Ncc Share Discussion Threads

[b1ggles] 13/5/2015 08:34

I think that some brokers will have aggregated what is due to their customers and just distribute by their own formula (as they have done before).

I opted for max cash and my 38,000 shares became 4,151. As a result, I have no idea how much cash to expect.

[mazarin] 12/5/2015 23:14

I elected for maximum NCC shares, so will have to wait for iii to explain to me what happened. Thanks again for your input.

[sharw] 12/5/2015 15:58

mazarin - 2,731 is the exact number of shares you should receive if you asked for maximum cash under the mix and match although your post says you elected the other way!

25000x.1218x.897 = 2731
You should receive as cash:
25000x.897x5.97 = £1,338.77
25000x.103x30.2082 = £777.86

Total cash £2,116.63

[masurenguy] 12/5/2015 15:07

I have spoken to the FD of NCC. They have remitted the whole of the cash component of the ACM consideration to Equiniti today. They expect that this will be redistributed by them to brokers for credit to shareholders accounts "within the next few days".

[mazarin] 12/5/2015 14:41

Thanks sharw for your info, I find what you say quite interesting. Which is precisely why it's useful to know what other ACM holders were allocated, hence underlying the value of public discussions on this thread.

All holders are entitled to be treated the same, so there shouldn't be any variation, simply because holders happen to have different Brokers.

By simply applying the RNS as the basis for calculation, even at the Default allocation, on 25k ACM I had expected to receive 3,045 NCC shares and £1,492.50 cash, but currently see, in fact I only got 2,731(that amounts to 10.31% fewer). Even though I did actually request more NCC shares prior to the deadline, so I now need to know just how iii arrived at my reduced allocation. Of course we are still all awaiting the cash element and therefore I'm very interested to see how much that will be in my case.

[sharw] 11/5/2015 22:59

mazarin - good luck with iii they need watching like a hawk. I have a dealing a/c and ISA with them. In September last year a company that I hold in both a/cs paid a dividend. It appeared in one a/c but not the other. I pointed this out to them. You may think that it would have been instantly corrected but it took so long that it turned into a formal complaint. It was eventually credited a month later.

Another dividend went missing in January and when it was eventually credited they told me they were "working hard to improve this" but it would appear that they have an outsourced custodian. This is a shame because I find their actual dealing service to be very good.

[mazarin] 11/5/2015 20:18

Agree the terms in the RNS should be like that, but so far in my case, it does not appear to have been worked out like that, so I have asked for clarification and until cash element ids determined I will not know exactly. Thanks for affirming the above.

[sharw] 11/5/2015 12:49

B1ggles/mazarin - all you need is a calculator because the formulae have been set down clearly in the RNS.

The basic allocation is:

0.1218 of a New NCC Group Share and 5.97 pence in cash per ACM Share

Although the NCC shares have appeared the takeover rules allow up to 14 days for them to produce the cash element.

If you opted for maximum shares:

0.1518 of a New NCC Group Share per ACM Share and no cash

If you opted for maximum cash:

Elections scaled down on a pro rata basis by approximately 89.7 per cent. and will receive 30.2082 pence per Scheme Share in respect of a Cash Election that has been satisfied in full. The rest will receive the basic allocation (above).

In other words for every 1000 ACM shares 897 receive the basic allocation and 103 receive 30.2082p.

[mazarin] 11/5/2015 09:10

I've asked iii to give me a detailed explanation of transaction, so I can understand just how and on what value my NCC allocation was made, based on 25k ACM holding. Currently I appear to be about £2,500 down, but without actually knowing the value of my cash element and relevant 'strike' price of NCC, its impossible to be sure.

[masurenguy] 10/5/2015 09:58

The final settlement to ACM holders, on the standard paper & cash default option, worked out at a notional cost of 164p per NCC share with the cash balance of 5.97p equivalent to 49p per allocated NCC share. Therefore the total value transfer from ACM to NCC was based upon 213p per new NCC share or 31.7p per old ACM share. Like rivaldo, my NCC shareholding has now been credited to my account portfolio but the cash component is still outstanding and should be credited next week.

[b1ggles] 10/5/2015 09:36

I opted for 'max cash' and seem to have about 10% less shares than the default option; I assume that means I'll get about 10% more cash in due course, though working out the cost basis of the portion cashed in is doing my head in!

[rivaldo] 10/5/2015 08:01

Indeed - good news all round, particularly a maiden purchase by a non-exec director.

Here's a new interview with the ACM CEO - sounds like more news flow to come from NCC:



"Accumuli chief: NCC takeover is perfect outcome

Gavin Lyons explains how the firms have worked together on various projects for years, and that the acquisition made sense for both sides

By Sara Yirrell
08 May 2015

Accumuli CEO Gavin Lyons is feeling bullish for the future after his firm was taken over by Manchester-based giant NCC earlier this year.

First announced in March, the cash and share deal valued Accumuli at around £55m. The AIM-listed security VAR posted a trading update recently revealing revenues would stand at around £27m, up from £16.6m in the last financial year.

