No news is good news

lse:fgp

#1

The daily tune in has revealed - no news, at least Apollo hasn`t walked away. A steady turnover in shares but nothing to excite the market. Sterling falling can only help. Still think some one will make a move whether it is management deciding to be a bit pro-active or a straight buy out. Any of the two should be better than the status quo.

HH


#2

Hairy disagree - think in these cases no news is bad news. If they had agreed a price they would come to the market with it. Fully expecting on the 9th Apollo to say something on the lines of ‘Despite making significant efforts to engage with management to discuss a price at a significant premium to the pre-announcement price, due to Firstgroup management not wanting to engage, we will not be proceeding with this acquisition’.

Let’s hope not but got zero confidence in management doing the right thing here.


#3

Hi Pyueck. I dont disagree with your predictions. I am only happy that the bad news isnt today and there is still a sliver of hope. I absolutely agree that management don`t have a handle on this. The bad deal was done years ago buying Laidlaw. Current management are ignoring this, but the surgery needs to be done. Still holding as the break up value is there.

HH


#4

There is still loads of after closing buys at a higher price so someone is still buying and I think it?s a done deal


#5

Mangoo what’s a done deal? Why are you coming to that conclusion. Even if a deal is still possible, which it definitely is but not holding my breath, to say it’s done is…simply wrong.

No idea what management thinking here but it probably is along the lines of ‘let’s put together a half cobbled plan by the end of May to show why rejecting the deal is a good idea’.

Hopefully Apollo will realise that the views of management and shareholders are not aligned and that they should bypass management as soon as possible and go hostile. Whether they will do that who knows, as often bidders don’t like going hostile as it can harm the thing you are trying to save.