Shire Share Discussion Threads

[blueclyde] 16/4/2018 09:48

Given how leaky this share has been based on the share price movements prior to news being released Takeda would have known this sale was happening I presume as it didn't just happen over night. Whilst having little impact on the share price it may make a take over even likely as there is now a couple of billion cash on the balance sheet which can quickly be leveraged in a takeover situation. I am guessing that the sale came about because a few months back there were also vultures circling. You can't argue that the balance sheet and valuation metrics here all look very healthy which would support a highly geared takeover if needed.

[philanderer] 16/4/2018 09:18

Panic stations ;-)

[scfc1] 16/4/2018 09:13

I would tend to agree re neuroscience but Takeda’s original statement that (its 1st line, in fact) of the rationale for buying the whole of Shire was the oncology part (now being sold under a mutually binding agreement) and neuroscience (which some reports say they will then need sell in order to fund the deal!?). All very peculiar esp. with about 8 days to deadline day...

[romeike] 16/4/2018 09:07

Neuroscience is getting spun out one way or another, either by this BOD or by Takeda. It is the only way that the numbers can work.

[scfc1] 16/4/2018 09:04

It is referred to as a definitive agreement and hence is mutually binding on both parties...so putting in a quick bid to scupper the deal will not be an option. I read this as ‘business as usual’ as the process started on the sale at the end of 2017. It is also interesting this is one of the areas Takeda as a reason for its potential acquisition.

[ygor705] 16/4/2018 09:03

Thanks Toffeeman. Hope that you're right but oncology is really a small chunk of the overall pie. A rapid signature of a binding contract by Shire should ensure that it disappears from the portfolio. Least of their worries.

[toffeeman] 16/4/2018 08:40

It's presumably to flush out bids. Takeda wants(ed) the Shire oncology products as part of their own portfolio.

If they are interested then they need to get an offer out quick to scupper this deal with Servier.

It may force others' hands as well and if nothing else it will pay down the debt quicker.

[ygor705] 16/4/2018 08:18

Selling oncology at this point seems a strange move if you are trying to fight off a takeover. Takeda now has a better spreadsheet to show its lending bankers and shareholders of Shire are promised a share buyback.....maybe! The logic defeats me but perhaps I've missed something.

[wynmck] 16/4/2018 07:46

Oncology business sold

[ruethewhirl] 16/4/2018 01:55

A takeover offer at 35 billion would be a waste of everyone's time.

What's that, 3850 per share?

[ruethewhirl] 16/4/2018 01:21

A lot of numbers flying around at present, be nice to know which, if any, have any validity.

35 billion in that Telegraph article, but what's that number based on?

People are just making up numbers and throwing them out there.

[philanderer] 16/4/2018 00:29

Thanks for the heads-up kb, here's the link

[karateboy] 15/4/2018 22:07

According to Yahoo finance and the Sunday telegraph Takeda CEO is to fly to US this week to talk to its big investors regarding buying SHP. Takeda is also considering splitting SHP and selling its neuroscience to help the take over.

[karateboy] 15/4/2018 21:24

If company has received an offer they should tell us on Monday. Especially with few statements on weekend newspapers regarding disagreement on the initial price.

[scfc1] 15/4/2018 09:17

I read the speculation as 'discussions' rather than any actually offer per se. As values of c£35bn are seemingly being talked about, given Shire was valued at around this amount in only January of this year, it is hardly surprising this will not be seen as attractive. Also, given the relative sizes of the 2 companies, I've never been convinced that Takeda could even afford this deal especially when the usual market deal premiums are taken into account. Time will tell...

[blueclyde] 14/4/2018 10:32

What ever the offer was it should have been at least reported to the market. It would be perverse if an offer the in the 40's was declined for example then the share plummeted back to 3000p for example. We need to know looking at the price action this has been insider trading central recently. I remain positive a deal will be done as it appears the starting gun on biding has been fired.

[ruethewhirl] 14/4/2018 02:02

Yes next week will be it.

Sad that Takeda thought a low ball offer would be greenlighted.

A few simple Google searches would reveal to Weber that Ornskov and the rest have a long history of calling the share price far too low, pointing, amongst other things, to the pipeline, which is impressive and promising when compared alongside their peers.

We can only hope that the other much vaunted "other bidders" will come forward very soon.

[philanderer] 14/4/2018 00:55

Never works that way rue does it ;-)

Reading between the lines of those market reports Takeda have come to Shire with a low offer and Shire have told them to go and have a rethink or withdraw altogether.

May even find out the answer to that next week I reckon.

[ruethewhirl] 14/4/2018 00:50

Be nice if we were all privy to the info clearly provided to bodies at 3 PM.

[philanderer] 14/4/2018 00:34

Telegraph:


"...Shire shares sharply tumbled in intraday trade before recovering to a 79p loss at £36.07 amid City chatter that Takeda’s bid might have run into trouble."

[philanderer] 13/4/2018 21:05

And still falling away at the US close........... 3550p 'ish


Financial Times...


"...Shire slipped amid market speculation that talks between the drugmaker and Takeda, its potential acquirer, have hit an impasse over price. Takeda has until April 25 to announce its firm intention to make an offer or walk away."

[philanderer] 13/4/2018 17:39

If I wanted to bid for SHP I would be waiting for Takeda to make a move first. If they pull out the shareprice would possibly retrace to 3000p. Then I could put a lowball offer in.

Bit of a Mexican standoff :-)