Imperial Chemical Industries Share Discussion Threads

[miata] 25/1/2007 08:35

Analysts at Deutsche Bank downgrade ICI from "buy" to "hold." The target price is set to 475p. In a research note published yesterday, the analysts mention that the downgrade in rating is based on valuation. ICI's current share price already reflects the company's operational turnaround potential, the analysts say. According to Deutsche Bank, the upside to ICI's share price depends on bid speculation and the company is not seen as an attractive or feasible takeover target for private equity.

[whatwoman] 25/1/2007 08:30

We are in trouble with this one.
Just shows how quickly things can change. The market and us in particular should not have expected only AKZO to buy ICI.

Never mind, things will change again soon.

[chemical_ali] 25/1/2007 08:26

dont think so

akzo have announced plans to go ahead with orgagnon IPO. i guess private equity havent offered them enough. so they spin off say 20% to shareholders to get a market valuation. hence telling PE to come up with a better offer

[chicken] 25/1/2007 08:12

looks like plan A has gone a little pear shaped!

[whatwoman] 24/1/2007 12:13

have just topped up a tiny bit more.

[chicken] 24/1/2007 11:38

hmmm could see some upside tomorrow when the egm goes through, i will wait.

[chemical_ali] 24/1/2007 11:24

apparently several brokers have been talking down takeover. and a bit of impatience over organon news. but what will happen to the share price when that is resolved, especially if its sold for cash? would Akzo really spend the money elsewhere?

ICI - quest EGM tomorrow Jan 25

ICI results Feb 8

Akzo results Feb 14

[chemical_ali] 24/1/2007 10:40

all a gamble isnt it. dont forget this quote-

"I can imagine Akzo now would like to seize the moment to buy ICI before it gets too expensive. An outright sale of Organon would be very welcome," said Van Doesburg.

[chicken] 24/1/2007 10:31

wher do you see this drifting down to? thinking about selling and coming back later.

[chemical_ali] 24/1/2007 08:23

might be too late (to get in) by then :)

[aussiedonnie] 23/1/2007 19:47

You guys need to come back in late feb and you will smile . : )

[whatwoman] 23/1/2007 08:35

My opportunity to top up.

[blue31] 23/1/2007 08:21

downgrade from big bank

[chicken] 23/1/2007 08:09

Why the big pull back? any news??

[chemical_ali] 22/1/2007 11:08

AFX: Sticking with M&A, Shares in ICI extended recent gains midmorning amid
ongoing bid speculation, which led Goldman Sachs to lift its price target to 500 pence. ICI's shares were 5-1/2 pence ahead at 484-1/2.
In a research note published this morning, Goldman Sachs said after the sale of Quest and Uniqema in 2006, ICI is now a more focused company, with a stronger balance sheet, less risk regarding legacy liabilities and a reduced pension deficit.

[chemical_ali] 20/1/2007 12:22

yes, a nice buzz from averaging up.

everything looks set in place. quest EGM next week, ICI results Feb 8, Akzo results Feb 15. awaiting developments on organon disposal.


useful read Akzo strategy, especially coatings-



Our Coatings business is the world leader. It embraces most of the markets in both consumer and industrial applications for paints and coatings.

We are focusing on growth in the emerging markets of Asia, Eastern and Central Europe, and South and Central America through autonomous development and acquisitions. We will also continue to enhance our presence in the mature markets through selected acquisitions.

Our ambition is to remain the biggest coatings company in the world and also a leader in all our product markets and the key geographic regions. We intend to participate in the consolidation of the coatings industry, which we believe is inevitable as our supplier and customer bases strengthen globally.

Our global scale allows us to further develop our leading positions in technology. We are progressively increasing our investments in R&D towards 3.5% of revenues. Our increasing innovation efforts will allow better differentiation of our activities in the highly competitive markets in which we operate. We are also using our scale in purchasing of raw materials to secure our margins. Our medium-term financial target is 25% ROI.

[whatwoman] 20/1/2007 12:04

Unfortunately I only increased my holding by 1500 on Friday.
If it hovers at these prices I will increase it by another 6500 this coming week.
Fingers crossed, all will go well.

All the best to you guys and gals.

[chemical_ali] 20/1/2007 11:50

Market Report: Akzo Nobel heads the quest to take over ICI
By Michael Jivkov

Published: 20 January 2007
Since ICI sold its Quest flavours and fragrances business in November, the group has constantly been talked of as a takeover candidate, with Akzo Nobel seen as the most likely buyer. Yesterday, the stockbroker ING put out a piece of research arguing that such an outcome is indeed very much likely, although it warned that it is difficult to say when exactly it might happen.

The broker said: "Much of the speculation surrounding a bid for ICI centres on Akzo Nobel. In many ways, the pieces of the jigsaw fit together very well and the concept is certainly plausible in our view."

The Dutch group already has the largest coatings business globally and by acquiring ICI's paint operation it would have an unparalleled position. Although this combination would face some anti-trust issues, especially in the UK, ING believes that the deal would be approved by the relevant competition authorities. According to the broker's calculations, Akzo Nobel could pay up to 566p a share for ICI.

ING also suggested that a break-up bid for ICI from a private equity consortium is a possibility, but much less likely than a move on the group by Akzo Nobel. Financial buyers could be attracted by the £300m ICI has on its balance sheet after debt and pension liabilities are stripped out and the fact that there are few synergies between some of the group's divisions. ICI shares finished 1p higher at 479p.

[miata] 20/1/2007 11:33

ING also lifted its price target to 585p from 375p, arguing that takeover talk will underpin the share price even if no bid is forthcoming.

[whatwoman] 19/1/2007 18:41

ING lifted its rating on ICI not only because of ICI's dominant position in its markets, but also because ING believes a takeover is credible.

[whatwoman] 19/1/2007 17:01

Let's hope for some more good news over the weekend and who knows it may fly soon.

[miata] 19/1/2007 12:56

ING lifted its rating on ICI to 'buy' from 'hold'.

[chicken] 19/1/2007 12:32

Nice one thanks