Mediwatch Share Discussion Threads

[troutisout] 16/11/2013 01:26

Hi Barry you are up very late,
My comment wasn't so much about recent buying but the fact the share price has been around 2.5p for the last 2 years and yet some people will say they want 15p for a buyout.
Unfortunately the disconnect between what people would like and what they were prepared to support has been there for too long.

I do believe there is likely to be an offer, but I now think it might not taste so sweet for many.

Trout.

[barrywhit] 16/11/2013 01:22

I would imagine a lot of investors were put off buying after the announcement at 4p in case an offer didn't materialize and it went straight back down to pre-offer levels......so catch 22....some may buy Monday as it looks like there probably will be some sort of offer made, else why the extension...GLA

PS. I see the number of new visitors doubled after the announcement, a few may see some value on Monday, although that won't affect Laborie's offer price....

[troutisout] 16/11/2013 01:13

daniel,
you do know that the share price has sat at around 2.5p for the last two years, did you just sit back and say that should be 15p or did you buy the 'apparent bargain'?

Your 'apparent' valuation is all well and good, but if you aren't prepared to back it, why should someone else?

Trout.

[troutisout] 15/11/2013 18:30

I'd be very happy with 10p.

That would be a £14m valuation.

You certainly wouldn't get that from a current PE ratio.

However MDW has over £10m revenues and there are several things Laborie will be able to strip out to increase profits and Mediwatch also has products that will enhance and expand Laborie's offering to the sector.
Recently the Sunday Times quoted the cost of an AIM listing as £300k, the Directors costs were £370k, Laborie already have sales staff.
Mediwatch has debts but also tax losses that would go a long way to cover those, it also makes £4m gross profit on it's revenues, so Laborie could really make some good profits from integrating MDW.

Plus it increases their product range, customer base and takes out another competitor in their marketplace.

10p would be great, will they go for that though?

DYOR,

Trout.

[totally banjo] 15/11/2013 17:57

Date : 15/11/2013 @ 16:51

Announcement by the Board of Mediwatch plc ("Mediwatch")

15 November 2013

Extension of deadline under Rule 2.6(c) of the Code

In accordance with Rule 2.6(a) of the Code, Laborie was required, by not later than 5.00 p.m. on 15 November 2013, to either announce a firm intention to make an offer for Mediwatch in accordance with Rule 2.7 of the Code or announce it does not intend to make an offer, unless the Takeover Panel (the "Panel") consented to an extension of the deadline. The Panel has consented to an extension of this deadline up to 5.00 p.m. on 18 November 2013, to enable the parties to conclude their on-going discussions regarding a possible offer for Mediwatch. The revised deadline will only be extended, if requested, with the consent of the Panel in accordance with Rule 2.6(c) of the Code.

Discussions are at an advanced stage but there is no certainty that at the end of this period, an offer for Mediwatch will be made.

A further announcement will be made in due course.

A copy of this announcement will be available on Mediwatch's website (www.mediwatch.com). The content of the website referred to in this announcement is not incorporated into and does not form part of this announcement.

[p1nkfish] 15/11/2013 17:32

I take that to mean they are serious or a favour to avoid chaos.

Anything other than a serious offer on a Friday close would not be fair to Mediwatch.

More likely they are serious and need the weekend to tie up loose ends and dot the i's.

Now, what does seriousman in pence per share?

I gather Mediwatch have the right to ask for the extension to suit themselves so Monday pm doesn't let Laborie waste too much more time.

I wish everyone to have a good weekend.

[troutisout] 15/11/2013 17:27

The takeover panel have given them one more business day. There comes a point where Laborie have to put up or shut up, I can only think there is some brinksmanship going on and that is why it went to the wire.
So I am hoping that this weekend they complete their horse trading and are able to table a decent offer on Monday.

My fear is the Management may underestimate what PIs want. You see PS has managed to average his position down over the past two years and some of the other investors have, but a lot have sat on their investment and now need a much greater premium for an offer to look attractive. It will be a case that some will be happy to accept something that others will think is too low.

