Grampian Share Discussion Threads

[wannabee] 12/8/2001 15:17

JRB - well bang goes those simple supply and demand theories! Why on earth do you think any company would want to buy and cancel existing shares if the price didn't rise substantially due to it? How is it a cash return to shareholders if what you say is correct? Net buying of shares causes the price to rise. Net buying on the scale mentioned would cause the price to very rapidly rise, imo, particularly if pre-announced and thus restricted sellers at each rising price.
The scale of the return leads me to believe that simple purchases in the market are not possible, and if indeed a share buyback takes place, it would be via a tender at premiums around those mentioned previously.

I would not yet dismiss the possibiltiy of a special dividend. Although tax inefficient for the majority of private holders (unless in tax free environments), it make sod all difference to institutional holders, who, in turn, give sod all consideration to the tax position of private investors.

[jrb] 12/8/2001 14:48

Don't forget that 'returning cash to shareholders' can (and usually does) simply mean buying shares in the market and at the market price. In itself, and unless very clumsily carried out, this is unlikely to have any noticeable effect on the price of the remaining shares. The company spends £45m on buying in and cancelling £45m-worth of shares. The company now has £45m less cash and the total value of the remaining shares is £45m less than it was, just as you would expect.

[cwa1] 12/8/2001 11:12

FWIW Bell Lawrie White mentioned a possible buyback of "2 for 5 at c. 96.8p".Pity they couldn't have been more specific about the buyback price ;-)
ING Barings suggested a buyback of "50m shares at 90p per share,perhaps".They also expect the buyback to take place by September 2001 at the latest.
Again,fwiw,ING suggest GRMP as a buy and BLW(Co. joint broker)say to buy aggresively up to 102p!
The usual caveat is that we know that brokers are never,ever wrong :-))))
Cheers

[cb7] 12/8/2001 11:00

a dividend is taxable---how can it be tax efficient? The co only said it would look at ways of returning excess capital.....the offer price could be say 90p, so it has an immediate impact on the shareprice, on the downside investors only get a percentage of stock taken off their hands but on the plus-side we get a good price with no tax or dealing costs and the co also takes shares out of issue

[penrynner] 11/8/2001 11:07

I too would prefer a special dividend,which is what i thought I was voting for. On the subject of logistics companies, isn't Wincanton looking rather cheap at the moment.

[goatherd] 11/8/2001 10:59

I would far rather receive a special dividend - every bit as tax efficient as a buy back; we all get to benefit; and the result is more reliable.

[cb7] 11/8/2001 10:21

methinks that a tender offer will take place, for a certain % of stock....its tax efficient and reduces shares in issue

[8 ball] 10/8/2001 23:44

CWA1

Do you think this would give us good value?
Because share buy backs do not always have the desired effect.

[cwa1] 10/8/2001 20:19

8 ball
From everything I have seen a share buvback seems to be the favourite.

[8 ball] 10/8/2001 19:20

I would like to see a special dividend paid.
However we may see a share buy back, with the money from the sale.
Anyone have an opinion on how the money may be returned.

[cwa1] 10/8/2001 16:52

As PS says simply a typical market "nothings happening,so let's go and play elsewhere" type reaction.
Excellent chance to pick up some cheap stock before the announcement which,I feel,will pay a handsome dividend.Not long to wait either if the board are to be believed.

[peter shone] 10/8/2001 10:10

Music will start again when the board announce details of the shareholder return. Typical boredom and impatience slide.

[master rsi] 10/8/2001 09:54

CWA1

Since my last posting, the shares gone nowhere but down, the fun is over for now.

Master RSI - 31 Jul'01 - 09:55 - 7 of 14 edit

The shares reach the high last Friday for the moment been, the slow stochastic was at its high then, and since is on the way down.

[tender] 06/8/2001 17:54

My cheque came through this morning, very nice, I hold my certificates though.
Regards Maureen

[cwa1] 06/8/2001 16:33

I'm a little confused by the two biggish trades today.Has anybody got an opinion on whether they were buy or sell?Price drop of .5p so far.
100,000@80p
&nearly 80,000@80p
Help!

[goatherd] 06/8/2001 15:40

I trade with Xest. They only use Crest Sponsored Account.
My cheque arrived in the post this morning.
And I get all the annual returns etc, direct, as I do shareholders perks.

[cwa1] 06/8/2001 15:37

G
I'm with idealing and don't see it either,if paid by cheque then it may take a day or two to come through.Not time to panic just yet!
CWA1

[greatwhitehope] 06/8/2001 13:27

CWA1, I thought so. I am with ETrade. Should the money be in now? I dont see it.

[cwa1] 06/8/2001 13:06

Interesting to see nearly 80k just being bought without any price movement.Maybe there is a seller as well still to be announced?If not that should certainly tighten the market up.
Greatwhitehope,
Yes,this is the pay date(not xd)for the dividend,and very nice it is too!

[greatwhitehope] 06/8/2001 11:24

Isn't a dividend due to be paid today?

[master rsi] 31/7/2001 09:55

CWA1

Too many lines on the thread, one wants to read it in one go, no to scroll down.
----------
The shares reach the high last Friday for the moment been, the slow stochastic was at its high then, and since is on the way down.

Peter shone

Trades for last Friday Buys 60th Sells 32th if that is not presure, considering that the market size is 10th. The shares keept the same price becos there are 5 MM and all were the same price, and they were short for the days before, but as soon as Monday came and it was a market size sell (10th) they mark it down, and more to come from now on, as MMs do not want to hold shares in this market.

It takes 3 market size buy to push the price up, but only one market size sell to mark it down.

[cwa1] 30/7/2001 17:04

And an 86k at 80.5 delayed.Presumably a sell as well?

[cwa1] 30/7/2001 16:43

Hmmm.There goes the 100,000 T trade at 79p as Peter predicted.More to come or is that the seller finished?

[cwa1] 30/7/2001 11:32

Hi Peter
Think you are correct that there is further to go in this one.Do you have a target price/timescale in mind?

[peter shone] 30/7/2001 10:42

Hmm...

I would have had Friday as neutral rather than sell heavy, particularly given that the price remained higher than the previous day.

If you really think the 10,000 sell sent the price down then you really need to do some more homework. Good grief.

There are two possiblilities, a large protected transaction that will be declared later or some market maker manipulation to try and induce some selling after last weeks buying spree.

Know soon enough either way, the T will be declared later on today, or if there is any buying at all then the price will come back up pretty quickly. Either way don't really care, got a couple of months to run in this one at least.