Harvey Nash Grp Share Discussion Threads

[sophia1982] 31/5/2017 09:24

ES and Thorpematt,

I don't have too much time to read the code and I know it is mandatory.
Do you know anything detailed about the time between the passing of the 30% and the publication of the document?

[thorpematt] 30/5/2017 21:29

Section F rule 9 i think:-

PDF of the code:-



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Nice chart BTW

[edmundshaw] 30/5/2017 18:31

abcurtis, it is mandatory for a private shareholder to make a bid for a company if his holding (together with any concert parties) breaches the ceiling of 30% of the issued voting shares.

[abcurtis] 30/5/2017 17:08

I don't think having 30% means you are an acquirer. I think you can be a significant shareholder and not be an acquirer, so I don't think there is a timelimit. If you announce your intention to acquire the company, then there are deadlines. Google LSE takeover rules

[sophia1982] 30/5/2017 11:43

If they breach 30% do you know what the deadline is to submit an offer?
I remember 30 days but I am not sure

[speedsgh] 26/5/2017 20:35

DBAY are certainly building their position relatively quickly...

3/3 - 8,694,742 shares (11.84%)
25/4 - 13,104,684 shares (17.84%)
8/5 - 16,471,823 shares (22.43%)
24/5 - 19,171,823 shares (26.10%)

[hpcg] 26/5/2017 19:34

As a very recent re-holder I would not be averse to 100p, which is approx my target. Plus the upcomming dividend of course.

[gleach23] 26/5/2017 17:53

Another thing is that the RNS states that the transaction taking them over 26% was on 24th May so presumably today's 1.7m is not included, unless it has been reported late?

If the 1.7m wasn't reported late and if it is DBAY again then I think that would take them to around 28.4%.

[gleach23] 26/5/2017 17:48

The AGM and the EGM (being held to support the move to AIM) are scheduled for 29th June. At the current rate DBAY will have breached 30% by then!

[abcurtis] 26/5/2017 17:37

The takeover rules say with 30% or more of the voting rights you have effective control and the acquirer must make a cash offer to all other shareholders at the highest price paid in the last 12 months before offer was announced. So if the other major shareholders feel HVN is worth more than the 78ish/share that it appears DBAY have got, then I suggest they should start protecting their position and bid the price up - toot sweet

[hpcg] 26/5/2017 17:04

And there it is, after hours RNS, DBAY over 26%.

[hpcg] 26/5/2017 16:47

Encouraging strength none the less.

[mongrels3] 26/5/2017 12:45

Surprising that it hasn't moved a little higher just on speculation of DBAY's intentions.

[gleach23] 26/5/2017 11:24

1.75m @ 77.5 just gone through. Was a 25k after hours @ 77.5 last night too...

[jon123] 25/5/2017 10:04

I'm no chartist but looks to me like a bowl forming if so would be interesting if 80p level is broken

[dangersimpson2] 25/5/2017 09:31

Yeah will be interesting if it is DBAY since it shows they are starting to chase the price a bit rather than waiting for sellers to come to them.

[gleach23] 24/5/2017 17:05

Nice 1m trade @ 77.5 today to potentially keep up the recent DBAY buying. Could be close to tackling 80p soon imo.

[gleach23] 18/5/2017 16:05

I see NT has sold this morning per his update this afternoon. That accounts for this afternoon's flurry of small sells as his followers blindly follow him...

[thorpematt] 12/5/2017 15:35

Increasingly tidy looking chart here.

[dangersimpson2] 11/5/2017 16:52

You have to be careful about direct comparison of margins since the different companies have different mix of permanent, contract & outsource revenue. Companies that most do permanent recruitment tend to have higher margins and therefore ratings. I'm not sure this is totally logical because one of the benefits of HVN is the balanced mix of the three revenue streams. HVN has always traded steadily in different market conditions due to this mix where as a high margin permanent recruiter will face losses in a recession.

I view HVN a bit like an option - if someone like DBAY can come in and significantly improve margins then the share price will take off. If they muddle through as before the stability of their three income streams will provide downside protection, the share price won't do much but you get the income to re-invest elsewhere.

[abcurtis] 11/5/2017 15:26

Compare PAT/revenue for HVN 6/800 0.75% to comparison companies like Hays 121/4231 2.8% or Empresaria 4.4/270 1.6% or Robert Walters 20/998 2% not difficult for DBAY to believe they can increase value here

[dangersimpson2] 11/5/2017 13:25

Part of the problem is that while revenue has been growing well and gross margins have remained steady (not high but steady, and the nature of the contract/outsource business means that a lot of the revenue is flowing straight through the company so they will never be high) the SG&A has gone up at the same rate as the revenue. The returns appear to be going primarily to employees not shareholders.

While this is a global business with £800m revenue it is still a £50m market cap small cap with only £6m PAT. In the context of this the c£1.5m board costs are high. For example if the board cost half of this the PAT would be 15% higher. And current directors hold little equity in the company (I think in all cases their annual remuneration is higher than the current value of their shareholding) to align their interests.

It's not hard to make the case that DBAY shaking things up through either a board seat or an offer for the whole company could add value to all shareholders.

[abcurtis] 11/5/2017 11:27

I think DBAY are a bit of a baby Berkshire. I think we will see a new director coming who will improve the margins/create more value in HVN. They could then take time to pick up a larger %, maybe bigger holders want to sell because of the AIM move. Once on AIM is it easier to delist than if on the main market? They must be seeing the opportunity to improve HVN and then taking more benefits for their efforts. The key words here are 'I think'

[dangersimpson2] 11/5/2017 09:45

Maybe Hargreave Hale are just hedging their bets. They could have a target price to sell but with the current weak market pricing for recruiters don't see it trading at that level any time soon. If they sell 1/3 to DBAY and if it encourages DBAY to make an offer then they get a better volume adjusted price overall - hence not selling the whole lot to DBAY. If DBAY stop buying, don't make an offer and the price drops back with market weakness then HH have locked in at least some of the recent gains.