Sig Share Discussion Threads

[wildsheroo] 28/5/2020 22:56

The construction materials company is also said to be planning to raise money from existing shareholders as part of a comprehensive attempt to shore up its balance sheet amid the coronavirus pandemic.

[wildsheroo] 28/5/2020 22:55

City insiders believe that could provide a valuable template for private equity firms to re-equitise companies which have been forced to borrow money to survive the pandemic.The price at which SIG is expected to sell the new shares was unclear on Thursday night.

[wildsheroo] 28/5/2020 22:53

Read the news again, it says new shares. Dilution of shares will bring the share price down.

[paulof2] 28/5/2020 22:34

I think this is absolutely brilliant news. You’re clearly both mistaken and stupid if you think they will be offering shares at less than the current prices, why would they when they know the underlying business is worth 3x these prices and was pre covid.

[rastamouse] 28/5/2020 22:31

Think it will go much higher.With major funding secured in this environment this will move up fast.

[ianb5004] 28/5/2020 22:30

Or not lol. Find out tomorrow

[ammu12] 28/5/2020 22:27

A public markets deal which has not been seen in London for more than a decade will re-emerge on Friday when SIG, a building materials group, unveils plans to sell a big stake to the buyout firm Clayton Dubilier & Rice (CD&R).

[wildsheroo] 28/5/2020 22:24

It will be interesting to know how low it will go in the morning! There will be an opportunity of a good entry point.

[ianb5004] 28/5/2020 22:22

Dilution but large injection of cash via A long term investor/large backer is all good from where i am sat. Beats a equity raise to pi,s
I think the market will like it.

[s34icknote] 28/5/2020 22:22

Gonna be interesting to watch tomorrow !So this company with 142 million in cash needs to raise another 160 million after already selling off the Crown Jewels !I will be more intrigued with the trading figures.Wish you all the luck tomorrow .Fingers crossed as some companies that have had rights issues have moved up strongly .Sicknote

[parob] 28/5/2020 22:19

New shares are going into sticky hands.

[rastamouse] 28/5/2020 22:18

Market will see this as massive positive.To secure major funding and secure the future of the company is a massive positive.This will recover quickly to pre-covid levels.With major backers and new dynamic CEO with have multi-bag potential from here.

[wildsheroo] 28/5/2020 22:16

Sky news says, SIG want to raise!!! New shares will be issued, dilution will happen!

[parob] 28/5/2020 22:14

Dart Group #DTG completed a placing at 576.5p on the 21st May. With funding concerns out of the way, the share price is now 950p just 5 trading days later.

[trinid2] 28/5/2020 22:11

Share price go down by 50% lol lol lol lol your hoping bruv :)

[rastamouse] 28/5/2020 22:10

Depends what price any fund raising is at.Personally I think this is great news and we will see significant price rise tomorrow.Company now has backing from a big hitting private funding company (great track record).Can see this significantly re-rate to the upside in coming weeks/months.

[rumobejo] 28/5/2020 22:08

"In total, it could seek to raise roughly as much as its own market capitalisation of £160m from CD&R and other investors, one analyst suggested."


"The buyout firm is likely to take a substantial minority stake in SIG, although it is not likely to be above the 29.9pc level at which a mandatory takeover offer would be triggered."


so let's say CD&R taking 29.9% for £160m then 70.1% equity valued at £375m divided by the current shares in issue ~591m equates to 63p which is what the price was back on March 2nd pre covid

happy with that :D

[wildsheroo] 28/5/2020 22:06

Market value 160m, want to raise 160m. This means share price can go down by 50% if this news is confirmed tomorrow.

[wildsheroo] 28/5/2020 22:04

Glad I was out! Will buy it cheaper after new shares are admitted. Yes long term good news.

[gooner1886] 28/5/2020 22:01

Ok chaps thanks we shall see how it plays out . Good luck all

[rastamouse] 28/5/2020 22:01

With funding now secured (as per article) can see this going much higher in coming weeks and months.Possible bidding war re takeover also between two intrested parties who will now have major holdings in SHI.

[wolves_boy] 28/5/2020 22:01

Tomorrow morning... sell or hold?