BOWOOD
27 Apr 2017
Re: 2 Sisters deal Well it seems as if the Directors could be buying to support the sp and perhaps trying to justify the appalling way they have administered the deal. I still feel this will end in tears and would certainly look to exit at double the deal price of 15.2p
TX2
26 Apr 2017
Re: 2 Sisters deal I tend to think that without this deal the company would in due course run out of cash,looks like a rescue to me 2 Sisters should earn the money back via the sale of meat.There are some oddities in the accounts like charging £1.2m pre opening costs for 11 new shops seems an improbable allocation of costs.......These are all small rented butchers shops!
BOWOOD
26 Apr 2017
Re: 2 Sisters deal I don't carry a lot of weight and even less knowledge but I feel in this instance the transaction has not been done in the best interest of existing shareholders and a higher authority should take a look. I am sure that many existing shareholders would have been happy to subscribe for additional shares in any placing at say 25p, and for the company to pursue its existing development program which they tell us was working. I have not seen the sp graph but management should have stepped in to stop a false market developing and that false market may be continuing if their broker and even directors and friends are buying in to prop up the sp
gefm0090
26 Apr 2017
2 Sisters deal The Board has effectively agreed to sell the company (29.9% + 20.1% warrants = 50%) to 2 Sisters at what appears to be a look-back call price of 15.2p. This is lowest the shares have been for three years, half what the shares were selling at yesterday and 1/6th of what they were a year ago.I find it hard to understand why they have agreed to this. Was the company going out of business without another infusion of cash? Not according to what Noel Collett says in the final results. So why do they apparently think that 15p is the best price shareholders can reasonably expect in the long term?Unless the Board can explain to shareholders why they think 15.2p is a good price to sell the company for, I shall be voting against this deal at the AGM in June.
Contrariwise
26 Apr 2017
Re: Not good Actually, my maths was wrong, the SP has not fallen more than the cash injection. Still, this deal has still been highly dilutative for shareholders. I agree with Bowood that the shares should have been suspended pending a material transaction, in the mean time a false market was created in the shares.
BOWOOD
26 Apr 2017
Re: Not good I agree and I can see no good reason to pay more than 20p or even more than the 15p paid for the new issuance. Long term perhaps good, but it will be long term and I rule out any RTO because that could have been done at the time. I feel the board and advisers have behaved badly here and should have put a halt to dealings at the time of the agreement as it was very material. The recovery of the sp - or the doubling of it since the agreement has lost a lot of new investors a lot of money. Poor advice or lack of it perhaps from their advisers and shareholders should consider voting against the deal IMO.
Contrariwise
26 Apr 2017
Not good I had a limit order on Crawshaw at 25p and find myself bought in after the company has just announced a highly dilutative deal. Not pleased. Am I right in thinking that 2Sisters have bought 33,794,490 of newly issued shares? In which case the number of shares has gone from approximately 79m to 113m, and the market cap from around £23.9m last night (79m * 30.25p) to £27.1m now (113m * 24p). Hence, the market cap has fallen more than the cash injection. Not impressed with the issue of warrants, which will put an effective cap on the share price of 40p, but otherwise this deal is clearly a vote of confidence in the business. Wait and see.
BOWOOD
26 Apr 2017
Results Operating loss of about £1m for the second half. Looks as if we will see the sp sub 20p today which I have always (recently) thought to be a fair value. Sorry for those who pumped the sp up beyond the 20p level.
BOWOOD
21 Apr 2017
MC Can we really be worth £25m after a loss of nearly £500k at the half way? Christmas must have been good.
BOWOOD
12 Apr 2017
Results These will be due shortly - lets hope the losses have been contained during the second half.
BOWOOD
18 Mar 2017
Business Rates I suspect the increase in business rates will further burden the recovery in earnings. I still feel that even at 10p we will struggle to provides earnings to justify it. A loss for the year to be reported on in April will hit the sp and we will be lucky to show a reasonable profit for the current year.
BOWOOD
14 Feb 2017
Re: the bulls are being Slaughtered Margins are under pressure but the real problem is the increasing competition from the major supermarkets and with the competition they have amongst themselves. Even at 10p they would need to be making a good eps of 1p to justify an acceptable PE and I cannot see that in the medium term.
CASTLEFORD TIGER
14 Feb 2017
the bulls are being Slaughtered Its now 15.00 point something to sell..............its slowly going.Anyone still fancy this ?Tiger
Bonker
10 Feb 2017
Q1 2017 blog update - CRAW Q1 2017 blog CRAW weekly chart update - notes under each chart:[link]
Bonker
06 Feb 2017
CRAW chart [link]
