Coretx Hldgs Share Discussion Threads

[slaterlp] 28/2/2006 13:37

shouldn't all private investors write/email chorion and express our disgust at trying to sell out at undervalue? I have written a stinker, but recieved no reply as yet.

But if plenty of us write, then they will have to issue another letter(I already had one from them explaining the share price movement) to explain themselves.

Just a thought.

[phillis] 28/2/2006 11:48

Kibtf
This is a scheme of arrangement. Once 75% of those entitled have approved the proposal that's it. The rest fall automatically i.e. the normal 90% rule doesn't apply.
Nenertheless Rebess would get his/her money automatically

[sweenoid] 28/2/2006 11:43

splendid

now lets hope for another bidder to come out officially

Merril Lynch fees will NOT be cheap -Apax are serious here and my feeling is that Lord Ali and the board with 3i providing the cash will be shown too have undervalued the worth of the company

we shall see
Sweenoid :-)

[kibtf] 28/2/2006 11:37

Glad to help.
Basically ignore the paperwork for the time being and see what happens. Even if you miss the deadline and no bid materialises you will be able to sell into the market at essentially the bid price, and the period for acceptance will be extended by the bidders anyway so you can easily sell once you see the outcome.
Even if you are knocked over by a bus, under the scheme of arrangement your shares will be mandatorily acquired once the bidder gets to 90% acceptances, so you can't be left with shares in a delisted company without any avenue to sell.

[rebess] 28/2/2006 11:29

kibtf

Thankyou for your excellent explanation.

[kibtf] 28/2/2006 11:26

Not a done deal. The main thing is the EGM and % of (independent) shareholders voting in favour. If this is enough then the court hearing is basically a formality, since the court will endorse the scheme, which is basically a legal device rtaher than anything particularly unusual.
If a new offer comes in before the EGM at a level to release the institutions from their undertakings then they won't vote in favour so the resolution won't be passed at the EGM (and court approval will then not follow).
FYI, under the takeover code the company has to make the same info availble to other bidders it has disclosed to 3i, so APAX should get the same as them, even though 3i are backing a management buy out.

[rebess] 28/2/2006 11:11

I have received a Corporate Action Notice from my brokers TDW with details of the proposed takeover at 425p in cash.

Quote: "The scheme is subject to the Court hearing and EGM to be held on 24th March 2006. It is expected that the sceme will become effective in mid April 2006".

I confess my ignorance in matters such as these, but this looks like a done deal. If it is, they have stolen the company.

Would appreciate comments.

[srpactive] 28/2/2006 09:16

did not realise alli was part of the bidding group,
now we know why we had the negative update, come
on apax out bid the sneaky so and so, also
in the past there has always been talk of disney
interested especially regards Noddy, could we have
another interested after Apax.

dyor

regards

active

[goldmachine] 28/2/2006 09:07

Sweenoid
Article in the Telegraph details what posters have been posing but this time all the details are in one article.

Hit set to challenge bid for Chorion
By Ben Harrington (Filed: 28/02/2006)


Hit Entertainment, the company that owns the rights to Bob the Builder and Thomas the Tank Engine, is poised to trump Lord Alli's £108m bid for Chorion.

Last week it emerged that media entrepreneur Lord Alli had teamed up with private equity firm 3i to acquire Chorion, the company behind children's favourites Noddy and Mr Men.

However, Lord Alli's management buyout proposal looks set to be challenged by Hit Entertainment. It is understood that Hit has appointed investment bank Merrill Lynch to advise on a counter offer.

Yesterday, the company contacted Chorion's advisers, NM Rothschild, indicating that if the performance of the business were satisfactory, it would be willing to offer more than 460p a share.

Chorion had agreed to Lord Alli's 425p-a-share offer, which had the initial support of 44pc of Chorion shareholders. The undertakings will lapse if Hit offers 460p a share.

It is thought Hit could justify such a price as it will be able to create significant cost savings in sales, management and distribution.

It also has the extra advantage of owning a stake in the US-based Sprout Channel.

Apax acquired Hit last year in a management buyout worth £489m.

[srpactive] 28/2/2006 08:27

morning all

the results should be out soon, this in
my opinion is being taken out just as
the big picture is coming together,
Noddy film soon i believe, poirot and marple
hitting US as the management says the 4 key
mkts have been established, US, Japan, Germany
and France.

