Dyson Share Discussion Threads

[sharw] 30/3/2012 08:47

As sure as a cheque from Neville Registrars can be.

clangor2 - you say the punter who bought at 7.2p did well but (unlike others) Neville never give an indication on the tax voucher as to the record date. If the shares changed hands just after that unannounced date it will be the seller who did well!

[jamrol] 30/3/2012 08:02

sharw are you sure about the 3.79 per share? I haven't seen anything in my account today. (I hold over 29k shares so any divi would be welcome)

[clangor2] 29/3/2012 10:26

Thanks for that sharw, I hadn't given it a thought that the divi was going to be paid as an interim; checked with my broker this morning and mine had indeed arrived yesterday, a pleasant surprise. So the punter who paid 7.2p/share for their 27.5k recently in effect bought them for only 3.41p each, what a snip !

I agree with you wholeheartedly that the reason Saffil had to be sold was because it was doing TOO WELL - £5.988m in 2011 before a tax credit of £1.137m - seems unbelievable ! I hope the BoD get a right grilling over that decision at tomorrow's AGM.

It's not going to do any good crying over spilt milk tho'. At least the company still exists and the Zirconia Nozzle and Tin Oxide businesses look as though there's promise. Onwards and upwards from here hopefully.

[sharw] 28/3/2012 10:10

The dividend for the Saffil disposal arrived this morning - it is 3.79p/share. It is paid as an interim so does not have to wait for the AGM.

It is sad that the board had to sell it because it was doing too well and they could not raise the money to fund expansion.

With the jewel in the crown (80% of revenue) gone, what are we left with?

Investment properties in the books at £9.5m

The zirconia nozzle and tin oxide businesses

The Sheffield Builders' Centre

The last two are not split out in the a/cs but combined made an operating loss of £550k on a turnover of £10m.

With 275,269,000 shares that is not a lot per share.

[varies] 27/3/2012 09:27

jamrol
It was the wretched decision to buy Millennium Chemicals and pour money into it that beggared Dyson. As so often with British acquisitions of American companies, our chaps get carried away.
If the money spent on Millennium had been spent building up Saffil, we would be in a very different position and the share price at least £5 !
As it is, all one can say is that our prospects look better than they did a year ago.

[jamrol] 27/3/2012 08:07

many thanks clangor, I am a little disheartened as shareholders will probably be the last on the list to receive and monies from the Saffil sale. It also seems from these notes that the business was profitable and perhaps stronger negotiations with the banks would have saved the whole organisation.

I look forward to being wrong.

[wakeland] 25/3/2012 10:21

thanks clangor, good work, all looks pretty good, maybe they should re-list!

[clangor2] 25/3/2012 08:49

Phew, what a struggle. I have never attempted to read such a complex document as DYS's 2011 R & A. Not being an accountant, I have to admit that most of it was way beyond my comprehension.

For what it's worth, I've copied one or two extracts from the report which might (or might not !) be of interest/relevence to any remaining DYS shareholders:

Reason for the Saffil disposal. During early 2011, the Saffil Group experienced significant increases in forecast demand for its products in future years. This was prompted by projections of market growth and increases in market share. It became clear that to satisfy this projected demand, large increases in production capacity would be required, requiring significant capital investment. In March 2011, the Board appointed a financial advisor to explore the options open to the group in order to maximise the value of this growth opportunity. These options included various forms of finance raising and also a disposal of the business. A disposal of the business was the clear recommendation of the financial advisor and after careful deliberation the Board followed this advice.

Finacial impact of the disposal. The net assets of the disposed Saffil Group of £13.3m are identified in note 6 and are classified in the Group balance sheet as held for sale. These assets plus or minus any movements arising from trading activity up to the date of completion were disposed of at completion. The effective consideration in respect of these assets at completion, net of disposal costs, amounted to approximately £40m. The consideration was received at completion, along with the Dyson Group Pension Fund loan note of £6m. The group therefore has net positive bank balances in excess of £20m as at 31 January, 2012.

