Awg

[Car Key Boi]

Bream's takeover bid looks like it aint gonna happen by the deadline (June 18th)

if so, what effect do YUO think this will have on the share price (currently at 540 ish)

- Car Key Boi

 

[Car Key Boi]

following the withdrawal of WestLB's backing for the takeover, it looks like Caxton-Iseman Capital and Star Capitial Partners are working on a deal to provide Bream with the finance

but they've only got a few days and it's gonna be a tall order to agree a deal in time

Caxton and Star may try to bid for AWG by themselves if the Bream bid fails. Thing is, unlike Bream, they don't have the necessary manangement that's capable of running such a highly regulated business such as AWG. Plus there's a possible conflict of interest coz one of Star's backers is the Royal Bank of Scotland. RSB is involved with AWG in regard to arranging a $450million bond issue

it's unlikely that AWG will accept any bid that's under 600 a share

 

[Shadower]

Bottom of page three, Times business secto the WestLB PFG looks to be heading for a management buyout.

It does mention that the Board will be under pressure to extend the timetable but that the chair of AWG doesn't think this is likely.

Personally, still bullish on AWG, ymmv.

besta all

Dave

 

[Car Key Boi]

well, as yuo've prolly gathered i went short on AWG since last week. I took the view that 538 was overvalued with no firm bid on the table. Price has fallen today and as i post this, stands at 522 ish. I've just set a stop "loss" at 535 and a limit order at 504

i don't think there's a cat in hell's chance that the AWG board is gonna agree to an extension for Bream, coz it's got personal. That Robin Saunders chick who was heading Bream, really got under Hickson's skin.

i also get the impression that Star are not totally serious about bidding for AWG without Bream, because of the aforementioned lack of specialized managment for a UK utility like AWG. Star could be bluffing, saying that they intend to table a bid if the Bream bid fails, just to try and exert some leverage on the AWG board to agree to an extension for Bream. We'll see

- Car Key Boi

 

[Car Key Boi]

erm, don't think so dude

 

[Car Key Boi]

well, as i thought, when push came to shove, Star were bluffing when they said they were gonna make a seperate bid if Bream failed with theirs

http://quote.bloomberg.com/apps/news?pid=10000102&sid=aMi3x.NsDdQw&refer=uk

i didn't get the 504 i was after, but after the price bounced from 506 i managed to close out at 511

yeah, sweet, Ra!'s all round

 

[Shadower]

Same old same old from me I'm afraid ;-)

Front of the Time Business showing CVC moving to finance a deal. Bream, I think, said they'd honour the 6 month cooling period, unless the board acept and offer or someone else comes in.

Star look like they're blocked from making their own, guilty through association.

Personally, I think a higher 500 by the end of the 3rd quarter is achievable, I'm seeing a floor around the 500 level which I think could be the base to push from.

Nice trade though, ka-ching !

Besta

D