Redde Northgate Share Discussion Threads

[largeronald] 24/2/2020 11:09

I take it we're now trading as NTG.

Now there's a lively forum...

[blobby] 14/2/2020 13:10

Announcement made to say that the effective date is planned to be 21 February.



Unfortunately for Redde shareholders this is before March 6th which would have been the date for a Redde interim dividend. I guess this was to be expected, but I was secretly hoping things would slip by a couple of weeks.

[zangdook] 24/1/2020 16:10

AIM companies are supposed to update their significant holdings data at least every six months. Redde are in breach of that, they haven't updated since 27 June, and there have been a lot of holdings RNSs in that time. For one thing, Woodford's out and Link is in, and has halved its holding.

[w1ndjammer] 24/1/2020 13:33

back onboard after being away for a few months, its not going
to set the market on fire, but ok to park some money for a while and
pick up the dividends.

WJ.

[alamaison5] 23/1/2020 13:19

Let's get the sellers/shorters empty their barrels then attack, LOL!

REDD is a well-runn company and it's not going to stay where it is very long.

[blobby] 23/1/2020 11:41

Agree 6.5% dividend yield currently all things being equal. However 1. Management may take the opportunity to re-base the dividend and use the money in restructuring. 2. Redde shareholders may receive an interim dividend which will be a bit of a windfall and this is not in the price here.

[zangdook] 23/1/2020 11:15

~6.5% based on the current sub-£1 price here?

[joe say] 23/1/2020 10:14

Me too - having bought into both

[damp seaweed] 23/1/2020 10:13

Hi fender,
I have a working assumption that the divi yield will be ~6.5% which is broadly in line with Northgate current yield.
The Redde interim dividend is due at the beginning of March. I wonder if that will be scuppered.
The amount of details and narrative on this deal seem to very poor......IMHO

[blobby] 23/1/2020 09:54

Blackrock have declared an 8% interest and a 4.6% interest in Northgate.

It seems the holdings are changing hands in a big way at the moment which is probably to be expected as the new combined entity will be of less interest to some who were committed to either previous company and of more interest to others who prefer the combined entity.

I'm hoping the current position will become the low point and market sentiment will improve from here.

[fenners66] 22/1/2020 10:17

Has anyone worked out the likely dividend per share on the Combined entity?

I am guessing its going to be a considerably lower return for Redde shareholders as they are paying out a very high % of EPS - but what will it actually be ?

Their assumption is 2x covered.

[blobby] 16/1/2020 11:19

Yes, Northgate has its problems but so does Redde. Personally I'm expecting something of a boom in need for vans with a lot of infrastructure needed in the UK and a switch to electric. With the merger there should be big savings in overheads making the whole lot more economic.

[dmdmdmdm1] 16/1/2020 09:19

On a positive side to the merger for income investors is NTGs healthier looking dividend yield and cover, compared to REDD.

[sphere25] 15/1/2020 18:33

Wow!

It went through + convincingly = unbelievably daft institutional fund manglers.

You see folks, another blatant reason here as to why they should be called institutional fund manglers. Posted on these a couple of times when the merger news broke stating how bad a move this was for REDD.

The standalone REDD recovery had real prospects in providing significant returns for shareholders investing around the recent depressed (topical) levels. It's a massive lottery now and yet somehow the fund manglers appear incredibly confident.

Hell, it's other folks money so what do they really care. Easy pay packets for incredibly average (and often mediocre) performance.

Really wanted to buy back the standalone REDD but that is that - nothing more to be said.

[pj fozzie] 15/1/2020 17:08

Very disappointed by the result of this vote. I simply do not see how this was in the benefit of Redde shareholders.

Oh well, nothing I can do that's gonna change this.

Miffed,
PJ

[aleman] 15/1/2020 16:09

I thought the vote might go against. Oh, well. I don't want to go into van hire at the top of the cycle. I'm out at a small loss.

[minerve 2] 15/1/2020 15:57

Personally I would sell because I believe the merger is motivated by reducing opportunities on both sides of the deal. Do a merger, cloud the figures and move on, that sort of thing. Redde was already starting to show a few red flags - increasing payment days and loss of large clients, issues around use of its protocol etc..

I would sell and buy into sectors likely to benefit from the Boris budget. The opportunity to do that may disappear soon.

[bobin37] 15/1/2020 15:52

Soooo..... is now a good time to sell or hang on. I’ve got rather a large quantity of Redde... any advise would be gratefully received.

[blobby] 15/1/2020 15:41

Yes, if my understanding is correct, the Effective Date really makes a difference to Redde shares as it controls whether an interim dividend is received, or not.

[minerve 2] 15/1/2020 15:41

Oh well, one off my watchlist. Boring van hire not for me thanks.

[wbodger] 15/1/2020 15:24

No Effective Date announcement. We won't really know what support the merger has until the new NTG shares start trading.

[skinny] 15/1/2020 15:04

All a bit academic really!

[zangdook] 15/1/2020 15:04

82.08% of voting shareholders, 90.36% (90.30% in the other meeting) of voted shares.

[toffeeman] 15/1/2020 14:57

The 80/90% are number of shares not shareholders!

Long haul (pardon the pun) from now methinks

[skinny] 15/1/2020 14:56

Yes - a shame - I've been in these since HHR @5.6p and have enjoyed the ride.