Thg Share Discussion Threads

[boix] 05/2/2022 15:13

Sanks
Without a positive RNS release Shorts will likely be adding on Monday.
If it’s true they have to release a RNS
If it’s not they won’t.
That’s my point.
It’s a binary outcome at 7am Monday.

[g2theary] 05/2/2022 15:13

*A 500p per share bid Monday morning is my call :D I?d be happy with that :)

[debsdowner] 05/2/2022 15:12

Also what about this from sharecast:

"It was understood that executives from Advent have visited THG's offices in Manchester in recent months. People following the situation told Betaville that dealmakers from Apollo were visiting the offices and one of the company's warehouses this week.

Advisers from Jefferies were said to be working for THG on fielding interest from the buyout firms. It was unclear on Friday whether the PE firms were working individually on the potential deal or as a consortium. The precise nature of the deal being discussed was also unclear, Betaville said."

So the company dont know anything about the above statement?

Doeasnt make sense to me THG allowing people in its offices and warehouse ?

[g2theary] 05/2/2022 15:12

A 500p per share bud Monday morning is my call :D I'd be happy with that :)

[boix] 05/2/2022 15:12

Last bit of the Friday’s Sharecast News report

“The speculation was described as "uncooked", which is a term Betaville often uses to refer to market gossip.
At 1550 GMT, THG shares were up 16% at 132.20p.
A spokesperson for THG declined to comment.”

So THG have already declined to comment?

[kooba] 05/2/2022 15:10

SoftBank is essentially private equity fund and they make offers for companies..take ARM, many listed companies are taken private by PE ..if say SoftBank were in discussions for the whole company rather than exercising their option for just ingenuity then of course it would have to be announced irrespective of MM position.

[sanks] 05/2/2022 15:08

My bird Sheila told me last night they gonna wait till the shorts get a good shagging.. if they don't close first thing Monday morning at £2.25.. then they will be buying mine at £5.17

Hope this helps
Sanks..OBE MBE BA HONS PHD LLB SHAG

[debsdowner] 05/2/2022 15:07

Daily business:

"According to markets blog Betaville, Advent is working with advisers from Goldman Sachs on its interest in THG alongside the company’s founder, Matt Moulding."

So what you are saying is the compnay has no knowledge of this "According to markets blog Betaville, Advent is working with advisers from Goldman Sachs on its interest in THG alongside the company’s founder, Matt Moulding."

I find it hard to believe that the company would not be aware the founder and third parties are thinking of taking the compnay private.

[bookbroker] 05/2/2022 14:57

Hardly classify Private Equity being categorised as offeree companies, THG do not have to comment unless Moulding himself is involved at this stage. In essence there are no companies involved, if the price continues to rise they may release a statement. Think of MRW., they waited a while before making a statement.

[kooba] 05/2/2022 14:51

The company itself may not be aware if no approach or discussions happening , that doesn't necessary mean that a plan isn't being worked on.It could flush out any other board initiatives to enhance value that are in train though.

[debsdowner] 05/2/2022 14:44

Oh and by the way I have seen lots of shares move rapidly and no takeover and the company say something like "we no of no reason for the sudden rise in the share price etc etc."

There is always a time when a share price will feel like its hit the bottom and then everyone piles in for a time that is the herd instincy of greedy investors.

Greed and fear drives the share prices either way, and the share price slumped quite badly the day before as I recall.

[debsdowner] 05/2/2022 14:38

My take is if there is talk over a buy out and that pushed the price up near 40% the company has a duty to issue an RNS,

One would have thought that would have happened Friday night as the Sharecast rumour was issued mid afternoon yesterday/

If HUT dont issue an RNS before market opens on Monday I would take the rumour as pure gossip and done so, so someone can make a tidy sum of money.

Anything can happen now some may buy if no RNS and still think the company is being circled or the share price could slump on open.

I do think the company have a duty however to make a statement before open on Monday, one could argue the company didnt have time on Friday and discussingwhat they should do.

