Monitise Share Discussion Threads

[timbob2000] 18/8/2017 18:48

If this offer is rejected it will be interesting to see what happens next. For example what will Fiserv do next? I read in the initial scheme documents that Monitise initially approached Fiserv with the view to Fiserv licencing FinKIT and possibly making an investment in Monitise. Why would this approach not still be viable? It doesn't seem inconceivable to me that Fiserv could still become a licencee of FinKIT.

[tb20] 18/8/2017 16:16

rs 21730.....could not agree more and my loss would be 35k

[thetruthmissile] 18/8/2017 15:56

I think you missed the point.

75% of those voting is a high threshold and most don't approve of the offer and have and are voting no. That's not a good sign for someone playing on a slim possible move up. If it doesn't go through and it trades lower those in the game played it very badly.

With WF my point is, everyone believes it will go through so it trades at, and at one point above, the offer. That's confidence by the market.

I wont debate the value of the company in this thread but I did mention it traded above this absurd bid when there were rumors they were selling MVC and when they announced the partner program in November.

FWIW I also voted no on millions of shares.

[phillis] 18/8/2017 15:27

Yes
Am better off in other parts of my portfolio
But not today!

[exbroker] 18/8/2017 15:27

missile and mtb4
If the company is doing so well why is it being taken over for only slightly more than the cash in the bank. The vote to go through must be 75% of those voting not 75% of the shareholders.
What facts do you have that the professionals have missed that makes you say this company is cheap?
Whole foods is a large liquid stock and the US arb market is the biggest in the world, Monitise is a small company which has had a bump in the price. Its way too small for most arbs to look at, those that do have a lot already and may be near position limits. Short term the sellers seem no to be worried about the level at which they sell so the arbs have reduced the levels they pay. If you think they are cheap then the current price and situation is a no lose for you so buy some more!

[thetruthmissile] 18/8/2017 13:47

If the market was convinced it was going through the price would be near the takeover price not this far below.
Look at what happened with amazon and whole foods. Is wf trading below the bid by amazon?

I can go add up all the recent rns but it's still not anywhere near the required 75%.

In my opinion its very foolish to try and make that small return given the risk. You would be better off in many other investments.

[rp] 18/8/2017 13:15

I'm past caring what happens to my investment. The one wish I have, probably in vain, is that the BOD get screwed.

[mikethebike4] 18/8/2017 12:54

I as a small PI I hope it does not go through, the price tanks and the IIs (and you Phillis) are left showing a massive % loss
The company would survive in some form and without the current BoD probably will flourish !

[phillis] 18/8/2017 12:36

Missile
just trying to put some realism into what is happening (and will make a few k)

the signs are obvious
this is going through and the small pi is irrelevant despite the loudness of the bleats

[thetruthmissile] 18/8/2017 01:23

They've bought 75%? I haven't seen those rns....

[exbroker] 18/8/2017 01:04

This deal completes, the arbs have been buying a lot and will vote it through. The last thing the company would want is a lot of very aggressive hedge funds on the share register.

[thetruthmissile] 17/8/2017 20:25

Phillis - I am not sure what your angle is here but if you truly believe this deal is going through and are playing that small percentage gain you're taking substantial risk for a very small gain.

I expect this to fail and no, the price wont crash. It could pull back but you have a company, Fiserv, that has already stated the "value" of the company. For it to trade below that would basically go against whatever formula Fiserv used to come up with its offer. Everyone who has been in the company knows the offer is low for the entire business partially because MVC is doing well.

The BOD should have sold off pieces before selling the company. That would have accomplished a couple different things. First, if they got a cash infusion from selling off MVC they would alleviate some concerns from banks interested in Finkit. Additionally they would add more value to the shareholders by having more cash on hand, the value of the stock would have been higher and any takeover bid would be on top of that price by about 30%.

Take a look at what the stock did when the rumor they were selling MVC back in 2016. It was higher than this bid. The stock was also higher than this bid when they announced the partnership program.

[phillis] 17/8/2017 19:12

Fantasy overlaid on bitter disappointment no doubt

[mikethebike4] 17/8/2017 15:54

Fiserv will run down/close down FinKit, sack everybody to do with it (except favoured members of the Board who will do very nicely thank you), sell off the subsidiaries (for more than it paid for the group) and laugh all the way to the bank - I would do wouldn't you

[mikethebike4] 17/8/2017 15:49

Phillis
the shareholders have been shafted by the BoD - the individual bits are worth more than the sum of the whole
- the FinKit bit is pulling the price down because nobody wants the product - Fiserv just wants the expertise cheap and will sell off the valuable bits of the group for more than it paid for the lot ! - nice deal for them

[phillis] 16/8/2017 15:44

mike
why would the resolution be voted down if the stock is bound to fall
There are no other buyers
The business is doomed as a stand alone entity

[exbroker] 15/8/2017 15:00

mtb4 The price fall will focus the minds of holders and make it more likely that they vote for the deal not less.Looks like there has been some arb buying to soak up the sellers.

[mikethebike4] 15/8/2017 14:48

Lot of selling today
could I be right in 21717 ?
obviously the Institutions will know first !

[exbroker] 14/8/2017 15:07

mtb4 Indeed that why its called risk arb! likened to picking up pennies in front of an on comming truck!

[mikethebike4] 14/8/2017 12:35

Exb
equally, they stand to make a massive percentage loss if the resolution does not go through - the share price is currently only supported at this level by the 3.1p offer

[mikethebike4] 14/8/2017 12:31

timbo
you are right and not the first one to say this

[rp] 12/8/2017 20:58

Thanks Exbroker

[exbroker] 12/8/2017 16:06

rp
The cash will be credited directly to your ISA you need to do nothing.

[exbroker] 12/8/2017 16:05

mtb4
The arbs are very happy with the 1/10p it’s a good rate of return for them. They pay no more than 3 basis points to deal and there are no stamp or exit costs.
The maths .1p /3.1p =3.226% say they are out of the money for 1 month, the annual return then is 3.226 x 12 =38.7%
These guys also have a negative cost of funds if they are in Euroland so will take almost any positive rate of return, have a look at some of the bigger cash deals like Cape or Jimmy Choo they are much tighter.