Businesses remaining in Dyson Group

Property. Of the 12 investment properties previously earmarked for disposal, three are identified as held for sale in the year-end balance sheet, having a net book value of £957k and were sold after the balance sheet date for a similar amount. Of the remaining nine properties, the group has identified five of these as having significant development potential for residential or mixed use. After the year end, on 30 November, 2011, we entered into a five year planning and promotion agreement for these five propertied with St Modwen Developments Ltd; St Modwen is a company specialising in land promotion and the remediation of brown-field sites. Preliminary discussions with planners on these properties are encouraging.

The Zirconia Nozzle and Tin Oxide businesses. Sales in these businesses have increased by over 50% on the previous year which flows through to substantial increase in profits. This has resulted from market recovery combined with new business won primarily in new geographical markets. The high technical performance of the products in both these businesses has been key to this growth. Current global economic factors lead to some uncertainty in the glass and steel markets which these businesses serve. However, it is anticipated that these businesses can grow further despite these uncertainties.

The Builders Centre (Sheffield) Ltd. The Builders Centre (Sheffield) Ltd continues to trade profitably at a similar level of activity to the previous year. Profits have actually risen slightly on marginally lower sales which is a good result given the continued weak market and high levels of competition in the Sheffield area.

[I couldn't understand the statement that the Board intends to return surplus cash arising from the Saffil disposal (i.e. by redeeming the £7.5m Preferred Ordinary shares and paying an ordinary dividend in the region of £10m) in March seeing as the AGM is not being held until 30 March, 2012.]

My apologies that these extracts on their own may not make much sense but there was such a large amount of detail, it would have taken forever to type to include it all. As I mentioned in my previous post, interested shareholders can request their own copy from the company.

[clangor2] 21/3/2012 14:54

According to my broker, the 2011 Annual Report has been available to shareholders since 6 March but you have to email them at: [e-mail] to get a copy. A pity they didn't let me know earlier !

Have sent off for my copy, will await arrival with interest !!

[varies] 19/3/2012 22:12

clangor2
I suspect that the punter at 7.2p (not me) is on a winner here.
He should get half his money back very soon on the special dividend and be left with a stake in some quite promising assets.
More is to be revealed shortly.
We shan't see 100p again, let alone 400p, but might get back into double figures.

[clangor2] 14/3/2012 17:27

I see that someone took a gambler's punt on DYS yesterday buying 27.5k @ 7.2p, they might have been better off going to Cheltenham Races this week instead !

The company must report their 10/11 results by the end of the month otherwise their share price could well be suspended ..... would we notice any differnce ? At least the veil of secrecy re the Saffil sale details will have to be lifted then and shareholders informed. I wonder how many skeletons will come tumbling out ?

Intriguing.

[jamrol] 01/2/2012 18:00

wouldn't it be possible to see the price paid for Saffil from the buyer accounts as they are public? I do agree that someone should be investigating the board/accounts

[clangor2] 01/2/2012 08:12

Oops, got my dates completely mixed-up in post above. The original target-date was 26 January but that has had to be put back to 6 March because of the complexities of the Saffil business sale.

My apologies.

[clangor2] 31/1/2012 19:34

'The Board expects that the redemption and dividend will take place in March 2012'

Not much chance of that now. Results announcement has been put back to 26 March at the earliest (according to co sec). What with the secrecy regarding the Saffil sale, all very puzzling/suspect.

[wakeland] 31/1/2012 16:11

thanks jamrol

[jamrol] 31/1/2012 13:03

Your Board, in considering how it wishes to effect this return of surplus cash to Shareholders, wishes
to be in a position, first, to redeem the Preferred Ordinary Shares at their par value of £7,500,000, and
then to pay an interim dividend in respect of the surplus proceeds from the sale of the Saffil
companies. The Board expects that the redemption and dividend will take place in March 2012

[jamrol] 10/1/2012 13:40

any more news about divi? would be surprised to receive any money from DYS

any chance of shares being relisted?

[sharw] 25/11/2011 10:29

A circular arrived this morning. An EGM will be held on December 14th to approve a reorganisation of the balance sheet, which needs to happen before the company can pay a dividend.

