Galliford Try Share Discussion Threads

[dasty1] 10/9/2019 09:17

Roughly speaking, I calculate that gfrd post sale would have a share price of around £1.20 based on gfrd and bovis share price as I type. Gfrd market cap then around £120m, despite a £300m cheque. So, is gfrd construction, debts, risks and prospects worth £1.20 ps? That is the question...

[value hound] 10/9/2019 09:08

Agreed; it would certainly seem wisest to let it all play out as things stand.

[3dwd] 10/9/2019 09:05

Should be 800p plus in my opinion..

[profitaker] 10/9/2019 08:39

Bovis paying £1.075bn for GFRD housing yet the GFRD market cap (now) is still only £790m. Some way to go I think !

[scburbs] 10/9/2019 08:38

+£100m unrelated debt assumption makes £125m higher or c. £1.10 higher per Galliford share.

Transaction value is c. £9.68 per Galliford Share so construction business currently negative >£2/share!

[1nf3rn0] 10/9/2019 08:34

Any guess as to the market cap of the remaining construction business? And what would they do with the £300m? Return most of it to shareholders or go bargain hunting within the construction sector (Kier maybe).

[jaf111] 10/9/2019 08:19

This offer doesn't seem to be much of an improvement on the May offer....£950m all in Bovis paper now £675m Bovis paper + £300m cash.......

[robizm] 10/9/2019 08:17

Surely what is left looks very cheap

[gabsterx] 10/9/2019 07:33

Galliford Try to sell off housing division to Bovis? What would remain?

10 September 2019



For immediate release



Bovis Homes Group PLC and Galliford Try plc



Statement regarding a potential combination between Bovis Homes and Galliford Try's Linden Homes and Partnerships & Regeneration divisions



Galliford Try would be a well-capitalised, standalone construction-focused group





The Boards of Bovis Homes Group PLC ("Bovis Homes") and Galliford Try plc ("Galliford Try") announce that they have re-engaged in preliminary discussions regarding a potential combination (the "Potential Transaction") of Bovis Homes and Galliford Try's Linden Homes and Partnerships & Regeneration divisions (the "Housing Businesses") and have agreed high-level terms upon which the Potential Transaction would be implemented. There remains significant work to be completed before definitive transaction documentation can be agreed, including agreement of detailed commercial terms, completion of due diligence and arranging transaction funding.



The Potential Transaction relates solely to a combination of Bovis Homes and Galliford Try's Housing Businesses and does not relate to a merger with Galliford Try. The Potential Transaction envisages Galliford Try remaining a UK-listed construction-focused group owned entirely by Galliford Try shareholders.





Potential Transaction terms



If the Potential Transaction proceeds, it is expected to value the Housing Businesses at £1.075 billion comprising:



- the issue to Galliford Try shareholders of 0.57406 Bovis Homes shares per Galliford Try share, which would equate to 63,739,385 Bovis Homes shares (in aggregate) valued at £675 million based on Bovis Homes' closing share price on 9 September 2019, being the last business day prior to this announcement; plus



- the payment of £300 million in cash (the "Cash Consideration") to Galliford Try; plus



- the transfer to Bovis Homes of Galliford Try's 10-year debt private placement of £100 million (the "Debt Private Placement").



In addition, Galliford Try's pension schemes would be transferred to Bovis Homes at completion of the Potential Transaction on terms acceptable to the Galliford Try pension schemes' trustees and Bovis Homes.



The Cash Consideration would be subject to customary completion adjustments.

[lord gnome] 10/9/2019 07:33

Should be a good day for shareholders.

[value hound] 10/9/2019 07:28

Well this is a better offer than the last one in May - and is recommended this time around.

[anthonyspencer1] 28/8/2019 17:30

Time to buy

[kneecaps2] 28/8/2019 11:33

I hold these too and I am a buyer and seller and trade them at different levels. For those who like to know!

[denc] 28/8/2019 08:41

I hold these and I am a buyer. For those who like to know.

[lord gnome] 13/8/2019 18:24

Ouch, ouch, ouch. Enough already. Stop it! ;-))

[dr_smith] 13/8/2019 16:52

So it wasn't a falling knife, but a double edged sword. ;-)
No "birdies" have been talking to my knowledge, it looks like 4th hand comment based on smoke to me, so putt it aside, we have a fairway to grow.

[lord gnome] 13/8/2019 16:39

Ha, thanks. Very kind of you to think of me. A good day on the golf course also helps. I hadn't factored another bid into my reckoning. This could get interesting. If it happens, I shall be praising my foresight and timing.

[dr_smith] 13/8/2019 16:34

Lord Gnome.
You were a bit down (financially and emotionally) so I've had a word with the boys in red braces and got them to "up" the share price by 4% for you. ;-)
Dave

[careful] 13/8/2019 15:27

Greg Fitzgerald the former CEO of GFRD, now running Bovis, apparently made a low ball approach to GFRD a few months ago.

This was rebuffed as it undervalued GFRD.

I hope this is not sold on the cheap if it does happen.

[nori_wasabi] 13/8/2019 14:39

At least, it is considered and wanted . It would be very alarming if no one made the move @ the current share price (sub £5.5)

[lancasterbomber] 13/8/2019 13:11

A takeover?

[nori_wasabi] 13/8/2019 10:01

From another chat room - Due Diligence is well underway. Could happen before Brexit

[nori_wasabi] 13/8/2019 08:23

Dividends are based on pre-exceptional profit. For 2019 it is ~184m = > 149m after tax of 19%, div cover of 2, this gives a annual div pot of 74.52 m and a annual div per share of £ 0.67. Paid interim div of £0.23. Therefore, the final div will be ~ 44 pence/ share. Anyone dispute with this forecast ?

[lord gnome] 12/8/2019 18:09

I know, Salpara111, all will be well - but it hurts to get it wrong yet again. I should know better.

[salpara111] 12/8/2019 16:56

Logic suggests that it is great value at the current level but I have been burned one time too many in the last year so I am sitting on my hands for now.
I would rather pay £6 when the trend has reversed than try and catch the bottom.
I still think you will be fine.