schwee
25 Nov 2015
Re: Poor Offer What are the Board thinking of by not insisting on a cash alternative. As far as I can tell, Liberty is a debt infested loss making company running to stand still.
idontwanttolose
23 Nov 2015
John Malone: the mystery method behind a media empire From the TelegraphHe has more money invested in British media assets than Rupert Murdoch and at times has been a more successful investor than Warren Buffett, but the name John Malone still draws blank faces from most people outside the City.Even inside the Square Mile, the 74-year-old behind Virgin Media, All3Media, a big chunk of ITV and soon Cable & Wireless has a mystique born of fascination and admiration.“There’s definitely an air to Malone,” said one senior British media executive who has had dealings with companies controlled by the so-called “Cable Cowboy” over the years.“Everyone is trying to work out all the time what he is thinking or what he will do next. I’m sure he cultivates that.”Malone is a master of financial complexity. He has a doctorate in operations research – the use of advanced analytical methods for decision-making – and uses it to simultaneously bamboozle rivals and maintain a predictable style of management that has won him a loyal following on Wall Street.One longtime backer, Denali Investors, was so enamoured that two years it published a dossier entitled The Malone Complex – a study in financial brilliance.The pending £3.5bn takeover of Cable & Wireless by his international cable group, Liberty Global, is just the latest study in the Malone Complex.On the surface, the deal straightforwardly expands the company’s presence in Latin America, where a young population and long-term economics mean telecoms and media companies see strong growth.The nuts and bolts are meanwhile textbook Malone. Paid for mostly with Liberty Global stock, the deal is in fact composed of three offers: Malone and two other major shareholders in Cable & Wireless effectively accepting a lower price to get the takeover done.Liberty Global will fold Cable & Wireless’ equity into a special stock class, LiLac, created to give direct exposure to Latin America for those investors who want it. Malone, who already owns 13pc of Cable & Wireless, will be paid in LiLac stock, while other investors in the British company will get Liberty Global shares.The complexity only increases when debt and tax planning is considered. Although Liberty Global said it was unlikely to be able to use unrecognised Cable & Wireless tax losses of $7.4bn, those who follow Malone saw a longer-term plan. Analysts suggested a tax loss of $1.1bn could be used to reduce bills if Liberty Global one day sells its UK assets.
idontwanttolose
23 Nov 2015
Recommended Acquisition of Cable & Wireless Communications Plc Why make it so complicated?THE RELEVANT PARAGRAPH the consideration under the Recommended Offer would represent an indicative value of 81.03 pence per CWC Share (including the Special Dividend and using the Closing Price of Liberty Global Shares on 20 November 2015);Recommended Acquisition of Cable & Wireless Communications Plc ("CWC"
byLiberty Global plc ("Liberty Global"On 16 November, 2015 the Liberty Global Directors and the CWC Directors announced that they had reached agreement regarding the terms of a recommended acquisition through which Liberty Global will acquire the entire issued and to be issued share capital of CWC (the "Offer Announcement".Illustrative calculations of Exchange Ratio and Alternative Exchange RatioCWC intends to provide CWC Shareholders with illustrative calculations of the Exchange Ratio and the Alternative Exchange Ratio on a weekly basis until the Scheme Document is posted to CWC Shareholders, and on a daily basis (on business days only) thereafter, in each case until the Exchange Ratio Calculation Time.Accordingly, CWC announces today details of the Exchange Ratio and the Alternative Exchange Ratio as if the Exchange Ratio Calculation Time were 23 November 2015. CWC Shareholders should note that this is for illustrative purposes only and that the Exchange Ratio Calculation Time is not, and will not be, 23 November 2015. The Exchange Ratio Calculation Time, and accordingly the Exchange Ratio and the Alternative Exchange Ratio, will be determined as described in the