This is where it will be difficult for Laborie to get the right balance to enable them to get enough acceptances for a takeover. It hasn't helped that while shareholders will want a certain value, they were happy enough for the share price to be trading at fractions of that valuation.
No matter what anyone says about Laborie valuing the business as they see it, the lowly share valuation in the market must make them think they don't need to pay too much, the low share price will always be a focus for negotiations to start at and that is probably why the extension is needed, the possible offer may not yet be enough for the BoD to accept.

Only my thoughts,

Trout.

[abergele] 15/11/2013 17:05

There we are,
Troutie, as just a guesstimation,what lenght of time more do you believe they could take,this would not be gospel of course...tia

[troutisout] 15/11/2013 16:58

Monday night then...

[genie] 15/11/2013 16:57

RNS Out! Extension granted until 5pm on 18th November

[p1nkfish] 15/11/2013 13:51

What if we have to wait until mid next week?

[p1nkfish] 15/11/2013 13:50

There is a real risk of some share price chaos soon.
That would be a shame as MDW don't deserve that.

It will not be good to see 'one off items' in the results if Laborie have been wasting time and it has cost MDW shareholders. That could be another whammy. May even have to wait until Monday for MDW to announce the outcome.

Another kick for shareholders who deserve to know where they stand as promptly as possible. In fact, I don't think there are anyvrules as to when the MDW need to pass the outcome on........are there?

[barrywhit] 15/11/2013 13:29

You could have put money on this going to the wire.....

[p1nkfish] 15/11/2013 11:34

If the approach was any use I think an offer would have been announced already. The fact it hasn't, and the approx 4p share price, suggests it's < 6p imho and a case of telling them to go swivel.

I hope I'm wrong.

8p would do me nicely now even though that is lower than it should be bit a big margin.

[ladybird1] 15/11/2013 08:02

Odds on an extension by now, I suppose. With minimal additional comment?

Never mind. Cheltenham today & tomorrow. The world goes on!

[barrywhit] 15/11/2013 07:42

Morning All,

Could be Leeds, when does Canada wake up???...6 hours behind..

[leedslad001] 15/11/2013 07:33

Morning all
RNS 5pm friday then

[cynic1] 14/11/2013 17:39

For info the last trade was a definite BUY.
Could not stand seeing a zero trade day again.
Have held since 2003 and would hate for the BoD to sell me out short.
14p minimum 4 me please.

[barrywhit] 14/11/2013 15:55

I second that Leeds.........but 12 months should do it!!

[leedslad001] 14/11/2013 15:51

Whatever decision, its poor to wait until the last seconds to tell the shareholders!
They need telling to go away now! and we are not for sale for 18 months.

[troutisout] 14/11/2013 15:44

Hi all, I think most of us have a benchmark figure we will be happy with, I have put mine up 0.5p just for them keeping us going to the deadline, LOL!

Right the options,

Offer made - reported first thing or during market hours.
Offer made -reported after hours
Offer made - but too late to get RNS out, reported Monday AM.

Offer not made - reported first thing or during market hours.
Offer not made - reported after hours.
Offer not made - but too late to get RNS out, reported on Monday AM.

Extension of deadline - RNS during market hours.
Extension of deadline - RNS after market hours
Extension of deadline - too late for RNS, reported Monday AM.

Are there any more? Looks to me like there are too many options that allow for an afterhours RNS or even a wait until Monday AM.
Takeover panel would have to make a judgement for an extension and they say they normally would do this shortly before the dealine. They like to see announcements made as quickly as possible so I would assume they would try and do this before the market closes,
"When a request to extend a deadline set under Rule 2.6(a) is made by the
board of the offeree company, the Panel will normally give its decision shortly
before the time at which the deadline is due to expire."

Laborie have up until 5pm, quite why they should wait that long is beyond me, the time differences between their HQ and here may mean final sign off might not be until the afternoon, but I would have thought they would be capable of doing so well before 5pm.

Remember this is only for them to make an offer, there is no guarantee that will be accepted by shareholders, they can increase their offer. So really their decision is binary, are they going to make an offer or not. Obviously the details need to be ironed out and DD done but they have had 27 days since the announcement and I believe they have been in discussions since early October.

Mediwaiting.......

[totally banjo] 14/11/2013 10:08

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