Ishs $ Sd Discussion Threads

[envirovision] 20/7/2010 13:51

A quarterly poll showed output rose at its fastest pace in 15-years in the three months to July, suggesting manufacturing will make a strong contribution to second quarter GDP growth

[red army] 17/7/2010 19:01

I want them to prove that they actively sought other prices and that thay acted in the best interest of the shareholders and not just thmeselves.

[stewjames] 17/7/2010 14:58

envirovision, doublecheck with your broker, but they should be able to accept on your behalf and handle any future distribution automatically. From past experience, it might be necessary to chase them up when/if an extra distribution is made.

[bori5] 17/7/2010 10:07

O/T check out IRG. DYOR & GL

[bori5] 17/7/2010 10:07

O/T check out IRG. DYOR & GL

[envirovision] 17/7/2010 09:08

Can someone clarify for me. By the sound of it I would prefer my 2.6p plus possible 0.8p (or less).

My shares are currently in a three nominee accounts. What have to do to guarentee i'm entitled to this?

[stewjames] 16/7/2010 23:55

eater, if it's any consolation, the management have done a pretty horrific job with this company so far and have also made very poor share purchase decisions at much higher prices, so it's not like they're stealing a great company for a song. There's every chance they'll be equally "competent" once it delists under their control.

[eater24] 16/7/2010 22:22

thank you vactel , so it becomes a dark risky punt , was prepared to hold for a long time , no doubt this will all go through , the company will then go from strength to strength , but then we will never know , management must be confident ,why would they buy, a rip off

[vactel] 16/7/2010 22:08

Eater24,
If FSU get a further 12% acceptances over and above existing undertakings then it looks like the offer will go ahead. This will then lead to the shares being delisted from AIM and therefore there will be no market makers (currently WINS and CENKOS) to deal shares through and so SDI shares will be difficult to sell and to establish a value for. Also FSU would have a controlling stake in SDI Limited without the disclosure requirements of AIM listing so independant shareholders would be in the dark as to what was going on most of the time. If FSU eventually sell SDI Limited in a trade sale then all SDI shareholders would receive the same offer - but it may take several years before and if that were to happen. This is why this offer is a stitch up for the independant shareholders giving most little choice but to accept this derisory deal.

[eater24] 16/7/2010 21:53

hi vactel , without sounding like a complete idiot , as i have not encountered this situation before , if i were not to accept the offer do you have any idea what situation that would leave me , and if you hold would you consider this option , should this proceed , sorry bit in the dark here

[vactel] 16/7/2010 21:49

Stew

Sorry yes its 75% but as you say not too much of a stretch from 63.7% to get there.

I looked up the rule below:

Cancellation
41. An AIM company which wishes the Exchange to cancel admission of its AIM securities
must notify such intended cancellation and must separately inform the Exchange of its
preferred cancellation date at least twenty business days prior to such date and save
where the Exchange otherwise agrees, the cancellation shall be conditional upon the
consent of not less than 75% of votes cast by its shareholders given in a general meeting.
The Exchange will cancel the admission of AIM securities where these have been
suspended from trading for six months.
Cancellations are effected by a dealing notice.

[stewjames] 16/7/2010 21:39

I think 75% is required for a delisting. But that looks likely to be reached as well.

[vactel] 16/7/2010 21:10

This is taken from the full offer RNS:

"(iii) notwithstanding the terms of this Condition, FSU Investments has committed to declare the Offer unconditional as to acceptances if, taking account of the irrevocable undertakings received from SDI Shareholders not to accept the Offer but to vote in favour of resolutions to cancel the admission of SDI Shares to trading on AIM and to re-register SDI as a private company, FSU Investments has received sufficient acceptances to procure the passing of such resolutions."

My understanding is that greater than 50% votes at a shareholders' GM are required to authorise an AIM listing cancellation and so it appears that although offer acceptances are currently less than 50%, they have undertakings of about 63.7% to vote in favour of the resolution.

So shortly after the offer is unconditional we will have a private delisted SDI Limited owned by FSU and shareholders who have not accepted the offer. It looks pretty stitched up to me.

[teelo3] 16/7/2010 13:02

Might contact their Nomad and ask the question... walking a very fine line at the moment particularly regarding the treatment of smaller shareholders in the eyes of the law... If I wasn't invested in this I would almost be impressed by how they have manipulated results to ensure they get control however I don't think it is legal what they have done...