The special dividend, resulting from the sale of the Saffil business, is expected to be about 3.63p.

[sleveen] 27/7/2011 19:59

thanks clangor2

[clangor2] 25/7/2011 20:31

Global green emission targets drive international auto deal

Dyson sells Saffil to US market leader (25 July 2011)

London – Sheffield-based Dyson Group plc ("Dyson") has announced the sale of its core business, Saffil Group ("Saffil"), to US company Unifrax I LLC ("Unifrax"), for an undisclosed sum.
Saffil develops, manufactures and sells innovative, high-temperature polycrystalline wool materials to a global customer base. It has two main business units: Saffil Automotive and Saffil Fiber. The Saffil business has a rich history based upon its high-performance Saffil® High-Alumina Fiber and Ecoflex product lines. Saffil products are used in a wide variety of applications in both the industrial insulation and automotive emission control support mat markets.
The Saffil business is headquartered in Widnes in the United Kingdom and has manufacturing operations in the U.K. and South Africa as well as regional offices in the USA, Japan and China and sales representation in Brazil. The business employs approximate 300 employees worldwide who will be joining the Unifrax team.
Unifrax, headquartered in Niagara Falls, New York, is a leading global supplier of insulation products that are used in many high-temperature industrial, automotive and fire protection applications. The Company has 17 manufacturing facilities in the United States, Europe, Asia and Latin America and employs approximately 1,300 people worldwide.
The sale of the business will combine Saffil's and Unifrax's manufacturing and conversion technologies to create a global force in the automotive catalytic converter mat market. It will ensure Saffil has access to the financial capital required to support its substantial growth ambitions, creating new jobs and unlocking greater international sales potential. The business will remain headquartered in Widnes, UK.
Julian Cooper, Chairman of Dyson Group plc, is confident the sale of the Saffil business will be good for Saffil employees, "Unifrax will be a great parent for the Saffil business. The markets served by Saffil are strategically important to Unifrax and Saffil's product family nicely complements the current Unifrax offering." Cooper added "Unifrax is prepared to make the investments necessary to secure the long-term future of the business. These would have been difficult for Dyson to make. We are confident the sale of the business to Unifrax provides Dyson shareholders fair value while securing a bright future for Saffil employees."
Mark Briscoe, CEO of Saffil, believes this deal will be transformational for the UK based high performance materials company, ''Saffil is entering an incredibly exciting new era. Over the past two years Saffil has continued its very rapid growth and gained market share, particularly in the European heavy truck market and the fast growing developing economies of Asia and South America. By combining with Unifrax, we are creating a major new global force in the catalytic converter mat market that will deliver innovative best-in-class products for our customers. Together with Unifrax we will continue to invest in capacity expansion so as to support our future growth"
Following completion, at which point the outstanding secured bank debt will be repaid and the security lifted, the Board of Dyson will consider how best to deploy the residual proceeds, including giving consideration urgently to the possibility of returning capital to its shareholders. Dyson owns two other operating businesses, which are trading profitably, and a significant brownfield property portfolio in the UK. Dyson remains committed to maximizing the value of these holdings over the medium term.
Further information regarding the disposal will be contained in the Dyson consolidated annual financial accounts for the year ending 30 September 2011. Shareholders of Dyson will have an opportunity to ask questions of the company regarding the sale of Saffil at the Annual General Meeting which will be convened during 2012.

[jamrol] 08/7/2011 09:31

just spoken to a nice man, he was suggesting there is no chance of selling on JPJenkins...an expensive (£5k) lesson for me but hey it was always a gamble.

[garth] 08/7/2011 09:12

Jim,

Only way to trade is via the link at the very top of the thread header. Last trade was 7p in March.

G.

[jimbobaroony] 08/7/2011 07:51

Can anyone tell me how I trade my DYS shares held in Selftrade. Not sure if this is even possible.

Thanks,

[jamrol] 23/5/2011 08:19

anyone tried to sell their unlisted shares ?