Morrison (wm) Supermarkets Share Discussion Threads

[nerdlinger] 05/10/2021 12:12

I will restate my intruction to vote against to my broker (iweb, using their chat facility) next week if there are no further developments. So far Columbia Threadneedle and M&G have publicly backed the deal according to the Mail ( htTps://www.thisismoney.co.uk/money/markets/article-10058585/Morrisons-faces-petrol-station-probe-ahead-7bn-takeover-deal-vote.html ) but I've heard nothing from Silchester who might yet encourage CD&R to increase their bid again.

[darkelf1] 05/10/2021 08:25

Amazon wont come in now, and dont think they ever were going to. this will just hold until vote on 19th. vote will go through

[praipus] 04/10/2021 19:20

Enterprise value (AKA Takeover value is £10,488.50 m) so share price at enterprise / take over value could be circa £4.35 per share?

[chopsy] 04/10/2021 16:01

So why did we drop to 286, I thought the bid was 287?

[albert3591] 04/10/2021 15:45

I still think Amazon will take a look.

[wba1] 04/10/2021 11:39

It may be worth CDR mopping up shares in the market if they can get them below the bid price and if they have arranged matters to avoid stamp duty (tricky but sometimes possible). Otherwise difficult to see why to buy.

[scotches] 04/10/2021 08:02

hTTps://www.foodmanufacture.co.uk/Article/2021/10/03/Morrisons-board-back-auction-winner-CD-R CD&R has said it still reserves the right to increase the amount of the offer price if a third party announces a firm intention to make an offer for Morrisons on or after the date of this announcement.

[marky1965] 04/10/2021 07:27

Why are people still buying these shares? Do they expect someone to come in with a higher bid

[jeffian] 03/10/2021 22:40

I expect so.

[chopsy] 03/10/2021 18:57

So are we expecting a 10p drop in share price tomorrow morning?

[jeffian] 03/10/2021 17:48

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 17:45

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 08:59

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 21:40

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

[johnwise] 02/10/2021 21:34

The purchase is expected to be two-thirds funded by debt – about twice the amount currently owed by Morrisons. https://www.thisismoney.co.uk/money/markets/article-10052095/Morrisons-board-backs-Sir-Terry-Leahy-takeover.html

[albert3591] 02/10/2021 18:29

When will the first shop be sold? 6 months hence

[bountyhunter] 02/10/2021 17:31

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

[scotches] 02/10/2021 16:15

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 14:35

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 12:56

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 12:05

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 11:57

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 11:35

Hi, Slightly disappointing Morrisons bought for 287p Link below: https://metro.co.uk/2021/10/02/morrisons-has-new-owner-after-us-firm-outbids-rival-at-auction-15353390/ Goldpig

[nerdlinger] 02/10/2021 11:28

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