Revolution Bars Share Discussion Threads

[kamitora] 03/8/2017 06:59

Questor: bid restores Revolution Bars’ fortunes, but investors should hold out for more

[crumppot] 02/8/2017 17:25

I might come as a giraffe

[bigfrocks] 02/8/2017 16:50

Stockport a lovely place

[volsung] 02/8/2017 16:46

Tonight I will be in Stockport

[crumppot] 02/8/2017 16:45

Where are you going to be? I might join you!

[barnetpeter] 02/8/2017 16:01

Yes and for those of us who bought AFTER the collapse this is a handy 60 to 70 per cent. Sold half myself just in case the bid falls away.....kept the rest and will watch for next statement.

[greyingsurfer] 02/8/2017 15:29

How miffed off are recent sellers going to feel if the bid increases, or another counter bid appears.

And how smug will they feel if it falls through?

This is preliminary and a long way from certain - let alone any possible counter bid.

Peter

[kmann] 02/8/2017 14:59

Stonegate can easily walk away, then spend all next year saying wish i'd bid a bit more, damn it, could have bought that, now it's 240p! Arwwwww!

[yupawiese2010] 02/8/2017 14:20

How ridiculous, you get nasty with Stonegate they can easily walk away, then wait for the share price to collapse

[kmann] 02/8/2017 13:03

How miffed off are recent sellers going to feel if the bid increases, or another counter bid appears.

I'd be squeezing Stonegate like a tax man can squeeze blood out of a ... stone .. gate!

Look at bovis, bid talk, price goes up, no bid, price goes up ... and up

[aylingd] 02/8/2017 11:42

The board will never except the IPO price imo, makes them look like they have achieved nothing since then, mind you the instis. may see it as a good exit now rather than waiting for future possible gains.

I would have thought somewhere in the region of 220-240p would have a good chance. Early days, however the current share price is telling us that the market does'nt have high hopes of this succeeding.

Currently a holder and underwater, so hoping !

D.

[kmann] 02/8/2017 10:58

Look at these pre-crash, (ie overegagerated fall) targets

20 Apr 17 finnCap Buy 250.00 Retains
12 Apr 17 Peel Hunt Buy 260.00 Reiterates

200p! pah!! try again stoney!

[kmann] 02/8/2017 10:42

This looks cheap through international eyes now the £ is so cheap too. Plenty of wealth funds looking for quality assets. LVD a good example of quality getting justified price.

This was ALWYS going back to 200p, thats why stonegate got in before it did, otherwise they'd be having to ask 300p, thats why 240p (+20% increase on bid/ +40% absolute) not out of the question.

First rule of negotiation, start low.

[crumppot] 02/8/2017 09:17

I have doubled my stake. I think the offer is likely to be successful but if not there will be a counter bid. This is a reasonably run company with potential and the recent share price has not been reflective of its underlying value.

Those who hang in there will be rewarded!

[qs99] 02/8/2017 08:53

Fair points all twistednik

[twistednik] 02/8/2017 08:41

Stonegate is the main acquirer in the sector whilst a number of other pubcos are still divesting / rationalising their existing estates. I'm not sure where a counter bid would come from ? Private equity will not pay more than c.7x at this point in the cycle (discretionary spending coming under pressure etc).

That said, the offer is a little on the low side (an EV of >8.0x EBITDA would be more appropriate) so wouldn't be surprised if the Board ask them to raise it above the IPO price which keeps the institutions happy and Stonegate get a cracking deal as well.

Given the synergies of integrating this business within the Stonegate stable, imho, they can afford to up their offer and still make the returns work.

[qs99] 02/8/2017 07:43

yes well said but they do often come to fruition as well, LVD being a case in mind, where they languished at around £1.30 for ages, got taken out at around £2.60 from memory as was a holder last year....there are not too many established chains to get hold of IMO and so a strategic asset to add to their collection is a shrewd move, but will they have to up the ante by a counter-bidder? Maybe, maybe not, but at the very least the board need to do their job and broker a higher offer.....DYOR and GLA

[runwaypaul] 02/8/2017 07:37

always very sceptical of theses type of offer announcements after shareprice collapses.they often come to nothing and are just a way companies rise their stock price /or insiders make fast money off them.

proceed with caution imo.

[greenknight1] 02/8/2017 07:30

Thanks! With the average of the sector this could be taken out as high as 288p!

[qs99] 02/8/2017 06:30

Just found it....looks like bid is FY18 EV/EBITDA of 6.2 vs sector average of 8.9.....so IMO on that basis, there is plenty of scope for the board to push this much higher ...DYOR

[qs99] 02/8/2017 06:26

Interesting to see the broker comment posted above expecting a counter-bid....reminds me of LVD and look at what that went for! GLA and DYOR

[thevaluehunter] 02/8/2017 00:25

The initial 200p seems a bit on the low side given the growth and 8-10x ebitda would be more reasonable in my opinion.