Unfortunately for us the chairman is a friend
of TB our pm, and i would not trust him
whatsoever, and they do say birds of a feather
flock together.

And his contribution the other day saying
we are experiencing a slow down, what rubbish,
sales of Noddy in France are rocketing.

dyor

regards

active
holding tight as i have been since trocadero days
as well as topping along the way.As someone already
said this story far from over.Might be an idea
to call in Poirot to solve it for us.

[sweenoid] 28/2/2006 07:43

from k1664 on iii

Times today reports that HIT as written to COR indicating an interest in making a counterbid.

has anyone else seen that - would be nice to see HIT confirmed 100%

:-)

Sweenoid

[rogerl] 27/2/2006 15:54

The institutions will no doubt decide the outcome as always. Certainly the company is worth more than the present bid if amalgamated with say HIT and ERT. The next few days should clarify the situation, meanwhile I will sit tight.

[rebess] 27/2/2006 14:23

If there is another bidder, and since a competing bid might not be welcome by existing management, it'll be interesting to observe the scene as it unfolds.

Some interesting questions could emerge. For example, would a new bidder receive full co-operation from existing management, or might they, out of self interest, seek to frustrate the bid?

The original announcement seemed to be presented as a done deal, so I wonder where a counter bid will leave us.

[diogenesj] 27/2/2006 11:22

To be entirely honest I was quite happy with the terms too. However, if the managment were prepared to pay 425p, it must have been because they saw the chance to make a lot of money for themselves, or in other words that they saw that the company was worth a lot more than the price the market was putting on it. If they could see that, others familiar with the business could see the same thing, so I suspect we may not have too long to wait.

[rogerl] 27/2/2006 11:05

I previously posted I was happy with the MBO terms. I now add that that they will have to pay more. My reasoning is that the intellectual property rights of COR are actually worth more when added to those of other similar companies for obvious reasons. Looks like the battle is being entered so we sit back and watch.

[maconscreen] 27/2/2006 09:30

i did say that it appeared something was happening with
those t trade buys over the offer price.now a bidding war
would be interesting.but relistically where can we see a
final offer being pitched?
maybe between 465-500 ??????????
--------------------------------

[phillis] 27/2/2006 08:19

Well Sweenoid - the potential bidders will request all information that 3i have seen.
They will get a package of limited data towards the end of the week which will not show them anything that is not in the public domain. They will protest and ask for more.
The problem with these situations that the management have provided information and assumptions not previously disclosed in order to let 3i build their models and get the financing sorted out.
This "inside" info will not be available to outside bidders.
You may get announcements of withdrawal of interest this week but the really serious bidders e.g. Apax will take longer

[sweenoid] 27/2/2006 07:57

this story looks FAR from over by the looks of it

holding tight :-)
Sweenoid

[sweenoid] 26/2/2006 18:28

don't believe it will take that time for the 1st conter-bid(if there is one!)

by the end next week -beginning week after IMHO

bring it on :-)

dave

[phillis] 26/2/2006 17:39

Noddy growing more slowly than anticipated in US and Japan but results for 05 to be in line with expectations
42% tied up in irrevocables unless an offer of above 460p is received(446 in the case of UBS)
Don't sell just yet
PS There won't be any action for at least 2/3 weeks as the potential siutors request, receive and cogitate on inside info given to 3i

[diogenesj] 26/2/2006 14:11

It's one bidder (the management and 3i) and three others interested: Apax, Classic Media, and ERT (if you believe the Mail).

[sweenoid] 26/2/2006 12:59

the bottom line to holders like me is HOLD!!!!!!!

Minimum price we will get is the 3i MBO at 425p

it appears we have 2 very interested bidders and I favour Apax vis HIT-they actually did the same sort of procedure to win HIT and A[pax are truly massive with huge coffers

Due diligence will have to be done and although I was happy at 425p - a price of circa 450 was ALWAYS fairer and more representative to me when you consider the potential savings engendered by a counter claim

splendid!!
Sweenoid

[laugher] 26/2/2006 11:31

Thanks Dio & el-tel. Thought there would be something out there. Will check them out later. Here's hoping for more share price action on Monday then.