Sig Share Discussion Threads

[ammu12] 29/5/2020 07:08

85m to be invested by the new company....wow

[topnotch] 29/5/2020 07:07

phew, first tranche at 25p - not much of a discount and a premium to last weeks prices

[topnotch] 29/5/2020 06:58

QsmeIly456 >> Butt plug already inserted, teflon underwear at the ready and sitting in a box of industrial strength cat litter

[qsmeily456] 29/5/2020 06:50

Thats the medium term view rasta concentrate on today

Not good news short term

Discounted offer

Dilution

More sellers

Medium term good punt but expect a drop unless the strike price is 28p upwards

How's ya sphincter

[rastamouse] 29/5/2020 06:35

If you look at CD&R track record you will see they are shrewd operators and add substancial value to the companies they take major stakes in.This is a major plus for SIG and ultimately could be taken out by CD&R at a substantial premium to today's price.

[qsmeily456] 29/5/2020 06:32

Not good news short term

Discounted offer

Dilution

More sellers

Medium term good punt but expect a drop unless the strike price is 28p upwards

If not get the shorts on first thing, could hit 18p before a bounce

[topnotch] 29/5/2020 05:56

Scars >> Of course it's insider dealing - and it's been happening since long before any of us were born, and it will continue as very few people ever get prosecuted.

To raise fund you need to speak to the large players who are willing to invest in your company and word soon gets around - despite the so called wall of 'chinese whispers' in financial institutions.

However, the future for SHI is secure so long term prospects are great - but there may be a bit of uncertainty in the short term as people try and figure out if it's a good/bad deal

[rastamouse] 29/5/2020 05:48

He sold out yesterday so he is desperate for the stock to tank.

[jock363636] 29/5/2020 05:39

Each of your posts are become more annoying. Your ignorance to understanding is on a higher level than my 2 year old boy

[scars] 29/5/2020 05:32

If institutions were dumping on this news then that would that not be defined is insider dealing?

[rastamouse] 29/5/2020 04:46

SIG hasn't mentioned any intention to raise £160 million.The report states ANALYST have suggested they COULD raise that amount.The CD&R funding may be sufficient for now along with draw downs on debt covenants.

[wildsheroo] 29/5/2020 04:02

To acquire 30% of the company CDR will only put 48m, the rest of 132m will be raised from current shareholders.SIG has already mentioned their intention to raise 160m in total. Shares will be issued to collect 160m.

[lastoneout] 29/5/2020 00:53

Some interesting points there but an share price of 28p is already a deep deep discount IMV. SIG is almost debt free and on a turn around strategy under a new broom BOD. If they have negotiated a deal valuing the Co at current levels then they have done a pretty poor deal so far as I see it. But tomorrow will tell. GLA

[topnotch] 29/5/2020 00:37

Hmmmm, 600M shares available currently with a MCap of £166M (at today's closing price) If CDR wants 30% of the company (at todays prices) then we would need to simply issue 300M extras shares

But if we want to raise the same as the current MCap worth - we can either issue 600M shares at todays closing price or issue more shares at a discount.price.

For today's prices the total shares would then be 1.2Bln of which 400m would be preallocated to CDR giving them the 30% they require and leaving 200M free-float

If we wanted to raise at a slight discount to todays price (20p say) then 800M would need to be issued and 460M preallocated to CDR leaving the balance of 340M as free float

Not sure why anyone would pay a huge premium in the given market conditions (the average price for the last 3 months has been sub 30p) - unless the deal was agreed long before the share price took a sizable hit!

[manual dexterity] 28/5/2020 23:28

My loaf of bread i completely agree.

CD&R has a very canny management team and if that investment is made it will add a new dimension to SHI.

I spoke to the "island of fish" and i think he was in complete agreement.

[loafofbread] 28/5/2020 23:25

CD&R's decision to back SIG - and a new management team led by Steve Francis - is likely to be interpreted as a significant vote of confidence in a company which has been rocked by a string of profit warnings.

40p plus opening.

[wildsheroo] 28/5/2020 23:19

This explains why institutions were dumping shares. Naive PI got sucked in.

[lastoneout] 28/5/2020 23:19

Agree but it all depends on the CDR/SH split. I think it will be heavily weighted on the CDR side but we shall see. In any event I think this news will be a boost to the share price

[manual dexterity] 28/5/2020 23:11

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.

Manual says if that is the case the then raise will be lower -

To take a 29% stake ( we do not know yet) and tap existing shareholders for around 160million will mean a much lower share price as opposed to only a 29% stake -

[useless23] 28/5/2020 23:06

Blue prism recently raised £100m at £11 a share. The share price is now £13.

[useless23] 28/5/2020 23:04

I hope you're right. Lol.

[manual dexterity] 28/5/2020 23:02

post 2003 is more up to scratch..

However there are one or two other combinations..

[manual dexterity] 28/5/2020 22:58

To raise 160million at 29.99% max, what are we looking at 55p ?

It a manual event...