Tomkins Plc Share Discussion Threads

[scripophilist] 16/1/2001 15:50

P.S. There is so obviously still a value gap here.

[scripophilist] 16/1/2001 15:46

Conference call here.



It's very well worth listening too. Newlands appears to be a very professional and competent chair. Newlands is dropping a very strong hint that the discount to intrinsic value is significant.

Obviously looking very hard at the business. I'm very comforted by the call and Newlands. Looking to address the possible dilution of the shares by 20% due to Gates family possible exercise of their pref shares.

Slightly negative on the US which he describes as "Chilly".

Analysts are a pretty weak bunch, not many questions.

[clem] 16/1/2001 11:13

The key now is going to be getting someone excellent into the CEO role. (Someone to can the blummin buyback for starters!! :) )

[rd-racer] 16/1/2001 08:37

Buy of 2740500 gone thro, presume this is part of the share buyback, should help to bolster the price.

[scripophilist] 16/1/2001 08:05

P.S. Was I the only person to get the results @ 11:30pm last night. There was a leak in the US by the look of it.

[scripophilist] 16/1/2001 08:01

Well I'm out and about today and picked up the report but can't comment fully till I read it properly. But, headlines look like, "Re-based" dividend, More substantial buy backs, Negociate with Gates to reduce dilution of pref shares, sell S&W, cautious on the outlook for the remainder of the year. Trading performance is fine, Balance sheet strong.

[yogi] 14/1/2001 21:57

Will be interesting to see what the McKinsey report has to say. One assumes that if break-up is not on the table then the alternative will have to be attractive and reasonibly fast to get the support of investors. So long as cash flow is strong I would imaging the divi. will be held and maybe even increased, which will be quite nice, so as to keep investors happy in the short term and allow management some breathing space to turn things around. Either way it still seems a no brainer at these prices particularly if divi is maintained or increased - Roll on Tuesday:)

[scripophilist] 14/1/2001 16:48

Fellow believers / value investors, some weekend press ahead of the interims.





Should be fun..

[bpoole] 12/1/2001 11:48

Buyers 'appear' to be moving in now.

[bpoole] 12/1/2001 11:43

Thanks Scrip, just read the report. Thing is if the company was worth £2.3b yesterday it is still worth £2.3b today. As interest rates come down in the US M&A activity will increase. When S&W goes do you think there will be a takeover?

[scripophilist] 12/1/2001 11:33

Here is a link to the FT article.

[bpoole] 12/1/2001 11:12

Count, I have just got on to Tomkins who put me on to Finsbury who do their PR.
They told me that the report was pure speculation. They drew comparisons with Smiths Group who could not sell their auto business. He told me how difficult it was out there to sell a business. So now is not the time to sell. I asked if the same applied to Smith & Wesson and he said no, so the sale of Smith & Wesson will go ahead as this is not considered a core part of the business. He emphasised that increasing shareholder value is the main aim of the company.

[kayak] 12/1/2001 11:01

Count, I hate the way you pander to the establishment. It's OK to criticise them, just say what you think.

:-)

[bpoole] 12/1/2001 10:46

goforit
We can't tell if there is selling (see the 'Market makers- the truth' thread) but there is not much volume.

[goforit] 12/1/2001 10:36

bit of selling going on ?

[diego] 12/1/2001 10:05

Guys

...this one, by the balance of probabilities and "sum of the parts" valuation must come right.

A defensive stock hence dropped like a stone today.

Diego

[scripophilist] 12/1/2001 09:54

I wonder if I will ever understand the markets valuation of this company, Any body seen any press commment today?

[bpoole] 11/1/2001 16:20

From iii

The Daily Mail speculates that with the results next week will be an announcement of the strateic review.

This is not new speculation but the comment that analysts now think that the sum of the parts could be worth as much as £2.5 billion against a current value of £1.3 billion is at last some sensible recognition of what people on this board (including myself) have been maintaining for quite some while.

This would suggest that the shares are worth about £3.20.

The analyst from Teather & Greenwood is quoted as saying "I think they'll probably break up the group and sell it off. If they do that there is a lot of upside in the share price."

IMHO if they do announce that they are going to break up the group next week then there should be no need for the directors to hold onto the cash in the bank. They should announce a significantly enhanced dividend well above the 5p expected.

No doubt we will all await next Tuesday with baited breath.

[bpoole] 10/1/2001 11:53

There are some chunky buys going through. We should end up on the day.

[kayak] 09/1/2001 21:26

PW, you're just trying for the "most misspelled poster's name" award at next year's bash :-)

[scripophilist] 09/1/2001 14:32

stustu - I've changed my name.