[boix] 05/2/2022 13:51

Marekg
You missed out the first part of rule 2
“Rule 2 of the Code sets out the circumstances in which a takeover approach is required to be announced prior to the announcement of a firm offer. In summary, an announcement is required if the offeree company is the subject of rumour and speculation in relation to a possible offer, if there is an untoward movement in its share price or if discussions relating to a possible offer are to be extended to more than a very restricted number of rpeople. If an offeror and the offeree company are able to maintain confidentiality, and if discussions remain limited to a very restricted number of people, no announcement is required.”
My reading is that unless there is “a takeover approach…̷0;…” they don’t need to say anything?
But I asked for a knowledgeable legal opinion?
My understanding is that rumours circulating are not a reason for an RNS unless there really has been a takeover approach? - RNS only required if rumours are correct.
Clearly MM could voluntarily say something but I seriously doubt he would?
Usually the Company mentioned as making the takeover approach would deny the rumours but with Private Equity they are unlikely to do so.
Let’s wait until Monday unless there is a legal expert out there?
Maybe the Sunday Papers will provide us with some clarity?
If not hoping for an RNS at 7am Monday although if the rumours prove correct surprised they didn’t issue an RNS late Friday?

[marekq] 05/2/2022 13:44

"In summary, an announcement is required if the offeree company is the subject of rumour and speculation in relation to a possible offer, if there is an untoward movement in its share price"I think the Daily Mail and Sharecast articles tick the rumour box and Fridays +18% rise in share price plus whatever FOMO kicks inn Monday will tick the share price box.So an RNS would be required from the company, though I suppose the could wait till Tuesday if MM choose to let the remaining shorters squirm.Funtimes ahead !!

[boix] 05/2/2022 13:20

Pre
A fair point.
Let’s see what Mr Market does if there is no RNS?


Interestingly enough at the moment THG only has one short position over 0.5%
AHL Partners LLP 0.61%

[pre] 05/2/2022 13:05

Well if he didn’t comment when share price was collapsing why bother when it is rising. When it hits over £2 Monday as shorts get squeezed out would be nice

[albert arthur] 05/2/2022 12:49

THG/MODE relationship. https://twitter.com/albert__arthur/status/1489942566330056704?s=21

[kooba] 05/2/2022 12:47

He can stay on the board, declare his interest in the buy out proposal and recuse himself along with any other board member potentially conflicted to the discussions at a board level. Such discussions would then fall to the independent directors to engage with the buyout group to see if they can agree terms which the independent directors could agree and recommend to shareholders. If no agreement is achieved and the buyout group goes hostile it would make MM position very tricky and he might have to stand down pending the takeover period. But he has a right as a major shareholder to have a say in what he believes best for himself and the company by voting his stock however he likes.

[boix] 05/2/2022 12:23

Ham
I agree but if they issue a denial the price would collapse so if allowed the preferred option would be to say nothing?
Private Equity aren’t obligated to say anything.
The best rumours always involve Private Equity.
The rumours surfaced when the share price was at an all time low - perfect timing.
I have a small holding bought below 135p and wondering whether to sell if no RNS?
Regards

[hamhamham1] 05/2/2022 12:01

I would imagine if there is genuine interest, it will become official quite quickly, continuous rumours not good for any involved.

[boix] 05/2/2022 11:48

“Rule 2 of the Code sets out the circumstances in which a takeover approach is required to be announced prior to the announcement of a firm offer. In summary, an announcement is required if the offeree company is the subject of rumour and speculation in relation to a possible offer, if there is an untoward movement in its share price or if discussions relating to a possible offer are to be extended to more than a very restricted number of rpeople. If an offeror and the offeree company are able to maintain confidentiality, and if discussions remain limited to a very restricted number of people, no announcement is required.”

I could wrong but doesn’t the above in effect mean that if there is no substance to the gossip/rumour the Company doesn’t have to issue an RNS?
What happens if the Company says nothing and let’s the market draw it’s own conclusion?

Is there anyone with experience in this area? - I am not a legal expert.

[merrick1965] 05/2/2022 11:30

Here’s a legal question somebody better skilled than I could help with
If Moulding part of bid team and is chairman with golden share should he resign as Director to avoid conflict of interest. I think next week very interesting for if material developments I believe company are obliged to issue a statement and even if they respond we are in preliminary discussions shorters if they have any sense will close.

[hamhamham1] 05/2/2022 11:25

Ahh, The Sunday Times look, out for her negative spin on the interest mentioned on Friday.
A journo's need to be proved right can cloud their 'impartial' jottings.

[coscos] 05/2/2022 11:19

More than likely MM will be forced to confirm or deny rumours next week. Let's see what Sunday papers have to say about it aswell.