The firm attributed its growth to increased managed services revenue and its latest acquisition of VAR Armstrong Adams putting in a solid performance.

Lyons (pictured) is no stranger to mergers and acquisition, having presided over four since he took the Accumuli reins in 2012, plus the disposal of its Webscreen business to Juniper, but he said the deal was positive for the firm and its customers.

“We have been working together [with NCC] for a number of years. NCC would talk to customers and they came to us to partner on different aspects of bids. It made sense for them to acquire us and the two businesses fit together really well,” he explained.

“It gives us greater scale and means we are big enough to compete in the market, but small enough to still be agile, and that means a great deal to customers,” he said, adding that he works with some “great people” at Accumuli.

Lyons explained that his role would remain the same and that he would report into NCC Group’s chief executive Rob Cotton.

The full interview with Gavin Lyons will be published in the 11 May issue of CRN.

Separately CRN understands that NCC is gearing up to release more details on how it will integrate Accumuli as part of a ‘controlled integration’ strategy."

[kjen] 08/5/2015 17:26

Nice to see small NED buy (20,000 at 213p) and increase in holdings by Capital Group Companies today.

[sharw] 08/5/2015 15:50

If you read the final RNS



You will see:

"The consideration payable to Accumuli Shareholders for the Acquisition will be settled (in the case of Scheme Shares held in uncertificated form, by CREST accounts being credited) or despatched (in the case of Scheme Shares held in certificated form) by no later than 14 May 2015".

The RNS also contains exact details of the result of the 'mix and match'.

[rivaldo] 08/5/2015 12:06

My own NCC holding has been correctly calculated and received after going for maximum shares, but I too haven't received the remaining cash yet.

[effortless cool] 08/5/2015 11:28

I'm with AJ Bell. I took the all share option, but currently these still show as ACM with no value against them.

[glasshalfull] 08/5/2015 11:12

Mazarin - I've been in touch with my broker this morning & confirm that the cash proportion has yet to arrive. My NCC holding however has been correctly calculated but apparently Registrars have yet to release the cash element.

Be good to hear from any holders as/when the cash and shares have been correctly apportioned.

Regards
GHF

[mazarin] 08/5/2015 10:52

I checked with my broker today and discovered that I was actually allocated far fewer NCC shares than even the default option, relative to my ACM holding. I had opted to receive more NCC before the deadline. Apparently the cash differential is still awaiting payment, so am yet not able to determine whether I got full vale of ACM on suspension, that finally closed at 30.25p. I it take other ACM holder are in a similar position? Incidentally there has been no explanation or correspondence from my Broker about the transactions, other than the standard RNS.

[mazarin] 07/5/2015 09:31

Good to get news flow and media coverage posted here to help us 'recent holders' become acclimatised with NCC. I've yet to discover just how many I've actually been allocated and be interested to hear if others have received their allocation. I intend to hold them for the foreseeable future but suspect other former ACM's may consider selling, being unfamiliar with the Company so expect some churn, although in the longer term consider the prospects for growth encouraging. I am familiar with the sector (also holding ECK) and believe it to have significant potential.

[igoe104] 07/5/2015 07:54

Manchester evening News write up.

[glasshalfull] 06/5/2015 16:43

You're very welcome gargleblaster.

For the threads info, following the under noted exchange on Twitter in respect of today's RNS regarding the reduction of £3m in capital investment after accounting for compensation...the company have confirmed my assumption correct.

@Glasshalfull1: @jpsc01 @NCCGroupplc Refers to this - NCC withdrew from .secure auction & appear to have received £3m in compensation.

Regards,
GHF

[gargleblaster] 06/5/2015 13:19

Thanks GHF for the above & previous article. Hopefully ex-ACM shareholders will keep their shares in NCC rather than head for the exit.

Good to see that they have made themselves hard to takeover .... or is it!!

[glasshalfull] 06/5/2015 12:12

Strong t/s this morning.

Peel Hunt agree & note:-

Strong trading confirmed

"NCC Group's 11 month trading update confirms revenue growth of 15%, including 14% organic – driven substantially by strong momentum in the Assurance division. We remain very comfortable with full year expectations, which show underlying PBT growth of 16%, offset by investment in Domain Services. This division is expected to break even in FY16, hence the marked acceleration in EPS growth in that year. Furthermore, NCC Group will enter FY16 with an enlarged platform post the acquisitions of Open Registry and Accumuli. The PER falls to a sector discount at 17.5x in FY16, FCF yield 5%. We raise our target price to 240p or 1x FY17 PEG."

Peel's forecasts indicate,

Yr ending May 2015

Turnover £127.2m
PBT £24.8m
EPS 9.1p
Div 3.8p (1.8% yield)

Yr end May 2016

Turnover £165.6m
PBT £36.3m
EPS 12.1p (+33%)
Div 4.0p (1.9% yield)

Yr end May 2017

Turnover £184m
PBT £42.5m
EPS 14.2p (+17%)
Div 4.3p (2% yield)


Regards,
GHF

[rivaldo] 06/5/2015 11:38

....and Canaccord have today increased their target price to 260p from 240p: