Melrose Industries Share Discussion Threads

[gettingrichslow] 29/1/2020 19:30

I don’t think I’d spotted this in the news...

Melrose Industries Explores Sale of Power Generation Unit Brush
By Aaron Kirchfeld and David Hellier
January 23, 2020, 4:47 AM EST

Melrose Industries Plc is exploring a sale of its Brush power generation equipment unit, people with knowledge of the matter said.

Birmingham-based Melrose is working with an adviser to gauge buyer interest in the business, according to the people, who asked not to be identified because the information is private. A deal could value Brush at about 100 million pounds ($131 million), one of the people said.

Melrose acquired Brush as part of its 2008 purchase of British engineering group FKI Plc. The company makes generators, motors and transformers used by power producers, industrial companies and oil explorers.

Brush is now “smaller but profitable,” and its restructuring has been substantially completed to plan, Melrose said in a September investor presentation. Brush has struggled due to economic uncertainty in some of its main markets, and demand from the gas turbine industry continues to be far below its previous peak, Melrose said in its results announcement that month.

This weakness has led Melrose to cut jobs at Brush in the past few years. A representative for Melrose declined to comment.

Brush sits within Melrose’s “Other Industrial” division, which reported 335 million pounds of adjusted revenue in the first half of last year and 31 million pounds of adjusted operating profit.

Melrose is also preparing to sell the bulk of its Nortek division, in what could become the British buyout specialist’s biggest divestment in more than four years, Bloomberg News reported this week.

[gettingrichslow] 29/1/2020 19:29

I don’t think I’d spotted this in the news...

Melrose Industries Explores Sale of Power Generation Unit Brush
By Aaron Kirchfeld and David Hellier
January 23, 2020, 4:47 AM EST

Melrose Industries Plc is exploring a sale of its Brush power generation equipment unit, people with knowledge of the matter said.

Birmingham-based Melrose is working with an adviser to gauge buyer interest in the business, according to the people, who asked not to be identified because the information is private. A deal could value Brush at about 100 million pounds ($131 million), one of the people said.

Melrose acquired Brush as part of its 2008 purchase of British engineering group FKI Plc. The company makes generators, motors and transformers used by power producers, industrial companies and oil explorers.

Brush is now “smaller but profitable,” and its restructuring has been substantially completed to plan, Melrose said in a September investor presentation. Brush has struggled due to economic uncertainty in some of its main markets, and demand from the gas turbine industry continues to be far below its previous peak, Melrose said in its results announcement that month.

This weakness has led Melrose to cut jobs at Brush in the past few years. A representative for Melrose declined to comment.

Brush sits within Melrose’s “Other Industrial” division, which reported 335 million pounds of adjusted revenue in the first half of last year and 31 million pounds of adjusted operating profit.

Melrose is also preparing to sell the bulk of its Nortek division, in what could become the British buyout specialist’s biggest divestment in more than four years, Bloomberg News reported this week.

[keyno] 29/1/2020 19:23

As this thread creator says:

"If someone with the expertise can add charts etc that would be great."

Indeed it would be. Any takers?

[gettingrichslow] 29/1/2020 17:07

My view is that it’s probably just a reversal of the recent falls - similar to the rises today for other companies like Rolls, Ashtead, DS Smith etc. Coronavirus news today was probably slightly better (or not as bad) as feared which is good for global economy outlook.

[meanwhile] 29/1/2020 16:05

A surprising rise today.

Anyone seen news, or speculation, to account for it?

[1jezza] 29/1/2020 11:15

Thank you grahamburn for setting this up.

[sliotar] 29/1/2020 10:08

bigalan3 - No doubt disposals/ distributions to shareholders are discounted in the MRO price. To change the emphasis without rocking the boat would need careful and managed communication with the Market (and a strengthening of engineering/international representation on the Board).

[bigalan3] 29/1/2020 09:22

Sliotar - would you be very concerned if they kept GKN? It is starting to look very attractive.

[sliotar] 29/1/2020 09:08

The recent rumours of a Nortek sale need to have been more than MRO flying a kite. The market needs reassurance that the purchase of GKN has not changed the business model. Tempus fugit.

