CML - Coles Myer

[ghotib]

Re: Coles

According to Crikey David Tweed is noticing CML. He's offering $7.50, but at least you avoid brokerage.

Cheers,

Ghoti

 

[Julia]

Re: Coles

According to Crikey David Tweed is noticing CML. He's offering $7.50, but at least you avoid brokerage.

Cheers,

Ghoti

Ghoti,

Are you serious? $7.50 is only just over half the current SP. Is Tweed really that bad????

PS
Why aren't these posts on the Coles Myer thread?

Julia

 

[Realist]

Re: Coles

$7.50


where do I sign?



A fool and their money are soon parted.

 

[doctorj]

Re: Coles

PS
Why aren't these posts on the Coles Myer thread?

Julia

Consider it done boss

 

[ghotib]

Re: Coles

Ghoti,

Are you serious? $7.50 is only just over half the current SP. Is Tweed really that bad????

From yesterday's Crikey:

David Tweed is at it again. I got a letter on Wednesday from Direct Share Purchasing Corporation Pty Ltd offering to buy my Coles share for a paltry $7.50 each.

It's in a section called "Unsubstantiated tips and rumours" and it doesn't say who is the "I" who got the letter. OTOH, it's not an unusual Tweed offer. The Coles website has an undated notice to shareholders warning about an offer of $6.00 when the market price was $10.72.

Cheers

 

[chansw]

Coles rejects takeover offer
September 6, 2006 - 7:35PM

http://www.theage.com.au/news/business/coles-rejects-takeover-offer/2006/09/06/1157222187277.html

Coles Myer Ltd has rejected a takeover proposal from a group of private equity companies put to the retailer last month.

Australia's second biggest retailer said the consortium's indicative offer was $14.50 per share.

It said the offer undervalued the company, whose brands include Coles supermarkets, and Target and Kmart discount stores.

Chairman Rick Allert said the consortium's proposal was not in the best interests of shareholders.

He said it was non-binding, subjected to unspecified and open-ended diligence, provided no certainty on the availability of debt finance or the availability of the consortium's own equity finance.

''With such a conditional proposal, the consortium is effectively seeking a free option over the company,'' Mr Allert said.

He described the timing and indicative price offered by the consortium - which is headed by US group Kohlberg Kravis Roberts along with Blackstone Group, Bain Capital, The Carlyle Group, CVC Asia Pacific and Newbridge Capital - as highly opportunistic.

''Since its approach to the company, the consortium has merged with a potential rival, clearly indicating it seeks to acquire Coles Myer in an environment of the least competition and the lowest price,'' Mr Allert said.

''The board has no intention of handing across billions of dollars of value, that belongs to our shareholders, to a third party.''

 

[Julia]

Any opinions as to whether the offer will be increased?

Julia

 

[Julia]

Re: Coles

Consider it done boss

Doctorj

I didn't intend for it to sound like a demand. I'd never want to "boss" anyone!
(Quiet, retiring shy little thing that I am). It just seemed silly to have two threads about the same company. Thanks for fixing it.

Julia

 

[3 veiws of a secret]

Well all cashed up today,does anybody hold my optimism in this share falling back to $14 ????

 

[KaneX]

nah i dont reckon. A second takover bid on the cards around 15.50 a share I hear. You're always gonna knock'em back first for a better price the second time 'round.

 

[scsl]

nah i dont reckon. A second takover bid on the cards around 15.50 a share I hear. You're always gonna knock'em back first for a better price the second time 'round.

I agree, the next offer shouldn't be too far off. And with news of a second group of private equity players, there could be a bidding war.

The restructure plan and profit forecast released by CML may be ambitious and hard to top, but private equity groups are extremely efficient and keen to see their investment succeed. The fact that the owners have a lot of their money at stake will see possibly even more job cuts and tighter cost controls.

I've read that the KKR group might even decide to go hostile. What would happen in this situation?

 

[3 veiws of a secret]

Well I'm a little shell shocked today ....WHAT happened to CML somebody must of dumped some shares @ $ 13.75 ,because I picked up an order @ $13.99 and sold in minutes. I'm more then suprised why or who dumped this share @ $13.75 ,when the trading was basically around $14.25>$14.10 ..........I do get cynical when somebody knows more then they are letting up. Or did somebody panic when reading his stop loss guide book?
Mind you I was focused on other shares at the time ,and things do go bump and dump sometimes,when I'm not looking. c:

 

[alankew]

Any ideas on what happened with Coles today,trading at 14.15 ish then closed at 14.50

 

[alankew]

No one any ideas on coles

 

[Julia]

Any ideas on what happened with Coles today,trading at 14.15 ish then closed at 14.50

I read a suggestion yesterday, not sure but it might have been in FNArena, that it would be unreasonable to think that KKR would just fade away following their initial bid being rejected by Coles.

The spike upwards in CML's SP occurred when they looked like being a take over target, then the price gradually slipped when it looked as though nothing would happen after all.

There may be no connection, but the suggestion above may have had the effect of reigniting interest in the stock.

Julia

 

[alankew]

Seems reasonable Julia except that the price has gone subsatntially lower today

 

[alankew]

Looks like I am talking to myself.Just want some opinions on what could happen with Coles now.The buyout consortium have made a last offer of $15.25 but Coles have till the 21st October i think to say yes or no but do big shareholders get any say in whether this offer is reasonable or not-I am not one of the big shareholders by the way .Lets have your thoughts

 

[alankew]

Correction they have now withdrawn their offer so where to from here

 

[scsl]

Correction they have now withdrawn their offer so where to from here

Seeing as CML didn't finish near its low for the day, this could perhaps suggest that not all in the market have given up? I still think CML will eventually fall to a private equity group.

 

[3 veiws of a secret]

I feeling pretty pig sick this afternoon....I saw the long awaited tumble on my screen from 13.25>12.92 very late trading .But just could not crunch the order in before it spiked up to 13 bucks, then onto 13.20!! Anyway missed my opportunity,but what a day for day trading in this stock. Not sure where this one will fly tomorrow,but rest assured it has a high probabilty of volatility .
I stand to be corrected but there are other players circulating for CML ,if so can they offer $15.25+ ?????

PS have a look at the portfolio crossing of $72K @$14.50 what a buy! ,if only if the guy realised it would fall to $13.20