Uniq Plc Share Discussion Threads

[loverat] 11/4/2011 18:32

What a laugh. The company's pension scheme puts the company up for sale.

[healyron] 11/4/2011 17:55

Just a gentle reminder in case one of us wants to buy it...?

;-)

[propane] 11/4/2011 16:03

NamNews - Monday 4th April 2011
UK: Uniq Put Up For Sale
Uniq's pension trustee has put the convenience food maker up for sale, a month after taking control of the troubled company which had a pension deficit nearly six times its market value. The company, which sells desserts, sandwiches and salads to retailers such as Marks & Spencer's, said on Friday some third parties had shown interest in making an offer for Uniq or investing in it.

The pension scheme trustee, which is a 90.2% shareholder in the company, has appointed Spayne Lindsay & Co. LLP as its corporate finance adviser and it intends to undertake a process to realise all or part of its shareholding in the company, Uniq said in a statement.

In February, the pension trustee released the company from its liabilities, effectively wiping out a pension deficit of more than £400m from the company, in return for taking its stake in the business.

Uniq, once the UK's biggest milk and cheese producer, has an enterprise value, including equity and net debt, of about £89m. A tenth of the shares are listed, and have a market value of about £7.5m. Geoff Eaton, Uniq's Chief Executive, said he was optimistic about the prospects for a successful sale of the company. "In our sector there's consolidation happening, such as the Northern Foods takeover [the UK convenience food group owned by Ranjit Singh Boparan].

"So probably there will be a number of trade buyers interested in buying the 90% stake held by the pension scheme."

Bankers suggest that potential trade buyers might include Greencore, the foods group whose planned merger with Northern Foods was stymied by Boparan. Other possibilities are Bakkavor of Iceland, Fleury Michon of France and Kerry Group of Ireland.

Uniq generates annual sales of about £300m.

[brando69] 08/4/2011 15:28

ideally before 26 April please

[propane] 08/4/2011 10:16

I truly expect to quickly see £1+ once bidders show their hand.

[stevi111] 08/4/2011 10:14

Surely with bidders circling, the pension deficit out of the way this HAS to be a fantastic buying opportunity ?

Surely the 90% held by the pensions trust are going to be looking for a much higher price than todays shareprice if any deal is going to go through ?

[billybankrupt] 06/4/2011 19:15

Not so long ago, M&S results such as those published today would have driven Uniq higher.

I remain surprised that the share price is on the low side despite the announcements that the vultures are circulation.
I had hoped for 75p driven to nearer £1 with both potential bidders and M&S results in the open.

Perhaps the Uniq performance is not anticipated to be very good especially with the loss of throughput in Evercreech.

We still await the outcome of the review declared at the same time the loss was announced!

[brando69] 04/4/2011 20:55

i had assumed that nominee held shares held in ISAs would be sold automatically on behalf of holder on 1 April. Turns out you have til 26 April to either do so or have shares transferred into regular trading account.... according to TDW

[propane] 02/4/2011 10:05

£1 per share for starters would be nice... (-:

[propane] 02/4/2011 09:05

Uniq pension fund puts company up for sale
By Louise Lucas, Consumer industries Editor

Published: April 1 2011 17:11 | Last updated: April 1 2011 17:11

Uniq's pension fund has put the company up for sale, after acquiring control of the maker of Marks and Spencer sandwiches.

Uniq, once the UK's biggest milk and cheese producer, has an enterprise value, including equity and net debt, of about £89m. A tenth of the shares are listed, and have a market value of about £7.5m.

The shortfall in the pension fund, which is now separate from the company, was £436m at April 2009.

In February, Uniq acknowledged that the company's size was insufficient to satisfy its pension deficit, and agreed to cede 90 per cent of its shares to the pension scheme.

Geoff Eaton, Uniq's chief executive, said he was optimistic about the prospects for a successful sale of the company. "In our sector there's consolidation happening, such as the Northern Foods takeover [the UK convenience food group owned by Ranjit Singh Boparan].

"So probably there will be a number of trade buyers interested in buying the 90 per cent stake held by the pension scheme."

Under UK rules, a buyer acquiring 90 per cent would then be able to squeeze out the minorities to gain full control.

Other than selling to a trade buyer, the company is exploring selling to private equity or listing the shares.

Bankers suggest that potential trade buyers might include Greencore, the foods group whose planned merger with Northern Foods was stymied by Mr Boparan. Other possibilities are Bakkavor of Iceland, Fleury Michon of France and Kerry Group of Ireland.

The company, which generates annual sales of about £300m and is forecast to have generated £4m of earnings before interest and tax last year, also benefits from a pile of deferred tax assets.

These can be cashed in against future profits and could prove valuable to a financial sponsor or other buyer looking to use Uniq as a vehicle to roll up other assets. Uniq will not have to pay tax until pre-tax earnings exceed £400m, Mr Eaton said.