[gettingrichslow] 28/1/2020 18:24

Ok Meanwhile, you’d better get over to the ‘serious investors thread’ and post some pictures of your sweaty wallet, a recipe for Beef Suet Pudding and some Fred Astaire lyrics!

[meanwhile] 28/1/2020 17:54

getting,You can continue to use this thread, while serious investors can migrate to the new thread created by grahamburn.

[deutsch4] 28/1/2020 16:42

OK - on board - What does China's issues mean for 'us'. What is the current ex-Europe promise for 'us'. - Discus as they say!

[meanwhile] 28/1/2020 16:42

MEANWHILE'S serious forecast :-

MRO will be £4 by Christmas, this figure to include any cash returns, of course.

[grahamburn] 28/1/2020 14:44

As 1jezza posted above this thread has degenerated into one which hardly discusses Melrose and its activities.

So, though not an expert on thread creation, here goes with an attempt to have a Melrose thread which sticks to Melrose related matters.



If any one does migrate to it, please try to stick to Melrose - it'll help potential investors as well as those already invested who visit threads to follow their investment rather than miscellaneous unrelated topics.

[grahamburn] 28/1/2020 14:37

This thread is for the handful of posters who wish to discuss the company, its news, its activities and potential. It is NOT for miscellaneous commentary on topics which have very little bearing on the company. That can remain on "other thread" to ensure that this thread only contains posts by serious Melrose investors or potential investors.

[tournesol] 28/1/2020 14:02

If a tree falls in a forest when there is nobody to hear it, does it make a sound?

If a troll posts something unpleasant but nobody reads it, does it mean they are of unsound mind?

[minerve 2] 28/1/2020 11:26

"Tinker's cuss."

What sort of aged gammon language is that?

ROFLMAO!

[thamestrader] 28/1/2020 11:09

Most of us don't give a tinker's cuss what stocks you hold and sell, so please don't. Not even for free.

[minerve 2] 27/1/2020 20:38

You know, if people don't believe what I say about stocks I hold and sell, I am quite willing to open up transparency on my trades. I will do it for £2000/month. That is very cheap considering my time, effort and knowledge applied here. You can then see whether I am lying or not.

[minerve 2] 27/1/2020 20:32

getting

When the facts change I change my mind. I don't sit like you do, rabbit in the headlights, and watch my investment lose money month by month, year by year, like you do with Burford. That's hilarious!

What makes a good investment getting?

Please list the criteria you think makes one.


This will be a laugh folks!

[gettingrichslow] 27/1/2020 20:17

Well this board has had the full monty today hasn’t it!! Minerve gets taken to the cleaners again by a far more eloquent and quick-witted poster who subsequently filters Minerve. I’m losing count of how may times that has happened recently!
🤣🤣🤣
Then B+ points out yet another one of the ‘professional investor’sR17; stocks has gone pear-shaped, followed by the inevitable ‘oh yes, I sold out of that ages ago plea’. Errr...righto Minerve, if you say so!
All we need now is for Sliotar and Ryelodge to appear! Or better still, Meanwhile’s best ever character, hvs, who was genuinely funny until Meanwhile stopped doing him!

[minerve 2] 27/1/2020 18:07

Brexit

Long since been out of RR. Pretty much since their last bout of fan blade issues. Too much operational risk ATM.

Not hurting Minerve portfolio whatsoever.

[brexitplus] 27/1/2020 18:05

Rolls Royce doing well again today I see. Lowest price since 2016.

[minerve 2] 27/1/2020 17:48

tournesol

As I have said, poverty is measured in many ways. If you were taught by nuns then they were most likely rich with knowledge. That benefitted you, and carefully reproduced and applied, enabled you to go to university. I would have thought someone who claims wisdom would have acknowledged that. Complete poverty would mean nobody around you to help you escape that poverty trap. There would be no one with the visibility or wherewithal to see that.

Shame you think I need to be filtered, although I am not surprised. Your sort are professionals at escaping things you don't like to hear and putting your head in the sand.