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Greene King - SOLD!

Practical discussions about equity High-Yield Portfolios (HYP) for income
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OLTB
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Greene King - SOLD!

#245488

Postby OLTB » August 19th, 2019, 4:18 pm

To a Hong Kong outfit for £8.50 per share...just seen on BBC

Cheers, OLTB.

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Re: Greene King - SOLD!

#245489

Postby mike » August 19th, 2019, 4:21 pm

RNS here

https://www.investegate.co.uk/ck-asset-holdings/rns/recommended-cash-offer-for-greene-king--plc/201908191545125357J/

For each Greene King Share 850 pence in cash [...]

In addition, the Acquisition allows for the distribution of the previously announced final dividend for the 52 weeks ended 28 April 2019 of 24.4 pence per Greene King Share to be paid (subject to approval by Greene King Shareholders at Greene King's upcoming annual general meeting) on 13 September 2019 to Greene King Shareholders on the register as at the close of business on 9 August 2019 (the "Final Dividend").


Good they haven't clawed back the dividend

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Re: Greene King - SOLD!

#245491

Postby peterh » August 19th, 2019, 4:25 pm

I just posted the news in the Company Share news board.

idpickering
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Re: Greene King - SOLD!

#245492

Postby idpickering » August 19th, 2019, 4:26 pm

Greene King up 51%. Yes you read that right. ;)

I hold, and shall continue to do so.

Ian.

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Re: Greene King - SOLD!

#245494

Postby kempiejon » August 19th, 2019, 4:29 pm

idpickering wrote:Greene King up 51%. Yes you read that right. ;)

I hold, and shall continue to do so.

Ian.


Not for much longer Ian CK Asset holdings want your shares.

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Re: Greene King - SOLD!

#245495

Postby scrumpyjack » August 19th, 2019, 4:31 pm

They could not have clawed back the divi as the shares had already gone xd

Wow, glad I held on as it is one of my largest holdings. Counter bid? - oh don't be greedy scrumpy!

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Re: Greene King - SOLD!

#245496

Postby OLTB » August 19th, 2019, 4:33 pm

I should have said that the shareholders have to agree this of course...

I note that the sale is to a real estate business and remember reading somewhere that GNK was more a property business that also sold beer. I think that the chap who took over as CEO from Rooney Anand had a background in property.

Cheers (I certainly shall be raising a glass tonight :D ), OLTB.

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Re: Greene King - SOLD!

#245498

Postby spiderbill » August 19th, 2019, 4:35 pm

Talk about out of the blue! That's an hefty premium to the current share price - 48%.

From a personal perspective that clears my current paper loss (bought at 7.06 2 years ago) and gives me some profit to add to the dividends received so far, but it's another high-yield share gone.

Ever get the feeling that Brexit effects are enabling other countries to pick up British companies rather easily!

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Re: Greene King - SOLD!

#245499

Postby mike » August 19th, 2019, 4:38 pm

I have sinned and sold down a good proportion.

GNK were one of those on my worry list because of the B word. The increase in price had put GNK in 4th place capital wise in my portfolio, behind 2 ITs and ULVR, and just in front of RDSB.

I'll have a think overnight on the rest.

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Re: Greene King - SOLD!

#245500

Postby IanTHughes » August 19th, 2019, 4:40 pm

scrumpyjack wrote:They could not have clawed back the divi as the shares had already gone xd

I do not think that you are correct here. As far as I am aware, a company can cancel a Dividend payment at any time they like, just so long as it has not actually been paid. The Ex-Dividend date is purely a device to facilitate the trading of shares within a market and does not bind a company to make the payment previously advised.


Ian

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Re: Greene King - SOLD!

#245501

Postby spiderbill » August 19th, 2019, 4:41 pm

Interesting that Marstons have just risen 8.9% as well! Seems a tad optimistic - are people buying hoping they'll be bought out too? :?
Or maybe hoping they'll have less competition if the new owners concentrate on the real estate rather than the brewing.

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Re: Greene King - SOLD!

#245502

Postby idpickering » August 19th, 2019, 4:42 pm

kempiejon wrote:
Not for much longer Ian CK Asset holdings want your shares.


You are of course right kempiejon. Bugger, I have Marston's in the sector, and liked doubling up there. Oh well, the search for where to put the dosh begins.

