Shanks Share Discussion Threads

[wad collector] 07/10/2016 22:36

Didn't quite hit my limit today , but knocking on the door. The sterling fall today is even more impressive , busy day for the currency traders.

[a0148009] 04/10/2016 15:27

Cannot argue with that - guess on a pullback 100 - 105ish could be the reentry.
AO

[wad collector] 04/10/2016 13:52

Todays fall in Sterling is not necessarily going to sustain - I will trade out if the share price hits 115 . I would look for a small drop to buy back in , and not that fussed if it floats away.

[a0148009] 04/10/2016 10:02

Do not forget after the merger the lions share of earnings are in Euros
currently 114.30 hence the uplift I am sticking with my holding as per my post above.
AO

[wad collector] 04/10/2016 09:26

Nudging a 2 yr high , the reader in me is getting an itchy sell finger ; watching closely.

[a0148009] 29/9/2016 08:18

Cost savings, growth and currency translation should underpin current share price with potential to break out above 110p resistance level.
AO

[wad collector] 20/9/2016 09:08

I like the way the share price is creeping up ; nothing spectacular but little incremental rises most days.

[cyfran101] 18/9/2016 23:38

Biffa IPO should renew interest in the sector and from the recent RNS looks like a timely merger.

[skinwalker] 06/9/2016 08:18

is this dog ever going to get its act together?

[wad collector] 14/7/2016 22:09

Looks like a respectable 3 figure share price is imminent again. Does appear to be a done deal now.

[a0148009] 07/7/2016 13:47

Found this in the announcement which is reassuring plus current share price so seems to have the approval of the institutions.

"Capital structure of the Combined Group

Following completion, the Board of Shanks anticipates a net debt / EBITDA for the Combined Group, pre synergies, to be broadly similar to Shanks' current standalone leverage expectations. Over time, the Board expects leverage to reduce with the realisation of synergies in the Combined Group and continued application of Shanks' strategy, including active portfolio management."
AO

[a0148009] 07/7/2016 13:22

Ed 123 I know the feeling! I congratulate them on the initial suspension certainly eased the pressure on negotiations although not a done deal yet feels alright company striving for growth and puts them in a stronger position in European operations, diversifies earnings plus benefits of consolidation focusing business, disposing of lower margin assets. As I have said before regard them as a quasi utility - a little concerned on the additional debt and would like to see the final terms and ratio to market cap and and ebitda.
AO

[wad collector] 07/7/2016 11:49

Takes a bit of digesting that statement. Ironically the share price is currently exactly where it was suspended.

[ed 123] 07/7/2016 11:09

Maybe talking to myself? The shares are finding good support on today's news. Price has gone positive.

AGM will be held Thursday next week. Anyone going?

[ed 123] 07/7/2016 09:12

Details of the proposed merger are out today.

New shares to be issued, I'm guessing 1 for 3 rights issue at 65p.

Shanks' dividend to be cut.

I would have preferred to see a bid for Shanks. If anyone were considering such, they now have the target to beat.

To be fair to management, they have been positive and are trying to get higher earnings for shareholders.

... significant enhancement to underlying earnings by the second full financial year after completion (i.e. the Shanks financial year ending 31 March 2019) ...

[a0148009] 04/7/2016 13:10

Interesting a potential reverse takeover and significant strengthening of the Euro makes the deal difficult to execute.
AO

[wad collector] 04/7/2016 10:32

Hard to see an EU company greeting Shanks with the same enthusiasm as a fortnight ago . Can't see a good effect on the share price here. When it finally opens.

[a0148009] 14/6/2016 13:46

One of the pleasures of being suspended the share price does not get whacked and maintains
the status quo (subject to BREXIT which was there anyway)

AO

[ed 123] 14/6/2016 11:42

As we haven't heard anything to the contrary, I'm assuming that the merger is still being planned/negotiated.

I can't see Shanks coming back from suspension this side of the Referendum. The Referendum result may impact on what is agreed between the two parties.

Anyway, I like the suspension. Shanks is my one share that hasn't gone backwards over the past month! ;-/

[a0148009] 02/6/2016 13:59

betman - This was a very complicated deal a merger between a UK quoted company and a German partnership. To complete the deal we flew from London to Basle to save on stamp duty and sat in a room for hours reading aloud every page of the merger agreement in front of a Notary, an archaic law going back to the days when most people could not read to protect their interest.

AO

[betman] 02/6/2016 11:03

Thanks A0, I am amazed that a business would be allowed to be suspended for 5 months. That must have big implications for all sorts of reasons. Your previous experience may be about to be repeated if we vote Out !!

[a0148009] 02/6/2016 10:07

I was in a company when the shares were suspended 5 months during merger negotiations which turned out to be a blessing as the market took a dive and then recovered during the period.

AO

[betman] 02/6/2016 09:31

Shares now been suspended for a week now and no news. How unusual is that ? With the Brexit vote was this a good time to announce this deal ?

[cyfran101] 25/5/2016 00:02

Well when the market is laid low this is the time to be doing deals not when the market is high and we are paying hefty premiums.

That said Van Gansewinke current debt is in line with our market cap so there had better be a great deal on the table, extensive synergies and as Van Gansewinke have made some significant investments exceptionally poised for a rebound.