Home Reit Share Discussion Threads

[leadersoffice] 13/3/2016 01:10

Now where talking... Sainsbury's considers raising its offer to £1.85Sainsbury's is set to raise its Argos bid to £1.5bn via

[tradesmarter] 11/3/2016 21:54

Agreed this may play out for a few months yet ,and my expectation is sbry to come back with offer above 184.....anything above 180 will be superb for me....so for now 175 to 185 do-able and possibly nearer 200. With sbry rising the past few weeks even their initial offer now worth around 170...for now 20p upside vs say 5-10p downside, so very much still a strong hold and buy on dips to 175.....with sbry due to update market ahead of deadline this could still have more turns yet....would be "historic" if a third party still emerged.....personally i was hoping to see 230 in the next few years and was in "the long game"......was tempted to sell the other week, but risk/reward still favours holding on for now. Steinhoff have been after home for a while so i reckon they are already prepared to go to 2 quid myself.....good place to be imvho

[spob] 11/3/2016 14:42

Sainsbury can submit a formal offer on the same terms as before

53 day extension then starts

if steinhoff then makes a firm 175p offer sainsburys can still come back with a higher offer

So there is no rush whatsoever for either bidder to submit a firm offer higher than they have already proposed at this stage

[imperial3] 11/3/2016 14:18

Well Steinhoff have far more financial firepower than Sainsbury.I cannot believe at this stage,that Sainsbury's will just walk away.I see them raising their offer,with a take it or leave it.

[haywards26] 11/3/2016 13:56

I think Steinhoff will end up with the deal..they do not have any of the handcuffs that Sainsbury's do.

[a0148009] 11/3/2016 13:23

Both bidders are very keen buyers. This is a tough decision for Sainsbury's they have to convince the institutional shareholders bearing in mind some have warned them not to overpay by issuing more shares.Steinhoff are four times the size of SBRY and are not under the same pressure able to make an all cash offer.

AO

[kazoom] 11/3/2016 13:01

imperial3
11 Mar'16 - 11:52 - 3762 of 3765 0 0

No news yet of when the 25p per share will be paid out,as a result of the Homebase sale?


Unless you have a cashflow issue the 25p dividend it totally irelevant. - They pay out the 25p, the shareprice falls by 25p - zero sum game!

[haywards26] 11/3/2016 12:30

Sure it is like a game of poker...why show your opponents your cards before you need to. I personally think both will make offers, but that Sainsbury's may well get outgunned by the considerably larger opponent.

[imperial3] 11/3/2016 12:24

It means this process is going to drag on and on creating uncertainty.

[haywards26] 11/3/2016 12:19

Why would both bidders not just wait until closer to the 18th? I would be surprised to see any official bid this week.

[imperial3] 11/3/2016 11:52

No news yet of when the 25p per share will be paid out,as a result of the Homebase sale?

[a0148009] 11/3/2016 11:10

Who is going to bid first strategy will be intriguing.

Extract from todays DT.

"The rival groups have been handed a deadline of March 18 to submit final bids to the Takeover Panel, although a loophole means the first to submit will trigger an automatic 53 day extension for the rival suitor."

AO

[leadersoffice] 11/3/2016 08:17

18th March unless one of them applies for another extension.My gut feeling... Sainsbury's may strike after markets close today or first thing Monday morning. Keep an eye on sky news. I'm sure it was them that first broke the story

[oldvic] 11/3/2016 08:10

isnt it deadline monday or tuesday ?

[leadersoffice] 10/3/2016 15:48

Suitors told by Argos boss "Get a move on".

[amer] 10/3/2016 09:07

LONDON (Alliance News) - Home Retail Group PLC on Thursday affirmed its profit expectations for its full financial year as like-for-like sales in its Argos catalogue retail business declined, though that decline slowed in the final weeks of the year.

Home Retail, which sold its Homebase DIY unit recently and which is subject to competing bids from UK grocer J Sainsbury PLC and South African retail group Steinhoff International Holdings NV, said like-for-like sales at Argos fell 1.1% year-on-year in the eight weeks to February 27.

The final eight-week performance marked an improvement over the second half as a whole. Like-for-like sales were down 2.0% in the full second half and down 2.6% for the full year ended February 27.

Total sales for Argos rose 1.9% in the eight-week period year-on-year, up to GBP515.0 million, driven mainly by an increase in net new space, including its digital concessions and collection points.
Non-electrical sales grew in the period, driven by furniture and sporting goods, partially offset by a decline in jewellery sales.

Homebase, which Home Retail has sold to Australian conglomerate Wesfarmers Ltd, saw like-for-like sales grow 3.3% in the eight weeks, 4.5% in the entire second half and 5.2% in the full year.

The group provided no further detail on the competing offers made for the company by Sainsbury's and Steinhoff. Sainsbury's has until March 18 to make a firm offer for Home Retail or walk away.

The company affirmed its pretax profit should hit market expectations for the full year, but said its cash balance will be much stronger than anticipated, due to the proceeds from the Homebase sale.

By Sam Unsted; [e-mail]; @SamUAtAlliance

Copyright 2016 Alliance News Limited. All Rights Reserved.

[rolo7] 08/3/2016 14:13

This could fall if takeover does not go through then 25p divi would be a steal?

[spob] 08/3/2016 14:10

Shareholders will receive payments as set out below (together, the ‘‘Proposed Capital Returns’’;) per Share, payable before completion of the possible offer for the Company, of:

• approximately 25 pence (the ‘‘Homebase Capital Return’’); and
• 2.8 pence in lieu of a final dividend in respect of the financial year ending on 27 February 2016 (the ‘‘Additional Capital Return’’);

The Homebase Capital Return reflects the intended £200 million Return of Proceeds.

The Company intends to pay the Homebase Capital Return and the Additional Capital Return (or a final dividend) whether or not the possible offer is made or completed.

[rolo7] 08/3/2016 14:03

10th march trading statement for q4

[spob] 08/3/2016 13:59

Well I may be wrong about the date

but I know for certain that homebase money is to be paid out regardless of any takeover

[leadersoffice] 08/3/2016 13:31

No date has been given for the return of cash from the sale of Homebase.
Although the sale was completed on 27th Feb, we are waiting for further details on this.

[spob] 08/3/2016 13:21

Homebase money is to be paid regardless of the takeover going ahead

and i think a date has been given

[leadersoffice] 08/3/2016 13:18

No final date has been given. I would think it will be included if and when the takeover goes ahead. If takeover collapses, probably include it with the final divi date. We may get some indication this Thursday as Home Retail Group are releasing a trading statement to cover the last eight weeks trading of the current financial year.

[oldvic] 08/3/2016 13:16

yes
you have to get in the queue
look up on the screen and wait for ticket number to appear at collection point