Reed Health Share Discussion Threads

[a7009090] 29/11/2002 09:51

Parvez: The FT covered this a couple of days ago, and gave the impression that the large institutions were hopping mad, feeling Reed should have spoken to them about his concerns instead of ambushing them at the AGM.

They hinted that the concern really was about a possible name change (which may annoy the Reed family!) and that plans for furthur expansion could lead to more rights issues which could dilute the Reed family holdings.

I think a bid would be very tricky, the FT estimated that Alec Reed spoke for between 40-50% of the shares, which gives the family an effective veto over any bid.

[parvez] 29/11/2002 07:58

LONDON (AFX) - Reed Health Group PLC said it is currently trading in line
with the board's expectations and the directors view the outcome for the current
financial year with confidence.
In a statement issued following the board meeting held earlier today, the
company also said it has appointed David Fennell as acting chief executive
officer.
As announced on Nov 26, Christa Echtle and Desmond Doyle, respectively chief
executive and finance director, were not re-appointed to the board at the Annual
General Meeting.
The company has spoken to Alec Reed about the failure of the resolutions to
re-appoint Echtle and Doyle. Alec Reed has confirmed that their removal as
directors arose as a result of a breakdown in the trust and confidence that
members of the Reed family and related substantial shareholders had in them.
Alec Reed also confirmed that the Reed family does not have any concerns
about there being any financial irregularity or about the trading position of
the company.
The board said Fennell currently oversees the company's new business
development and is independent of the Reed family and related substantial
shareholders. Previously he was chief executive of The Locum Group.
Fennell's appointment to the board will be considered shortly, it said.
Announcement after market close yesterday - bodes well for today.....................................


The board also said it has commenced the search for a new finance director
and will make a further announcement in due course.
Turning back to current trading, the board said the current year has started
well. The operational integration of The Locum Group, which was acquired in May
2002, is nearing completion and the board remains "very satisfied" with its
performance.
Reed Health Group is currently strongly cash generative and, as at Oct 31
2002, the company's net debt had been significantly reduced to 3.5 mln stg, it
said.
Reed Health Group's markets remain buoyant and the company continues to
monitor the impact of NHS Professionals closely but, to date, it has had a
negligible effect on Reed Health Group's business, it said. "The company is
currently trading in line with the board's expectations and the directors view
the outcome for the current financial year with confidence."

[a7009090] 27/11/2002 09:12

story covered in the FT today, Reed family unhappy on expansion plans & name change suggested as reason.

[thinker] 26/11/2002 17:14

Does anyone have any background to the FD and CEO being dumped at the AGM today? I thought things were going quite well here.

[thinker] 26/11/2002 17:12

From the outside, it was looking a good company. I've never seen the CEO and FD dumped so spectacularly without some prior warning. And the FD bought shares recently Anyone understand the background to this?

[kaffee] 26/11/2002 16:30

Have no idea... just popped up on my alerts.

Nothing has changed re fundamentals.

[parvez] 26/11/2002 16:16

Anyone any ideas why the price should react so negatively on the announcement that CE & FD have been ousted. Does this not now make it a classic take-out potential. Any thoughts anyone ??????

[sreed] 09/9/2002 08:34

same nurses being used for spot work so margins are flying!

[cat] 09/9/2002 07:57

Results seem OK, but this should have been their largest division:

"Nursing. Turnover for the year to 30 June 2002 fell marginally by 1.7% from
#29.9m to #29.3m reflecting the agreed termination of the Forest Healthcare NHS
Trust contract, in February 2002, which had previously generated turnover of
approximately #6m per annum........"

Probably not helped by:

"With NHS Professionals, the NHS is trying to solve its own staffing needs,
however, it is difficult to see how one kind of provision will remedy the
shortfall of qualified and skilled workforce that currently exists and seems
only set to grow worse. A degree of impact has been felt by the Company due to
the confusion over NHS Professionals, however, there continue to be
opportunities for quality nursing agencies, particularly in London and the South East."

[cossie] 05/9/2002 13:56

looking a lot weaker, MMs are all sellers and don't want the stock.

CAT plop pudding :-)

[cat] 05/9/2002 10:29

looking weak before results next week

[cat] 16/8/2002 14:31

going to go down -

[sasimini] 16/8/2002 14:24

shares mag say hold however nursing staff shortage in the NHS will be around for years,despite recruiting abroad.I am still waiting.

[forwood] 13/8/2002 14:10

As an ex chairman of an NHS Trust, I very much doubt they'll be able to do much about temp staffing costs. This problem has been around for years, and with the shortage of trained staff, temp staff can pretty much write their own ticket.

I have no position here.

[grim] 13/8/2002 13:10

Why will NHS Professionals knacker them?

[cat] 13/8/2002 10:47

NHS Professionals - the Govt initiative to control NHS staffing costs will knacker Reed. The NHS is trying to stop itself being ripped off by the staffing agencies. RHG already on a high pe, could get murdered now.
50p short term target.

[sasimini] 13/8/2002 08:42

still watching,gone quite a way down.

[kaffee] 12/6/2002 21:46

Well maybe it's just my stocks but they are all in decline recently !!!!!

[sasimini] 07/6/2002 15:26

drifting down?

[sinso] 18/5/2002 00:25

Yes but once it goes ex open offer they qualify for the new shares and hence if they so wish they can sell as many of the shares they already own.

[sasimini] 17/5/2002 11:50

have I got it wrong?I thought dealing of new shares can be only after 27/5/02 , expecting to see some selling then by profit takers hence short term drop.

[sinso] 16/5/2002 14:17

Sasimini....why are you waiting as the stock has already gone ex open offer.Any weakness would surely have happened on 26th April would it not.

[truffles] 16/5/2002 13:22

Took up the rights within half an hour of being offered them.

[sasimini] 16/5/2002 09:59

hi guys have none at present so waiting for after rights issue,short term will prop go down a bit but excellent long term prospects.Staff shortage in NHS will get worse and NHS has to rely on locum positions especially in nursing field.I work in the NHS.

[kaffee] 15/5/2002 15:19

Nice one Truffles.

Hope you've taken your rights up....