Ian.

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Re: Greene King - SOLD!

#245505

Postby scrumpyjack » August 19th, 2019, 4:47 pm

IanTHughes wrote:
scrumpyjack wrote:They could not have clawed back the divi as the shares had already gone xd

I do not think that you are correct here. As far as I am aware, a company can cancel a Dividend payment at any time they like, just so long as it has not actually been paid. The Ex-Dividend date is purely a device to facilitate the trading of shares within a market and does not bind a company to make the payment previously advised.


Ian

Legally you are correct but it has only happened in the past after the XD date as far as I am aware where a company has got into massive financial difficulties and been told by their bankers not to pay.

They could alternatively simply have agreed a price 24.4p lower

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Re: Greene King - SOLD!

#245507

Postby Dod101 » August 19th, 2019, 4:50 pm

Shame that I do not hold but the buyer is part of Li Ka Shing's empire which seems intent on taking over the world. He started out making plastic flowers would you believe. CK stands for Cheung Kong, a very big and highly successful property developer in HK.

I suspect that the weak pound has got a lot to do with it.

Dod

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Re: Greene King - SOLD!

#245509

Postby idpickering » August 19th, 2019, 4:56 pm

I only bought into GNK last Oct and Nov, so this has come as a surprise I don't mind admitting. I'm up 74% in 10 months! Wish my other HYP shares were that popular. lol. What are other holders here plans regarding this surprising event?

Ian.

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Re: Greene King - SOLD!

#245510

Postby Arborbridge » August 19th, 2019, 4:56 pm

Oh dear, what a tremendous pity. This is one of my longest term shares, and I have no wish to lose it.
I know some people will relish the thought of taking a profit and moving on, but I am not in his for a fast buck, but for long term income. So sell a good beer company to a property developer and all he can see is the property. Come back Rooney! All those years building up the company just to see it chucked away.

Now the problem of what to do with the readies if this goes through.

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Re: Greene King - SOLD!

#245512

Postby Arborbridge » August 19th, 2019, 5:00 pm

idpickering wrote:I only bought into GNK last Oct and Nov, so this has come as a surprise I don't mind admitting. I'm up 74% in 10 months! Wish my other HYP shares were that popular. lol. What are other holders here plans regarding this surprising event?

Ian.


What's interesting is that we have few doomsters and naysayers getting their teeth into GNK a year or so back explaining that it was probably doomed. Well, maybe it is doomed, but for a different reason. One of those occasions when one did well to ignore those critics, the percentage of shorting and the falling share price, and just top up.

Arb

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Re: Greene King - SOLD!

#245514

Postby monabri » August 19th, 2019, 5:05 pm

scrumpyjack wrote:
IanTHughes wrote:
scrumpyjack wrote:They could not have clawed back the divi as the shares had already gone xd

I do not think that you are correct here. As far as I am aware, a company can cancel a Dividend payment at any time they like, just so long as it has not actually been paid. The Ex-Dividend date is purely a device to facilitate the trading of shares within a market and does not bind a company to make the payment previously advised.


Ian

Legally you are correct but it has only happened in the past after the XD date as far as I am aware where a company has got into massive financial difficulties and been told by their bankers not to pay.

They could alternatively simply have agreed a price 24.4p lower



Are you thinking of Provident Financial ? They pulled the Interim divi (which is easier to withdraw than a Final Divi.)

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Re: Greene King - SOLD!

#245517

Postby monabri » August 19th, 2019, 5:09 pm

Perhaps the UK market is indeed cheap....lots of delicious things to be snapped up. I wonder what might be next?

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Re: Greene King - SOLD!

#245518

Postby scrumpyjack » August 19th, 2019, 5:10 pm

Yes I always have a sense of schadenfreude as our German friends say, when city analysts forecast doom and gloom on a share I hold. In this case Berenberg have been ultra bearish on Gnk for a year at least forecasting a fall in price to 400p or so. It happened also a few years ago when whitbread shares were about 2000p and a broker kept saying they were wildly overvalued. I subsequently sold some for 5300p and then again in the recent buy back at 4972p.

Funny you never hear a mea culpa from them afterwards.

Just shows you should be very sceptical of analysts and make your own mind up.

It is good for a change that news of this bid did not leak earlier. Often the price rises in advance


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