Senior Share Discussion Threads

[elpirata] 22/6/2021 09:22

in at what should be a decent entry level



nod to a well regarded tipster

[gargoyle2] 22/6/2021 09:21

You would have thought that management would already be fully aware of the views of its leading investors.

[monte1] 22/6/2021 09:09

Well the market isn’t betting on a competing bid being received.

[mj19] 22/6/2021 09:09

What is Bloomberg saying? They are going to Reject.. change their mind as well

[mj19] 22/6/2021 09:05

Sounds like an Info leak

[carpingtris] 22/6/2021 09:03

Has it been officially rejected?

[knowing] 22/6/2021 09:03

(Sharecast News) - Senior shares fell after Bloomberg reported it was preparing to reject the latest bid proposal from Lone Star Funds as too low.
The US private equity firm said on Monday it had made a fifth and final approach to Senior worth 200p a share in cash. The proposal valued the engineering group at about £839m.

Bloomberg said Senior could announce as early as Tuesday that it had rejected the approach. Discussions are continuing and Senior could change its mind based on discussions with its leading investors, Bloomberg said.

Lone Star said on Monday the latest proposal was its final offer and would not be increased unless a rival bidder emerges. Senior has rejected four previous bids from the firm, including an offer of 185p a share earlier in June.

[robertball] 22/6/2021 09:01

£2.50 I'm the current climate

[sooty snipes] 22/6/2021 08:58

Two quid was definitely a fair and reasonable offer. Can't believe these numpties aren't going to accept it.

[mj19] 22/6/2021 08:52

115 to £2 share holders would be happy?

[elsa7878] 22/6/2021 08:50

Really surprised that large shareholders aren't applying pressure. Pre-pandemic this was 150p and the aerospace business is still in the doldrums and will take years to recover...

[monte1] 22/6/2021 08:40

Really disappointing - share price is now below the level it was before the increased offer was announced.

[babbler] 22/6/2021 08:33

Seems so. But they are taking their time...

[monte1] 22/6/2021 08:24

In auction.

[kulvinder] 22/6/2021 08:19

So the market obviously thinks the final bid will be rejected hence the price drop this morning back to 150?

[gargoyle2] 22/6/2021 07:20

No rejection of 200p yet...

[lindowcross] 22/6/2021 06:52

It seems clear Lone Star believe Senior's end markets will recover in the medium term and therefore there is an opportunity to buy an asset at below its intrinsic value. It boasts about its intentions on its website as follows: "Lone Star seeks investment opportunities in markets that have suffered an economic and/or banking crisis, resulting in a dislocation in asset pricing and value opportunities."

If there's a dislocation in Senior's asset price, and there's now a "value opportunity", with all due respect to our friends in New York sporting their Harvard degrees, well-cut chinos and second homes on Long Island, I'd rather it was kept for the current shareholders.

[gargoyle2] 21/6/2021 19:35

'Nowhere near at 176' may well have been just negotiation imo. 13% more doesn't sound that much, but I'm guessing that most shareholders would be okay with that -- even though it would still probably mean Lone Star getting the company on the cheap in the long term. We are all so short sighted these days!

[castleford tiger] 21/6/2021 18:57

They said 176 was no where near is 13% more enough

[paulof2] 21/6/2021 18:50

Personally I’d take my £2 and run here given the uncertain environment, appreciate some longer term holders may not feel the same though.

If this gets rejected, save for an alternative bidder (which I’ve not even heard a sniff of for a while) can’t see this rising to 200 and beyond on its own for some time. Difficult for the directors to turn this down IMO.

[castleford tiger] 21/6/2021 15:04

At the moment its not an orderly market.

If board say no they will need to convince the big holders this is going over 200 in a year or so.
the board may of had this 200p offer a day or two.

[lindowcross] 21/6/2021 13:52

Tiger, presumably the Articles give power to directors to make decisions over takeover price. If shareholders disagree at least 5% can I think call for General Meeting for vote to overrule the directors

[babbler] 21/6/2021 13:02

They usually were quite quick with response...

[dave894] 21/6/2021 12:12

True, an indicative proposal/offer 200p following d/d.

I would say the mkt is cautious as the board has been holding out from the outset for a higher offer starting with a 2, 200p may not be enough for them but they are considering it as of now.

[monte1] 21/6/2021 12:09

#2994

No offer will be firm until d/d is carried out. The market is clearly very cautious of the chances of the possible offer being accepted.