Egdon Resources Share Discussion Threads

[kibes] 23/6/2023 07:28

I have shares in this held in an iWeb account but cannot vote on it, it doesn't appear. Are the voting documents published?

[gerhart] 21/6/2023 14:50

I thought the notice was badly word. As I thought takeover needs 75% of - all -shareholders to go through. The bidders holding gets included in the 75%. Maybe I'm wrong.

If it is 75% of shares other than bidder, then I think chances of it going through are fairly slim. They would be getting a lot for very little. Incl the big tax-loss allowance cover.

Some funds have been buying. I assumed just on a punt the bid would be increased. Won't be worth trouble if it doesn't, and it may cost them a bit through trading costs, but not much. But maybe they are much more savvy than that.

But of course Petrichor could simply walk away. Guess we'll see.

[grim] 20/6/2023 19:46

HL say 'Petrichor Partners LP have made an offer to buy Egdon Resources Plc for 4.5p cash per share.
Shareholders will vote on the takeover at meetings on Monday 3 July 2023.'

Ignore HL above. Delving further into their site it does say vote is 28 June

[greypanther2] 20/6/2023 18:24

The shareholders' General Meeting is on 29 June and that's when we'll know if it's a done deal or not. Regarding the voting, there's quite a high threshold. The meeting notice says:
"As described in the Scheme Document, the Acquisition will be conditional upon the Scheme becoming unconditional and becoming Effective. This requires, amongst other things: (i) approval by a majority in number representing not less than 75 per cent. in value of Scheme Shareholders (being all shareholders OTHER THAN PETRICHOR) who are on the register of members of Egdon (or the relevant class or classes thereof) at the Voting Record Time, (ii) Egdon Shareholders passing the Special Resolution to be proposed at the General Meeting; and (iii) the Scheme being sanctioned by the Court. The Scheme is subject to further conditions outlined in the Scheme Document."
Personally, I think they might struggle to get to 75% of all the non-Petrichor shareholders - but we'll soon see.

[markfrankie] 18/6/2023 22:10

When is this set to be a done deal?

[gerhart] 23/5/2023 15:27

Another - key - things is that the company's survival is not dependent on the bid.

We are profitable, with Wressle set to deliver for some years to come.

Even if the share price takes a hit, the company will stay fully functioning.

[gerhart] 23/5/2023 15:20

Agree Curry. That's why directors sometimes big-up a bid. Suits them, but not all shareholders. The directors will probably get a bonus if they successfully guide this cheap offer through. So that is another reason to sell it up.

Having a BIG shareholder is the old double edged sword. Great for stability (often - so long as their other interests are not in peril) but means that they also have tooo much say on things.

But if the bid is blocked, it means that Petrichor doesn't get all the benefits of single ownership - for example use of the big tax losses, which remains shared - EDRs. But they get no individual benefit from it. Just as with the other value within the company.

And that is why blocking the bid at 4.5p could lead to a better bid. Or we can all just bide our time until things change for the company. Perhaps we uncover another Wressle, or better, etc etc.

[currypasty] 23/5/2023 11:04

and the small print...


"In addition, the Egdon Directors are pleased with Petrichor's stated intentions concerning Egdon's management and employees, including Petrichor's confirmation that, following completion of the Acquisition, the existing contractual and statutory employment rights of all Egdon's management and employees will be maintained."


hooray for them, still got a job, which is the main thing when directors only have just over 2% of the shares.. not really skin in the game, more a little flake

[currypasty] 23/5/2023 11:02

"The Egdon Directors were also conscious that Petrichor's existing shareholding of c.44 per cent meant that any proposals would have to be agreed with it. The Egdon Directors were also aware that due to this shareholding, any takeover by a third party was highly unlikely to be successful."

[gerhart] 22/5/2023 11:57

Me too, Grey. Probably lots others too.

Seems like a dream now. Sunak made a bad decision. But that's mostly the bread and butter of politics. :)

[greypanther2] 22/5/2023 11:33

The current 4.35p share price suggests, to me anyway, that the market is expecting Heyco's 4.5p bid will be successful. They held over 40% before announcing it, which is presumably why they made such a disappointingly low 4.5p offer. I'm now kicking myself that I didn't sell more of my holding during the temporary lifting of the fracking moratorium.

[gerhart] 22/5/2023 09:56

There are clearly people, already holding, taking positions that a better offer is on the cards.... Hope they're right! I'll be holding out for more.

[gerhart] 19/5/2023 14:36

Those disclosures today by Odey Asset Management look interesting. They, or someone they act for, opening or increasing long positions. Am I reading that right?

So like some of us here, must believe the current offer well undervalues us.

[bionicdog] 18/5/2023 18:41

Jonathan Abbott is not the CEO.

[ali47fish] 18/5/2023 17:39

anyone understands today's rns abbot ceo acting in concert!!!!

[currypasty] 18/5/2023 10:28

I wonder if the new CPR will be good....lol

[bomfin] 18/5/2023 10:18

Considering they've just relinquished the offshore gas licenses and the buyer will reckon they can make something on the top Wressle must be due an upgrade.

[markfrankie] 17/5/2023 20:02

Looks pretty cheap, but it's probably going to happen? Atleast edr assets will get fast tracked if it happens; great for ujo and eog.
~£28m repaid maybe over 48months????? With ~£5m cash... not a great deal for pi's But great for ujo

[gerhart] 17/5/2023 11:53

Lazy - I think - the bidder can't offer any less than they paid in last 12 months. But the bidder, big shareholder, didn't buy any during that time.

Got to be worth more than 4.5p now.

(interestingly another that TW was encouraging peeps to buy a few years ago at much higher levels. Financially in much better state now - yet here we are.)

[grannyboy] 17/5/2023 11:09

For EDR shareholders I think it's a low offer, but if they don't make an offer for EOG/UJO then we might see more action from the new lot which will benefit EOG and UJO?!!

[jpuff] 17/5/2023 11:07

So the share price has been driven downwards over the past year or two in order to allow a low ball bid to go through. This market is so corrupt but hey shareholders the bod will do very nicely out of it no doubt!