Mondi Share Discussion Threads

[alotto] 07/3/2024 19:47

33% premium of a company (Smith) with a PE of barely 6. Of course you happily buy a company with a PE of 9 (6 +30% = 9). That's still cheap! Quite a deal for Mondi. Smith wouldn't pay 33% premium for Mondi. Mondi has a PE of 15, add the 33% premium you get it at a PE of 20! Not just as attractive. In fairness Mondi should pay more, possibly a 100% premium, valuing Smith DS at a PE of 12.

[dexdringle] 07/3/2024 19:05

Disastrous takeover. I'd much rather DS Smith were paying a 33% premium to buy Mondi.

[justiceforthemany] 07/3/2024 19:05

Is this a good deal for Mondi then? share price to rise?

[moorsie2] 07/3/2024 17:54

Comgrations to the CEO and Board this is a great deal for shareholders of both companies

[enami] 05/3/2024 09:16

PRESS: Mondi sweetens DS Smith all-share bid - Bloomberg(Alliance News) Mondi PLC has increased its takeover proposal for packaging peer DS Smith PLC, Bloomberg reported on Friday.

Citing people with knowledge of the matter, Bloomberg reported Mondi improved its indicative all-stock proposal "several days ago".

DS Smith still sees that bid as insufficient, however, Bloomberg reported.

[enami] 22/2/2024 16:57

The Board has recommended a final 2023 ordinary dividend of 46.67 euro cents per share. The final dividend, together with the interim dividend, amount to a total dividend for the year of 70.0 euro cents per share, in line with 2022 (70.0 euro cents per share).

Ex Dividend Thursday 4 April 2024
Paid on Tuesday 14 May 2024.

[moorsie2] 22/2/2024 08:04

Hugely impressive cash generation.

Balance sheet primed for more corporate action..

[moorsie2] 15/2/2024 11:32

5 days till results day... Maybe we get a bit of pick up in the share price over the coming days

[enami] 08/2/2024 14:35

There is in fact an RNS from Mondi ref the DS Smith offer though for some reason not yet published on ADVFN
.
"Mondi Plc - Statement regarding possible all share combination with DS Smith plc"
,

[enami] 08/2/2024 14:27

Sorry have been away for 10 days, hard to find the special dividend exchange rate as the Mondi RNS is not published here. Had to find it on the Mondi website...
(Extract)
Accordingly, it is confirmed that sterling dividend payments will be converted at a rate of EUR 1 to GBP 0.85298. Therefore, the equivalent special dividend in pence per ordinary share will be 136.4768.

[elsa7878] 08/2/2024 14:16

Especially when it will stretch the balance sheet days after agreeing a special dividend....odd timing.

[dexdringle] 08/2/2024 13:45

What a shame it isn't the other way around.

Would rather somebody overpaid for Mondi than Mondi overpaying for somebody else.

[enami] 08/2/2024 13:35

No RNS here yet but from DS Smith



The Board of DS Smith notes the recent media speculation and confirms that it has received a highly preliminary expression of interest from Mondi plc ("Mondi") regarding a combination with DS Smith. The Board of DS Smith understands that Mondi is considering a possible offer for DS Smith although no proposal has been received at this stage.

[dexdringle] 18/1/2024 19:01

The whole share consolidation malarkey does seem somewhat unnecessary.

In their own Q&A about this they say:

"When companies like Mondi pay a considerable proportion of their market capitalisation back to shareholders as a special dividend, it’s common to combine this with a share consolidation. What we’re trying to do is keep our share price at approximately the same level before and after payment of the special dividend. If we paid the special dividend and didn’t combine this with a share consolidation, the share price would be likely to reduce"

What we're TRYING to do 🤣

Who cares if the share price reduces. It's six of one and half a dozen of the other. If, on the other hand, the directors bonuses depend on EPS it's quite handy to suddenly have 9% fewer shares in issue.....

[contrarian joe] 18/1/2024 17:18

Not impressed at all with this consolidation,it seems to me they've been won over by greedy bankers fees,as a shareholder i'm paying for those fees.Will sell my shares at an opportune time on the grounds of bad management who pick pocket their owners.

[enami] 16/1/2024 12:35

Also worth mentioning for those not familiar with share consolidations.

Fractional Entitlements

The Share Consolidation will replace every 11 Existing Ordinary Shares with 10
New Ordinary Shares. If an individual shareholding is not exactly divisible by
11, the Shareholder in question will be left with a fractional entitlement.
Fractional entitlements arising from the Share Consolidation will not be
delivered to Shareholders but will instead be aggregated and sold in the market,
the proceeds of which will be dealt with as outlined below:

(A) Shareholders on the UK Register

- The net proceeds of the sale, after the deduction of any expenses
and/or commission associated with such sale (including any related VAT), will be
paid in due proportion to the relevant Shareholders.

- Payment of fractional entitlements (where applicable) is expected to
be effected on 12 February 2024. CREST members will receive their fractional
entitlement payment via their CREST accounts. Shareholders on the UK Register
who are not CREST members will receive their payment by cheque.

[kramh] 16/1/2024 09:30

Share price planned to stay the sameThey give with one hand 10%And take with the other 10 for 11 consol

[hopefuldave] 07/1/2024 11:46

Yes, great opportunity to make some serious money so soon in the new year. I just hope the share price doesn’t drop too much after the ex. Would like to use some capital before Easter.

[enami] 20/12/2023 12:39

29 Jan 2024 Ex Special dividend 160 €cents
29 Jan 2024 Share consolidation effective (Maybe 10 for 11 depends on share price)
1 February 2024 Exchange rate set (EUR/GBP) in respect of Special Dividend
13 Feb 2024 Payment of Special Dividend

[enami] 20/12/2023 12:19

I missed this yesterday sorry (I am no longer a shareholder)
Reading the RNS it is not clear that the ?775 miliion is actually Euros and that the distribution per share will be €1.60 per Existing Ordinary Share.

[essentialinvestor] 19/12/2023 19:04

They have exited Russia with more than I expected, all be it significantly below the amount outlined on the initial announcement.

Arguably now a bid target.

[dexdringle] 19/12/2023 18:48

A special dividend and BlackRock increasing their holding by 20%.

Not exactly put a rocket under the share price though has it ?

[justiceforthemany] 19/12/2023 17:55

This board is dead.
So they did get the money out and special dividend now coming...

[essentialinvestor] 19/10/2023 11:16

SKG appears to be outperforming.

[budd_foxx77] 05/10/2023 16:00

yea that's about what I made it. Assuming there's no issue with the 2 remaining payments my quick & dirty calc is EUR 775m = GBP 670m which is about 10pc of the market cap (I dunno if they have any tax liability on this however). Of course it's dependent on the RUB fx rate to some degree. So they received about 70pc of it per y'day's release. I assume there'll be an update in December, as long as no issue with the final 2 payments I assume there'll either be a special div, a buy back or a combination of the 2. Around Jan/Feb time perhaps. I have a small position on the shares and am holding for now.