Card Factory Takeover Rumours (CARD)

I think the lack of a TS to provide guidance will be a question posed at the CC later today.As mentioned above, there was also other information that it would have been nice to have seen before, though not strictly RNS material. They are a public traded company and timely dissemination of information is a must.This kind of Mgmt behaviour doesn't do anything to provide future confidence. Perhaps the best thing would be for a takeover bid. It is a shame as I think there is a good story here, but mgmt / IR have dropped the ball.And, btw, a number of companies over the years have issued an RNS saying they know of no reason for the increase in share price. I don't believe that being in a closed period would affect that. A closed period is aimed at preventing directors etc gaining from inside knowledge during that period.

Trying to think how good results need to be to move this higher? We know the company is doing well and is well managed, its politics and takeover speculation that’s going to drive this now.

Hi Beachbum - I suspect that as others have said the Aussies are in town to meet management and discuss their growth strategy. You would expect an investor who has just stumped up 30mGBP for 8.2 per cent of the company to want to meet management and kick the tyres. I believe the takeover talk is wishful thinking as I don’t think BBRC manages any third party investor money (BB looks to make all the decisions per their website). CF will be debt free by January and with post lease ebitda of c90m GBP. Even with 3x ebitda bank debt the equity cheque needed would be in the region of 400m GBP - a massive bite for an individual, even one worth 2bn USD. Still there may be others looking given the PE ratio is only around 8x.

Takeover offer rumour incoming ‘direct from head office source’

What would be a reasonable takeover price? If there was one?

Tellios’ constant selling was obviously holding CARD back, the shackles are off now, and with a bit more attention it certainly might be the target of a takeover….but let’s just enjoy this ride for now.