Morrison (wm) Supermarkets Share Discussion Threads

[jeffian] 03/10/2021 18:48:20

Back to Morrisons, is it a foregone conclusion that shareholders will accept the bid? It seems an awful pity that such a good company - and one differentiated from other supermarket chains by its vertically-integrated supply chain where it produces much of the food it sells - should go the way of PE and no doubt end up loaded with debt.

[jeffian] 03/10/2021 18:45:10

Brewer/Pubco Marstons (MARS) might fit the bill. Extremely stuck-in-the-mud management has seen this go nowhere for years. Saw off a tentative bid at £2 last year and now trading at 84p. High debt but stuffed with freehold assets and has recently done a deal to sell half the brewing company to Carlsberg at an attractive price. Of course, its trading was knackered by the Covid lockdown and I doubt that this management are the ones to make it motor now the pubs are open again, but the assets will be the attraction. Many of the big pubco's have been taken over recently (Ei Group - formerly Enterprise Inns - Greene King etc) and this must be on someone's radar.

[wba1] 03/10/2021 09:59:03

Time to move onto the next company with saleable assets (preferably property). Any ideas from anyone. I like (and have recently bought) Lookers as they own many of their sites, but the downside is that one holder has 23% which could be used as a block to a bid - so other suggestions?

[williamcooper104] 02/10/2021 22:40:34

Looks like the sort of auction where the underbidder walks in exchange for getting some of the winners equity

[johnwise] 02/10/2021 22:34:17

The purchase is expected to be two-thirds funded by debt – about twice the amount currently owed by Morrisons.

[albert3591] 02/10/2021 19:29:08

When will the first shop be sold? 6 months hence

[bountyhunter] 02/10/2021 18:31:18

Not much of an auction in the end. So much for the five possible rounds!

[scotches] 02/10/2021 17:15:18

I know you pushed us all the way to this auction nonsense but if you only nudge it up by a penny we'll show our appreciation - 285, 286, 287, the winner.

[dipa11] 02/10/2021 15:35:26

Compare to American supermarket share price and market value TESCO SAINSBURY'S AND MORRISON are cheaper to them For long-term it is better to have British company For short term gain you can't loose milky cow @ cheaper rate

[kingalf] 02/10/2021 13:56:48

Nice bit of financial engineering will reap some big dividend payments for the directors of CD&R. I seem to recall reading an article that they were planning to structure this within a financial vehicle based in a tax free location. Net result is less tax reciepts, less job security, higher anxiety about the future among its employees, contractors and food producers all for around £1 profit per share which you would have probably gained through dividend payments over the next 5 years.
Is it worth it ???
Go with your conscious and vote NO to the deal.
Don't let these leeches ruin a perfectly good business for their own personal short term gain.

[goldpiguk] 02/10/2021 13:05:02

Hi,

I will be voting for the deal to go through, even though MRW was slightly undersold. I think both bidders knew in advance they would have the support of large shareholders above 285.

Fortress were never as committed to taking over Morrisons having failed to reach agreement over Morrisons pensions. I suspect they had already turned their attention to other possible opportunities.

Could SBRY be next?

Goldpig

[nerdlinger] 02/10/2021 12:57:43

Other bidders might bid in their own time when they are ready if they are confident this bid will be rejected by shareholders.

[goldpiguk] 02/10/2021 12:35:37

Hi,

Slightly disappointing Morrisons bought for 287p

Link below:




Goldpig

[nerdlinger] 02/10/2021 12:28:45

pi55 poor, can't see that being approved by shareholders

[hades1] 02/10/2021 12:28:25

CD&R 287p final

[hades1] 02/10/2021 12:27:13

Its over 287p!Bidding over

[johsay] 02/10/2021 11:12:43

Fortress have to come in with a bigger offer in the first round otherwise it's over.

[loganair] 02/10/2021 10:43:18

Morrison's are slipping further and further down in market share now with circa 9.8% from 10.4% in January. 15 years or so ago after taking over Safeway, at their highs Morrison had circa 15% market share.

Aldi and Lidl combined now have the same market share as ASDA.

[nerdlinger] 02/10/2021 09:42:15

Simon Jack said morries is the 5th biggest UK supermarket on BBC R4 Today programme this morning. It's clearly 4th by market share.

[nerdlinger] 02/10/2021 09:34:39

Any third bidder could step in any time right up to the shareholder vote. Today it's just decided which of the two current bidders asks for shareholder approval and at what price. We might not find out today's result until Monday morning. I'm expecting to remain underwhelmed.

[bertymole] 01/10/2021 17:17:34

Amazon likely to emerge out of the woodwork

[tygwyg] 29/9/2021 11:46:26

Late season cherries are the best :-)