Rpc Share Discussion Threads

[old_wheels] 23/1/2019 09:07

I couldn't agree more jeffian. As a long term share holder with a weighted average purchase price of £8.47, I resisted selling out when the takeover was first muted, believing a buy-out would be beneficial for the long term future of RPC (as well as the buy-out price of course!) As my vote against won't count for much, I do hope the institutional shareholders will vote against the current proposal.

[dr_smith] 23/1/2019 08:59

Concur with feelings that BOD negotiated badly, on back foot from start.
I mentioned before about premium paid by any bidco for cross-sales, reduced o/h etc normally gained by bidco when businesses are similar or complementary.
Appollo, as an equity firm, may not have a similar/complimentary sizeable business on their books already, so price paid is for the business as it is, without revamped profit escalating stratagy, so little margin for premium to be paid.

Guessing... Maybe appollo dragged their feet in these protracted negotiations, to entrench the BOD in their hopes and back them into a corner.

If there is a similar/complementary business out there, that can take advantage of synergies, then they may now come forth, with combined benefits faciltating mutually beneficial higher price. I would have expected any such company to have done so before, but say 5 months has been a long time in world events/commerce.

warik.
Crazy long paste, 4 TIMES, not for the first time, for which you were also unapologetic. Lack of consideration for other BB users. Filtered.

[budgiekevin] 23/1/2019 08:57

Warik I don’t know where your getting shorting info from but I suspect it isn’t today’s transactions. Also remember that for every share sold there is one purchased. If the share price falls back to 700p the institution’s can still take the 782p from Apollo so the share price isn’t going down in the short term

[warik] 23/1/2019 08:52

Stock is getting shorted look at the sales. I wont be surprised if this falls back to 700p and the big sharks refuse.

[squidsgone] 23/1/2019 08:51

Has the Chairman and his Board just knowingly recommended an unacceptable bid, I wonder. Games afoot (again)

[whatsyourgame] 23/1/2019 08:46

The share price is at 769p this morning, i.e. circa 2% below the value of the offer - clearly the market considers there's a zilch chance of a counter offer materialising.
Apollo appear to have played this very well by simply boring the pants off all the other parties involved.

[whatsyourgame] 23/1/2019 08:37

Yep, this looks like a very skinny offer after 4½ months of deliberations ... all very disappointing for us shareholders who had been given to understand that we were invested in a growth company with a capital G. The institutions have little alternative other than to accept as the BoD have thrown in the towel - who would run the company in their absence?
With a very low level of committed acceptances, I suppose there's always a small chance of a counter offer, but I very much this will materialise in this instance, so it looks like it's game up for RPC.

[stavros28] 23/1/2019 08:34

Yes, prokartace we invest good money with British Companies for the long term and this is how we get repaid .

[stavros28] 23/1/2019 08:08

Totally let down the shareholders disgraceful !

[budgiekevin] 23/1/2019 08:01

Totally underwhelming offer. How the BOD can support it when one of them paid £7.99 a little under a year ago is surprising. Too many “facts” about the premium suggest desperation and I won’t be too disappointed if it fails. The dividend will support a reasonable share price so it isn’t going to tank too much. Best hope for short term is another bidder once the offer document comes out. A definite hold from me

[jeffian] 23/1/2019 07:51

That's a very unexciting offer. It's interesting (well, to me!) that they haven't been able to obtain irrevocable undertakings to accept from the main shareholders - not even Standard Life who started the whole process with their statements last year. The best they can come up with is a 'Letter of Intent' from Eminence Capital (who they?) for a couple of million shares. It doesn't mean much and basically says they haven't been able to persuade any significant shareholders to support them.

Personally, I would like to see this bid fail, even at the cost of short-term share price weakness, and, like bouleversee, tell the management to get on with running the business properly for our long-term benefit.

[warik] 23/1/2019 07:41

Say if the big sharks refuse what happens? is there a % you need to approve?

[spot1034] 23/1/2019 07:39

Let's hope there's someone else out there who might come in with a better offer.

[hydrogen economy] 23/1/2019 07:35

I offloaded my holdings in September at average around 820p(at a small loss) as I worried the bid may never arrive and price would fall- turns out the bid is also lower.

I can't help feeling that the board played their hand badly here, the share price was getting hammered with big shareholders making a noise, so they rushed to fix it by announcing the sale. That showed a level of desperation and left them finally with Hobson's choice. A slower low profile approach to potential buyers with negotiations behind the scenes may have been more fruitful, who knows.

How long before it is returned to the market fattened with acquisitions and stuffed with debt I wonder?

[warik] 23/1/2019 07:31

Will Apollo keep the same idiots to run the company into the ground?

[warik] 23/1/2019 07:30

Read RNS again you're adding your stuff to it that's why I was trying to put whole doc here. Don't mislead the public lol

[sogoesit] 23/1/2019 07:27

“The Board believes that the offer recognises the quality of RPC's businesses
and the strength of their future prospects”
Because we, the board, have no idea about how to manage this business on behalf of our shareholders... he added as an afterthought.

Mind you, with posters like warik on this board as shareholders who can blame them?

[cool runnings] 23/1/2019 07:27

Only jesting.

[warik] 23/1/2019 07:24

why I'm mad?

[warik] 23/1/2019 07:23

782 is a ok outcome for me but will the big sharks accept 782?

[cool runnings] 23/1/2019 07:23

I've only posted here recently as bought in for the end game a week ago but in that short time I do believe Warick is mad