Rws Share Discussion Threads

[w1lbur01] 09/6/2022 07:37

Agree look good value at this price. But in this market who knows

[indiestu] 09/6/2022 07:29

Revenues up, EPS up, cash up, dividend up, debt down, SDL fully integrated. RWS is magic cash cow!

[catch007] 30/5/2022 10:54

Berenberg reinitiates RWS Holdings with 'buy' - price target 650 pence

[wad collector] 17/5/2022 12:34

Sure it is a big sum but there are over 800 AIM shares with a total value of over £90 Billion, he appears to hold 23% of the RWS issued capital , a value of £341M by today's price, not sure where the £5Billion value comes from.
So a gamble on the AIM market but anything better than a 40% loss is worth doing, just been through the process albeit on a sadly smaller scale.

[toffeeman] 17/5/2022 11:12

I don't think that is practical - which compan(ies) would take that size of investment .

[wad collector] 17/5/2022 11:09

Not if he immediately invested in other BPR valid AIM holdings (Almost all of them) .

[toffeeman] 17/5/2022 10:11

I think that is the issue! If he popped his clogs tomorrow there would be no IHT to pay on his RWS holding. If he sold today and went tomorrow - there would!

[indiestu] 17/5/2022 09:57

Yes apologies, meant to write - how would Brode justify the 5 Billion valuation?

[toffeeman] 17/5/2022 09:51

not justifying it - just saying that's Brode's price to sell.

[indiestu] 17/5/2022 09:21

£12? How would you justify the resulting 5 Billion M/C?

[martinthebrave] 16/5/2022 16:54

Sorry Guys, I should have said IHT is the issue not CGT. He wants to pass the business down the generations with minimum Tax paid. I still Hold here.

[bend1pa] 16/5/2022 16:30

Lapsed 'offer' still does not justify a near 4 year low in the share price despite profit setback from lost Russian business. Fall overdone.

[toffeeman] 16/5/2022 15:24

>> bulltrade - you are correct so Brode's price should be £12 ish

[jeffian] 16/5/2022 14:12

Wouldn't he get Entrepreneurs relief on CGT (10%)?

Anyway, my understanding is that he is more interested in the IHT benefit.

[bulltradept] 16/5/2022 12:35

£8 is NOT the recent high unfortunately. It made £7 in May 21.

£7.64 Sep '20.

[toffeeman] 16/5/2022 12:12

At £8 per share (recent high) Brode's stake worth £630m

Worst case is CG = £600m @28% = £168m
IHT £600*0.4 = £240m

so round to £400m

£400/£630 = 63%

£8/0.63 = £12.70p per share - that is Brode's target selling price

[alter ego] 16/5/2022 11:15

I spoke to Brode a decade or more ago. My recollection is that he has two daughters and wants to be able to pass on his stake in the business tax efficiently. As Toffeman says, AIM shares are currently exempt from IHT. It suggest Brode is unlikely to sell, pay CGT and then IHT on his death..just my reading of the situation.

[toffeeman] 16/5/2022 10:51

Not CGT directly but IHT which is not payable on an AIM investment.

[indiestu] 16/5/2022 10:28

Brode is an entrepreneur, if he chooses to sell the company he has built he will sell the company at a price that he feels is fair. The CGT will be be calculated following his decision to sell, a fair price being agreed and the money changing hands. It doesn't work the other way round.

[martinthebrave] 16/5/2022 10:22

CGT is the issue

[indiestu] 16/5/2022 10:09

Do you mean the tax payable by Brode on the money raised from the sale of his shares if a bid were successful? Why would this have an impact on an a bid being made if a price was agreed between parties?

[toffeeman] 16/5/2022 09:56

More likely that Brode's tax position made a deal unworkable.

[babbler] 16/5/2022 08:34

exactly. Buy op

[phillis] 16/5/2022 08:31

New old - you are a fool