Uniq's troubles stem back to 2000 when it sold its dairy business to Dairy Crest but retained the pension deficit. "Nowadays, and under current regulations, it is more difficult to sell a business without dealing with the pension deficit at the time," said Mr Eaton. "So the regulatory environment has changed."

Even so, other companies caught up in a similar predicament – having shrunk their business through wholesale disposals – have been closely watching unfolding events at Uniq.

Pensioners still have only limited cause for cheer: even if the company is sold for a good price it is still likely to pull in less than a quarter of the deficit. The scheme has 20,500 members, half of whom are currently pensioners. Among those yet to reach retirement age are scores of former milkmen who delivered bottles to British doorsteps.

A fourth-quarter trading update at the beginning of the year said sales for last year rose 6.8 per cent to £312m. The growth has been driven by the Food to Go division, which supplies sandwiches and salads to retailers. The biggest customer is Marks and Spencer, which accounts for 50 per cent of revenues.
.

[healyron] 01/4/2011 20:03

So, does all this consolidation mean that my 25000 shares at under 7p each is now 2500 shares at under 70p each? So, no real change then...?

Ron

[propane] 01/4/2011 19:27

Uniq on bids menu as pension deficit cleared
Nick Goodway
1 Apr 2011

Bidders are circling sandwiches and other chilled foods maker Uniq after it cleared a £400 million pension deficit by giving 90% of its shares to the pension fund.

The fund today said it had appointed specialist food and consumer goods boutique investment bank Spayne Lindsay to look at how it can realise some or all of its stake.

Uniq today said it had received several "indications of interest regarding a potential offer for, or investment in, the company".

Greencore, the salads and sandwiches business that last month pulled out of the £342 million bid battle for Northern Foods, is likely to be a potential bidder. So too are private-equity firms looking to create larger companies in the convenience foods sector.

Uniq, whose shares transferred to a junior AIM listing today, is valued at £77 million.

"This is a market which is consolidating quite rapidly," said Uniq chief executive Geoff Eaton. "From the point of view of our 90% shareholder, it's a very good time to be looking at realising value."

Spayne Lindsay acted for the private-equity buyers of Premier Foods' Quorn and meat-free businesses, which were sold for £205 million in January

[lhw55] 01/4/2011 18:43

MaltaTrader - 1 Apr'11 - 18:00 - 10701 of 10701

actually this stock was on my watchlist years ago and I never removed it any today I saw this jump! just curious what happened?


10-1 consolidation and 90% of shares held by Pension Fund

[maltatrader] 01/4/2011 18:00

actually this stock was on my watchlist years ago and I never removed it any today I saw this jump! just curious what happened?

[purplebox] 01/4/2011 17:52

MaltaTrader - 1 Apr'11 - 17:10 - 10699 of 10699

according to LSE website the price of UNIQ right now is 67p..........what's happening?

Yeap - where have you been for the last two months - under a rock?

[maltatrader] 01/4/2011 17:10

according to LSE website the price of UNIQ right now is 67p..........what's happening?

[oldtown] 01/4/2011 10:28

so in offer period and goes up nothing?

[peawacks] 01/4/2011 10:25

Pension fund to sell UNIQ

StockMarketWire.com - Convenience food group Uniq plc, now 90%-owned by its pension scheme, has entered an offer period under the City Code after the scheme initiated plans to realise all or part of its holding.

Uniq agreed in February to exchange its pension debt of more than £400m for a 90.2% stake in the group and a cash payment of £14m to the scheme.

The restructuring was completed on Thursday last week (Mar 24).

Uniq said the board had received a number of indications of interest from third parties regarding a potential offer or investment.

It would work closely with the pension scheme 'to maximise value for all stakeholders in the business while continuing to focus on building value for the long term'.

However there was no certainty that the process would result in an offer. A further announcement would be made as appropriate.

[purplebox] 01/4/2011 08:33

Can't buy anything on-line...

[dr knowledge] 01/4/2011 08:32

With the announcement above - bit of an understatement there! ;-)

[profiting] 01/4/2011 08:19

Suddenly without the pension commitments this looks alot more interesting.

[btb2] 01/4/2011 08:12

The Board of Uniq, which is being advised by Investec Investment Banking, will work closely with the 90% Shareholder and its advisers to maximise value for all stakeholders in the business while continuing to focus on building value for the long term. The Board has received a number of indications of interest from third parties regarding a potential offer for, or investment in, the Company.

Shareholders should be aware that there is no certainty that the process set out above will result in an offer being made for the Company nor as to the terms on which any offer might be made.

A further announcement will be made as appropriate.

[purplebox] 31/3/2011 21:29

Daytraders - 31 Mar'11 - 21:08 - 10691 of 10691

i think below 50p, as most holders will see the 64p open and sale as there think they have made a big profit.

I don't think that people are quite that ill informed.

And it's certainly not a given that it will open at 64.45p (10 x 6.445p) either...