Corin Share Discussion Threads

[flyfisher] 09/11/2012 10:39

With 78% of the equity held by 9 institutions , they would seem to be the decision makers here .

[wan] 09/11/2012 09:15

Thanks, I await any response with interest.

[investoree] 09/11/2012 09:03

Thanks Wan I have just E-mailed the company and attach a copy "As a long term shareholder who has seen the value of their investment plummet over the years. I have retained my faith in the company and its products and averaged down by buying additional shares. I can't believe that the company are even considering a bid at a price anywhere the muted 70p which will reward my investment in the company with a capital loss. Whilst realising that your hands are tied in respect of releasing any information that could be deemed price sensitive I would urge the company to release an RNS as early as possible to update shareholders and not sell us out for reasons of the Directors self interest". I will copy any response that I receive onto your excellent thread.

[wan] 09/11/2012 08:15

Investoree...I phoned them direct and was eventually put through to someone (who did not give their name, possibly Linda Wilding), but was obviously able to discuss it from an investor perspective.

Here are the contact details -

[investoree] 09/11/2012 08:02

Wan who is the best person at Corin to contact to raise my concerns about the opportunistic bid that appears to be in the pipeline. This is being done at a time when patient long term/suffering shareholders would hopefully be rewarded instead of having the company stolen from them by Private Equity. Have you got a direct E-mail address for them.

[wan] 09/11/2012 07:51

Staying with valuation, it is also worth considering Corin's IP. Here is a recent patent publication for an Ankle Prosthesis and Resecting Jigs, along with a long list of other patents (with a few anomalies) -


It is also worth re-reading Corin's Product Strategy Update -

[wan] 09/11/2012 07:27

Given the proposed offer is indicated at 70p and this represents a mere 8% premium to NAV, we have to ask ourselves what do private equity see that the market has failed to recognise? In short, eventually bringing the company back to the market, or a trade sale at a multiple of what they paid!

Corin is part way through implementing a growth strategy that takes them into large markets where they were previously either not represented, or not well represented. We are at the thin end of a very large wedge in terms of product introductions, innovation and market share increases. The multiple, referred to above (that private equity is interested in generating/receiving), could also be available for the patient investor. I appreciate that there is value in receiving money today (and not tomorrow), but the indicated price, which is also premium to the recent prevailing price, is poultry compensation for loss of what appears to be an excellent investment opportunity that has only just started gaining momentum and one that has much further to run.

I contacted Corin recently, but they were unable to comment in terms of their position as to the value of the offer. They did confirm that there will indeed be an IMS this month though, whether that will include something with regard to the managements position remains to be seen, but surely we are due some more specific commentary?

[wan] 08/11/2012 07:54

Very little on the wires -

Private equity firms in talks to take London-listed Corin Group private

The company engaged the advisory services of NM Rothschild & Sons Limited.

With operations in the UK, Germany, Austria, Europe, Australia, Japan and the US, Corin makes and distributes orthopaedic devices including mobile bearing total knee replacement, total ankle replacement, soft tissue internal fixation, bone conserving stem and advanced bearing acetabular systems.



We are due an IMS in the middle of this month, so I look forward to that more so than usual!

[flyfisher] 07/11/2012 12:55

A quick company search shows that 2IL has four italian directors , one of which is a prior director of lima orthopaedics and two who seem to be private equity fund managers.

[trixter] 07/11/2012 08:32

This offer is far too cheap. Do any of the management or current shareowners have any link with 2IL?

[wan] 07/11/2012 07:30

I expected to see additional commentary from the management, but I guess last nights RNS was rushed out due to the share price movement, so is it possible we may get a further update that indicates their position on the offer price?

[wan] 07/11/2012 07:26

The cash offer is at an 8% premium to NAV, which appears very low and may attract wider interest and higher competing offers. The advanced discussions prove a point though; that there is significant value in Corin beyond 70p, and as such provides a catalyst for a re-rating.

Corin have made great strides in implementing its growth strategy, including broadening their product portfolio and setting up direct US distribution. Management have made it quite clear that they expect a significant financial impact from 2013 onwards, so you can see why 2IL (poor name choice) wants to make an opportunistic move now!

[cockneytrader] 06/11/2012 20:21

can't believe there is no one on this board

talking to myself again

[cockneytrader] 06/11/2012 18:50

after a little time on the google search engine i think i am starting to smell fish.

[cockneytrader] 06/11/2012 18:36

Two suitors spring to mind

S&N and BTG (I did ask BTG in July to cast their eye over Corin, but they said they were not interested)

Also how about AZN or GSK

Time will tell

[cockneytrader] 06/11/2012 18:20

'in advanced discussions'

Wan you have more faith in the company than its own directors, and what's worse is your spot on.

[wan] 06/11/2012 17:38

Well a takeover of Corin did not form part of my main investment rationale, and I certainly don't find an opportunistic bid at 70p as forming an acceptable level of compensation for losing what I believe will be an excellent long term investment!

I hope the offer is either rejected as inadequate or that some deeper pockets might be willing to pay considerably more for such a well run and highly respected company, not to mention its excellent product range, including those in late stage development, and the future growth that is 'evidently' on offer here.

[wan] 23/10/2012 08:03

Recently added to Corin's new section -

Corin exhibits at AOA 72nd Annual Scientific Meeting
16 October 2012

Complementing the busy AOA meeting schedule, Corin Australia supported the event with a significant exhibition presence demonstrating the new additions to its hip and knee portfolios as well as the LARS™ Ligament Augmentation & Reconstruction System. These demonstrations were tied in with a number of additional meetings with key opinion leaders to discuss the growing hip portfolio as well as phase 1 release of the Unity Knee™ within Australia. These sessions provided an excellent forum for discussion for currents users and a unique opportunity to build closer relationships with new users.

Full release -

[wan] 17/10/2012 08:24

I made a mistake in the post above. Although I detailed two new 510k's previously, Corin's news release above actually included another 510k which I had not realised/seen. It is for the Trifit, which the decison date is 5th October. I look forward to seeing how the US reponds to these products given the previous commentary that I have higlighted.

[wan] 16/10/2012 07:28

Although I previously highlighted it, Corin have detailed the 510k approvals on their website, and included some addional commentary -

Unity Knee™ and TriFit TS™ cleared in the USA
15 October 2012

"FDA clearance of both products is a key milestone which will allow Corin to more completely address US market requirements and builds on the strong growth in the US we have achieved over the past two years," said John Watson, Vice-President of US Operations.

Full release -

There is also a new website for Germany (an important market), making that three in total -

[wan] 08/10/2012 08:04

An apparently very busy period for Corin and Orthopaedics generally -

[wan] 08/10/2012 07:39

Following on from the above -


GOVERNMENT

Medicare knee replacements surge 162% since 1991

A study finds hospital stays after the surgeries decreased, but readmission rates rose. Revision procedures have more than doubled in 20 years.

By Charles Fiegl, amednews staff. Posted Oct. 8, 2012.

The data from the article show a success story, said John R. Tongue, MD, president of the American Academy of Orthopaedic Surgeons. Patients were apprehensive about the surgeries decades ago. Recovery required weeks in the hospital, as some patients would be afraid to get out of bed. But attitudes have reversed during the past 20 years, because knee replacements can relieve pain and increase mobility dramatically.

"It's very positive," Dr. Tongue said. "The only criticism I hear now is 'I should have done it sooner.' "

Full story -

Again it is worthy of note the reference to the increase in revisions. I had a recent conversation with an orthopaedics sales exec, and one of her responses was that revsions is a growing market and will become a very large segment.