Eurodis Elect. Share Discussion Threads

[momentos] 13/7/2005 12:44

Ed 'Mr Whippy' Winchester.

You seem to be in best "position" to do so, as you are already in contact. Consenting adults and all that.

[mike012321] 13/7/2005 12:44

you're very kind, Cross :-)

[ed winchester] 13/7/2005 12:40

can i do the whipping ?

[momentos] 13/7/2005 12:37

Should we have a whip round for monica (oo-er), she wont be making much dealing 26,000 Eurodis shares a day..

At least she made 80p on the 1,000 sold though, buy her half a big mac (or a quarter of Eurodis).

[crossfirecssf] 13/7/2005 12:21

lol....cheers Mike, I thought it was okay.

Unfortunately I can't help as I too have only questions and no answers.
This is going to be educational one way or another.

[ed winchester] 13/7/2005 11:51

I believe Unicorn have been brought over on the inside. May be Artemis as well. By I know for a fact unicorn have.

[galleon] 13/7/2005 11:49

Prpoviding the share price rflects the TRUE value of the company (new) I aint bothered..but that would have to be an awful lot more than present level which is derisory......time will no doubt tell.

[mike012321] 13/7/2005 11:48

Totally confused post. Removed it...

EDITED

[edward3] 13/7/2005 11:36

ozzy i would agree........

[crossfirecssf] 13/7/2005 11:36

Thanks Ozzy. Eurodis have fairly unambiguously stated that they're in merger talks, so that would suggest that there'll be no takover and therefore no bidding war, fortunately or unfortunately depending on your position.

Is this a reasonable assessment? Anyone else?

[0zzy] 13/7/2005 11:30

GM all..have been in several merger situations and always offered shares in new company or cash but my choice. Takeovers much more lucrative as opportunity for 'bidding war'!

[crossfirecssf] 13/7/2005 11:22

Jordaggy, re. your post yesterday. Can you expand on what the person you spoke with said regarding it being definitely a merger?

jordaggy - 12 Jul'05 - 12:44 - 8582 of 8609

Afternoon all (Ed - re-instated)

Tried digging around myself again this morning - very tight lipped, all I could get was - It's definately a merger - with an air of excitement expressed. DG is away on holiday ! - can you believe it...

The definition of a merger as listed on the following link.



MERGER
Coming together of two or more companies to form a new company. Shareholders of all the old companies have to exchange their holding for shares of the new company. The original companies cease to exist. E.g. AOL Inc. & Time Warner Inc. merged to form AOL Time Warner Inc.

...."Shareholders of all the old companies have to exchange their holding for shares of the new company."

Is this definitive? Can we feel safe that if it is a merger we WILL get shares in the new company, or could a merger take place in which shareholders are left out in the cold?

Does anyone have any expertise in this area?

[crossfirecssf] 13/7/2005 10:05

In terms of a learning experience, ditto, it's been extremely valuable and I'll know a hell of a lot more when it comes to backing other recovery situations, if I ever do again! I just hope I've some money left to do so.

[ed winchester] 13/7/2005 10:01

level 2 still : 3 v 1

[ed winchester] 13/7/2005 09:46

yes, the comment about enhancing shareholder value was made when the price was 1.5p, I really think they were talking to the other party immediately before or after the philips rns (when the price was 2.2p to 3p). I feel the price would've settled at c.2.3p post philips rns if it werent for Aviva and Hermes persistently selling down their holdings.

I think they know the price doesnt reflect the business value. They have spent over £45m in restructuring the business to make it much more leaner and fitter (and yet its capped at under £10m). Regained confidence, signed new franchises, opened up new technology centers, made imporatant alliances etc etc.

So I am hoping they dont sell us out for a song and they get value that reflects a transformed business and all the money that has been spent, but funded by shareholders.

As for relief, i know what you mean - its been one hell of an expensive experience. I have learnt a lot, i mean a lot. So some sort of closure on this saga would be a welcome relief (even though I may lose a sizeable amount in the process).

[crossfirecssf] 13/7/2005 09:24

Morning...