[stewjames] 16/7/2010 12:41

They appear to have quite a bit of scope to move the goalposts with respect to the contingent consideration anyway.

Interesting to see more than 20% rejecting the offer. What's the threshhold for "unconditional"?

[envirovision] 16/7/2010 12:34

They are offering to give you some of the money which you already own anyway back, providing you give the offer your blessing.

However if the offer goes ahead anyway without your blessing you wont be entitled to it and it gets given to someone else.

To be honest I've never seen anything like it either, in my 25 years of owning shares and you're probably right, if it went to court it would probably be deemed illegal.

[stewjames] 16/7/2010 12:25

I have never seen terms like these. I'm surprised this "contingent consideration" concept is legal.

[papy02] 16/7/2010 08:04

Just tried to buy £2k's worth through Selftrade (by phone, as online not working - the only MM not publishing an online size) - I was hoping for 2.3p but MM wanted 3p(!) so no deal.

BTW, Selftrade allow conversion from Nominal to Certificated - takes 7-10 wkg days and costs £10.

[envirovision] 16/7/2010 06:37

2.6p + Contingent Consideration of 0.72p (3.32p)

I assume the Contingent Consideration is not available to nominee account holders since they are not going to be asked for their vote.

[masurenguy] 13/7/2010 07:56

Just revisted this thread for the first time this year. I'm sorry to say that I did warn people last summer. According to goodwill (see post 619 below) at that time the CEO "thought that the current share price of 11/12p is ridiculous and thats why all the staff bought a large holding last year at 11p". Wonder what they now think about a share price of just 2p and a possible MBO at around 2.6% !

Masurenguy - 20 Aug'09 - 576: Be careful - this is being ramped by goodwill3/2jupster on various threads.

Loverat - 20 Aug'09 - 592: Masurenguy has the right to question the post. Too many blatant lies and deception being posted on these boards lately.

goodwill3 - 20 Aug'09 - 619: I CALLED gordon smith the ceo today, (he recently bought 500k shares and has a very large holding). I asked him how things were and said that the company is very well positioned for growth and retailers are now starting to speak to them again.......He stated that last year was very tough and said the worst is behind for them........The most interesting thing is he himself said that he thinks the current share price of 11/12p is ridiculous and thats why all the staff bought a large holding last year at 11p. He noted that all the staff are very motivated and have great incentives in terms of their private share holdings. My orignal investment was till xmas but i am now holding on for a 10 bagger here possibly in the next 12/18 months.

RNS Number : 1988I
SDI Group Plc
08 March 2010
Although encouraged by its current pipeline of activity, the Group does not
expect to see a substantial improvement in market conditions in the next trading year. Nevertheless, the actions which have been and are being taken will allow the Group to enter the new financial year with a substantially reduced cost base and the Group is well positioned to benefit from an improvement in market conditions when they occur.

RNS Number : 6198L
SDI Group Plc
10 May 2010
The Independent Directors note that trading conditions over the past two years
have proven to be very difficult and cash resources remain constrained.

RNS Number : 6250L
SDI Group Plc
10 May 2010
The Independent Directors of SDI, being Mark McMenemy, Steve Butler and Richard Arkle, announce that the Company has received a preliminary approach from a consortium comprising a number of the existing management team of the Company and Gordon Smith, Chief Executive, that may or may not lead to an offer being made for the entire issued share capital of the Company. The approach is at a price of 2.6 pence per share.

[moathunter] 30/6/2010 09:42

StewJames- Agree with your post #2040 on Rainmaker at VAL:


That poor sod Rainmaker (a.k.a. spob) thinks value investing is about buying something for 2p and owning it at 1p a year later, claiming that the rise to 12p during the year made it a good investment.
That is 'speculation' and Ben Graham would be turning in his grave!
Rainmaker's denial of any mistake will stunt his future returns (I wallow in my past investment errors).

The one laudible action spob Rainmaker did was to buy in the market trough; buying at the peak of market fear was a great move.
But *what he actually bought* was amazingly poor. When great investments lay all around him, he selected two companies (SDIG and UNIQ) that must be in the bottom decile in terms of total shareholder returns (i.e. share price growth+dividends).

Fantastic market timing, terrible stockpicking skills.

[ammons] 24/6/2010 21:30

Yawn.

Terse enuf?