Kentz Share Discussion Threads

[haywards26] 12/9/2013 21:06

Pyemckay, we all choose when to buy and sell etc. But in my view you took a gamble selling and for me investing is about backing a company's fundamentals which do not change with the daily share price movements. You could easily have lost out had an Amec been confirmed. This is not my investing style as buying and selling frequently equals transactional and tax costs (i.e dealing costs and stamp duty) whilst also becoming a gamble and increasing your risk.

I am happy to see the value out here over the coming months and years through the continuing growth in additional to bolt on earnings enhancing acquisitions.

[spob] 12/9/2013 15:45

I have set a low ball limit order to double my holding

not really expecting it to hit

but i will be very happy if it does

[spob] 12/9/2013 15:38

pyemckay

you do have a decision to make

you have to decide when to buy them back

and you may end up watching this rise and rise and rise and then never buy them back

LOL

[spob] 12/9/2013 15:35

MW have until sept 16 to make a firm offer

although i'm not expecting them to make one that the board would rightly consider as anything close to fair value

[pyemckay] 12/9/2013 15:28

haywards, Im not a trader. Im grateful of the 20% more shares I will have when i buy back in.

Its a nice company that will do well in the long run.

[sheyac] 12/9/2013 14:46

Also does this mean that M + W will also no longer confirm a bid? As far as i can tell they may still make an offer which may be higher than amec's, or announce that they too will not be making an offer.

[haywards26] 12/9/2013 13:32

I am not sure why it is unlucky for holders! Traders yes. But any long term investors saw the potential offer as too low, so today's annoucement is good news and will allow shareholders to reap futher value over the coming months and years.

[wipo1] 12/9/2013 13:28

well done pyemckay, I sold three lots at 587,576 and 572. the profit was far too tempting my average price was 400p, best not getting too greedy - a profit is never a profit until its banked.

[pyemckay] 12/9/2013 13:24

unlucky holders! Im glad I sold at the top on the first day. I can now buy 20% more shares now although will wait for the dust to settle.

If anyone is interested I recently read that more takeovers fail than go through. I dont get greedy now and I play the percentages so i sell if the price gets marked up near to the initial bid. I will lose the odd one to a bidding war but at least I dont have a decision to make as I sell.
This has worked very well for me over the years.
good luck all.

[wipo1] 12/9/2013 13:12

I am tempted to buy back in now.

[haywards26] 12/9/2013 13:09

Hopefully now the management of Kentz can concentrate on the ongoing growth of Kentz and completing one or two acquisitions that they have themselves been looking at out of existing cash. This will be more efficient than cash sat in the bank earning very little.

[sheyac] 12/9/2013 12:21

It appears Amec's shareholders are happy with the decision.

Any ideas where else Amec might be looking for an acquisition?

[alphahunter] 12/9/2013 10:31

Oil service companies have been warning left right and center and the sector has derated over the last two years, in other words their PEs have contracted by 10-15% while the rest of the market has gone up by 20%. I see this as a 30%-35% safety net.

On Kentz, I halved my position at the 560p level, and kept the other half as I found the interim results rather promising. Still Long Kentz, Short Compass.

[hermana3] 12/9/2013 10:28

Will the other proposal be improved?

[minimal] 12/9/2013 10:28

I sold at 530, but will be back in soon! Thanks Amec.

[davr0s] 12/9/2013 10:19

I think hindsight on recent price action is all well and good but you could have easily read it both ways. There were two sudden tree shakes for this yesterday so someone was still accumulating....Whilst I never like to have a 10% drop on any of my shares this is holding remarkably well and testing 500 again. They (AMEC) have botched this by effectively making their first offer their final offer but it has done this share a favour and let's not forget there was wider interest and AMEC has the right to renter if other bids happen. I top sliced on the initial bid but happy to keep holding the rest... Suspect there are a few more twists and turns to come here

[steeplejack] 12/9/2013 09:40

I'd expect the FT to stress the Kentz fundamentals.Afterall,they commented that holders should hang in for a higher offer when AMEC came on the scene.

[a0148009] 12/9/2013 09:30

leelike

Amongst other things if a third party bids then AMEC could make an offer.

You can check Rule 2.8 takeover code note 2 on the Takeover Panel website.




AO

[steeplejack] 12/9/2013 09:26

Rule 2.8 allows AMEC to return to the fray if a third party comes on the scene in the next six months.Having NOT made a bid,AMEC is off limits for six months unless someone else bids.Thats my understanding.

[leelike] 12/9/2013 09:20

Hmmm, I admit I'm not very well versed in such statements or rule 2.8 but it seems they're keeping the option open for 6 months, perhaps when all other cards are on the table?

[jeffian] 12/9/2013 09:20

I must say, steeplejack, that I agreed with you. It doesn't seem like rocket science to draw the conclusion that if the shares trade below the bid price, the market isn't 'expecting' much, or any, competition whereas a price above the bid signals the 'expectation' of a battle. What's to argue about?

[steeplejack] 12/9/2013 09:12

No,I don't buy stocks on the basis that the company might attract a bid.I bought this stock because it looks good value on fundamentals,you know the sort of analysis that goes to make up the greater body of " intelligence" employed by the market to afford a rating.Or simply put,Kentz looks cheap and Amec agrees.