Ed, I think something that's significant when assessing whether or not we'll be involved either in a larger group or recieve a decent bid, is the fact that DR's interests are aligned with shareholders, in that he has spent over £65k of his own cash on shares, and he'll be as anxious as we are to see a decent return on that investment. Not to mention the likes of Unicorn and Artemis, who between them own a pretty sizeable chunk of the company.

In response to a concerned letter that I wrote about a year ago, DR (though not saying much) closed by reminding me that he and other directors had recently purchased shares. Rightly or wrongly, I certainly didn't take that as a negative steer, albeit I appreciate things have moved on since then and not all developments have been positive. But I think it's also telling in retrospect that the closing line of the latest results states that the group continues to "pursue all options to ENHANCE shareholder value", and that statement I think we can safely assume was made quite far down the line in terms of the current merger discussions.

We may of course all get well and truly shafted, but I really can't see it with the information we've been given. If we do get stuffed then I think we've been pretty badly misled and can feel rightly agrieved...not that it'll help us. One one way or another though, I think I'll feel a sense of relieve once we finally know where we stand. It's been a long, long wait.

[edward3] 13/7/2005 09:24

morning all............price aint going to move if there are sellers out there :-(
suprised at the spread at the moment, never seen it as big, .90 bid, .97 offer.

[ed winchester] 13/7/2005 08:12

GM

3 v 1

[knowing] 13/7/2005 08:10

AMSTERDAM (AFX) - ASML Holding NV said it expects a pick-up in orders in the
third quarter, while the chip equipment maker reported a bigger-than-expected
rise in second-quarter results.
The Dutch company posted sales of 763 mln eur, up from 616 mln a year ago
and ahead of market estimates of 670-736 mln.

[ed winchester] 12/7/2005 19:37

the million dollar question cross is will we be part of the larger group going forward.

i agree its very interesting, aside from what we as shareholder will get, what the details of the merger will be and potential business prospects going forward.

I'm hoping that when the deal is announced it will flush out any other bidders, now that would be very exciting.

[crossfirecssf] 12/7/2005 18:57

Thanks Ed....nice find. There's always the possibility of Eurodis merging with a similar sized company and then, somewhere down the line, the enlarged group being bought by the likes of Avnet, Arrow or WPG. There appear to be all sorts of possibilities. If it's Rutronik or ATeG, then that's a possibility. Interesting times ahead!

[ed winchester] 12/7/2005 17:21

with all the talk about consolidation in the sector, and distributors almost desparate to expand via acquisition, one can see where 'spurious' (post no. 8590) is coming from. Others wanting Eurodis will be watching to see what offer is made for Eurodis. So the current offerer will have to produce a knock out price if they dont want others to come into ring, so to speak.

[ed winchester] 12/7/2005 17:16

from tomorrows Electronics Weekly :

Publication:REW1;
Date:Jul 13, 2005;
Section:FRONT PAGE;
Page:3

European distribution business will see further acquisitions, says Avnet

A senior executive has indicated that the European distribution industry is ripe for business consolidations and further acquisitions are likely.

Axel Hartstang, president of Avnet Electronics Marketing, said the European industry is in a period of consolidation and indicated that it was possible that Avnet could make further strategic acquisitions.

"There is a possibility of further acquisitions in Europe. These are more likely to be small strategic acquisitions," Hartstang told EW.


Avnet has no interest in pan-European distributor Eurodis, which is currently in talks with an unnamed buyer. The types of acquisition it is considering could include companies to support and grow specific non-semiconductor businesses such as passive components, electromechancial and optoelectronic systems.

Hartstang has recently created a new European semiconductor distribution business following the acquisition of Memec earlier this year. The new business, called Avnet Memec, will sit along side the distributor's existing European chip businesses, Silica and EBV Elektronik.

When Avnet acquired Memec for $676m in April it took on more than 80 chip franchises. Some of these, including the key Intel franchise, will transfer to Silica and a smaller number to EBV. "Silica will be substantially bigger as a result," said Hartstang.

The bulk of franchises are retained by the Memec division and, according to Hartstang, these can be classified by being the more "specialised franchises".

[realcooltrader] 12/7/2005 15:19

The Bid's dropped:

Bid 0.92p 500k
Offer 1.00p 2.5m