impact of terminating the Parsons Brinckerhoff sales process. The Board has also considered the opportunities represented by pursuing its independent strategy, the benefits of which will accrue 100% to its shareholders. These include, a recovering UK construction business and material exposure to recovery in the UK, the opportunity to deliver further efficiencies, a strong US construction business in a growing market, a leading Investments business and the anticipated successful sale of Parsons Brinckerhoff. In evaluating the proposed combination the Board also considered the right strategic approach to maximise value for shareholders. The Board therefore determined that it is the right time to sell Parsons Brinckerhoff, but also that it believes Carillion's approach for the entire Group to be opportunistic.

Our View:Friday's announcement from Balfour Beatty simply provided more detail behind its rejection – so, effectively, they told us nothing new regarding the approach or, indeed, their operational performance post interims. Management is clearly trying to move on post July's £35m profit warning. These were almost entirely focused on problem contracts within Balfour Beatty Engineering Services, the firm's M&E business, where it considers a restoration programme is now well under way. Beyond this, aided by additional disposals, overall Group profit performance should still hit expectations, so it considers Carillion's approach to be opportunistic. That may be the case, but the game is clearly far from played out. Carillion will try to use shareholder pressure to try to force Balfour management back to the negotiating table. Under UK takeover rules, Carillion has until 21 August to renew its advances or go away. Between now and then, their Boards will continue to fight it out in public. On Monday, Carillion say it would give further consideration to its position, adding: "There can be no certainty that any offer will be made by Carillion or as to the terms on which any such offer might be made." But, understanding it did not make this second proposal in expectation of Balfour simply giving up without a fight, shareholders should hold on to hear what else they have to say.

[redartbmud] 17/8/2014 22:26

xdiv

Looks like it's heads you win and tails you win then.

red

[xdiv] 16/8/2014 22:33

BBY CLLN two of my largest holdings. Used to be in MGNSa and SFR.

[share_shark] 15/8/2014 23:06

Balfour questions Carillion's ability to pull off merger as slaps down second proposal
By Giles Gwinnett August 15 2014, 3:20pm Today, Balfour slapped down a second apprach from Carillion in unequivocal style, suggesting its managment could not pull off the deal anyway

Shares in Balfour Beatty (LON:BBY) crept up a little, while construction rival Carillion's (LON:CLLN) went lower Friday - as what had been billed as a friendly merger between the two descended further into claim and counter- claim.

Those familar with the saga know it has been rumbling on since last month, when the pair revealed they were first in talks over the creation of a potential £3bn mega builder.

Today, Balfour slapped down a second apprach from Carillion in unequivocal style, suggesting its managment could not pull off the deal anyway.

It issued a comprehensive statement detailing why it believes the merger is not in the interests of its shareholders and was an "opportunistic" move.

The firms fell out two weeks ago over Carillion's U-turn over the fate of Balfour's US business Parsons Brinckerhoff, which has been a real sticking point in the whole affair - which Balfour is selling but Carillion now wants to keep.

Carillion has said a union could reduce the group's cost base by at least £175mln a year.

But Balfour said today the combined group would be of a significantly larger scale and diversity than the Carillion management team has previously managed, with annual revenues of around £14 billion and around 80,000 employees, excluding joint ventures.

It added that the proposed retention of Parsons Brinckerhoff "exacerbates" the scale of the challenge at a time when the management team would be undertaking a fundamental downsizing of the UK construction business.

Balfour also claimed that Carillion's proposals would reduce revenues at its UK construction arm by two-thirds.

This division generated £2.8bn of revenue in 2013 and Balfour Beatty claims a "significant reduction in overheads" would, therefore, be required in order to maintain profit margins at the business.

The implementation programme would be complex, requiring simultaneous business restructuring, integration and outsourcing, it said.

"The proposal remains unchanged to that rejected on 11 August 2014," it told investors.

"The board believes this is the right time to sell Parsons Brinckerhoff, but believes Carillion's approach for the entire group at this stage of the construction cycle is opportunistic."

Balfour shares edged 0.79% higher, while Carillion moved 2.54% lower to 338p.

[yf23_1] 15/8/2014 12:18

· a recovering UK construction business;

They mean they will cut down on loss making contracts ??

the opportunity to deliver further efficiencies;

- Shouldn't they have been doing this already, its the job of managers ??

· a leading Investments business;

Do they mean the historical PPI sales used to plug the profits ??

· the anticipated successful sale of Parsons Brinckerhoff

Selling off the silver...??

How about presiding over a shareprice drop from 370 to 240p over 5 years whilst even CLLN did 66% better comparatively.

[skinny] 15/8/2014 07:04

The Board of Balfour Beatty has further considered the announcement from Carillion plc ('Carillion') dated 14 August 2014. The proposal remains unchanged to that rejected on 11 August 2014. The Board reaffirms its rejection of the proposal. A more detailed analysis is set out below.

In reaching its decision on the merger proposal, the Board has considered:

· the potential for synergies;

· cost and execution risks;

· a reduced exposure to recovery in UK construction;

· risk of revenue and cost leakage; and

· the impact of terminating the Parsons Brinckerhoff sales process.



The Board has also considered the opportunities represented by pursuing its independent strategy, the benefits of which will accrue 100% to its shareholders. These include:

· a recovering UK construction business;

· the opportunity to deliver further efficiencies;

· a strong US construction business in a growing market;

· a leading Investments business;

· material exposure to recovery in the UK; and

· the anticipated successful sale of Parsons Brinckerhoff


more...

[redartbmud] 14/8/2014 12:25

I hope not. Every time they call an advisor the cost is counted in bus ticket sized numbers.