Offer Announcement and as will be set out in the Scheme Document.CWC Shareholders are advised to read the Scheme Document carefully once it has been despatched, which is currently expected to be within 4 months of the date of the Offer Announcement.Illustrative calculations as at 23 November 2015If the Exchange Ratio Calculation Time were 23 November 2015 (being the date of this announcement), under the terms of the Transaction, the Exchange Ratio and the Alternative Exchange Ratio would be calculated such that:· under the Recommended Offer, CWC Shareholders would be entitled to receive, for each CWC Share, 0.008301 New Liberty Global Class A Ordinary Shares and 0.020321 New Liberty Global Class C Ordinary Shares, as well as the Special Dividend;· under the First Dual Share Alternative, CWC Shareholders would be entitled to receive, for each CWC Share, 0.005593 New Liberty Global Class A Ordinary Shares, 0.013693 New Liberty Global Class C Ordinary Shares, 0.002343 New LiLAC Class A Ordinary Shares and 0.005739 New LiLAC Class C Ordinary Shares, as well as the Special Dividend; and· under the Second Dual Share Alternative, CWC Shareholders would be entitled to receive, for each CWC Share 0.004601 New Liberty Global Class A Ordinary Shares, 0.011265 New Liberty Global Class C Ordinary Shares, 0.002343 New LiLAC Class A Ordinary Shares and 0.005739 New LiLAC Class C Ordinary Shares, as well as the Special Dividend.At such illustrative Exchange Ratio and Alternative Exchange Ratio:· the consideration under the Recommended Offer would represent an indicative value of 81.03 pence per CWC Share (including the Special Dividend and using the Closing Price of Liberty Global Shares on 20 November 2015);· the consideration under the First Dual Share Alternative would represent an indicative value of 75.86 pence per CWC Share (including the Special Dividend and using the Closing Price of Liberty Global Shares on 20 November 2015); and· the consideration under the Second Dual Share Alternative would represent an indicative value of 66.54 pence per CWC Share (including the Special Dividend and using the Closing Price of Liberty Global Shares on 20 November 2015),based on the following:· the Closing Price of $42.79 per Liberty Global Class A Ordinary Share on 20 November 2015;· the Closing Price of $40.86 p
the last night trader
20 Nov 2015
Poor Offer Long term holder, average price 39p, and just sold... Liberty's paper, well if I wanted that I would buy it anyway!!Ok in theory I could be a few hundred pounds better off in Liberty paper but who knows what that will be worth in a few weeks time and the 3p div isn't worth the wait.The board let private investors down by not insisting on a cash option..... very sad end...!!
idontwanttolose
20 Nov 2015
My previous postTue 10:33 Re: T/oidontwanttolose I completed this morning at 79.5!!Time to move onand it may be time to buy some back!!!From the London South East site (which you may find useful but as always dyor)I have no idea where people are getting the idea that this is an all cash offer or that it represents a price of 86.82p PLUS a cash divi of 3p per share. The RNS clearly states:The CWC Directors intend unanimously to recommend that CWC Shareholders elect to receive the Recommended Offer. The CWC Directors do not intend to recommend either the First Dual Share Alternative or the Second Dual Share Alternative.Under the Recommended Offer, CWC Shareholders shall be entitled to receive, for each CWC Share:a number of New Liberty Global Class A Ordinary Shares as determined by the Exchange Ratio, such number not to be lower than 0.007921 and not to exceed 0.008301; anda number of New Liberty Global Class C Ordinary Shares as determined by the Exchange Ratio, such number not to be lower than 0.019391 and not to exceed 0.020321.CWC Shareholders who validly elect to receive the Recommended Offer and who are on the register of members of CWC at 6 p.m. (London time) on the Business Day immediately prior to the Effective Date will also be entitled to receive the Special Dividend.On the basis described above, the consideration under the Recommended Offer represents:an indicative value of 86.82 pence per CWC Share, INCLUDING the Special Dividend.So it is paper plus cash in the form of the dividend. The "C" shares may also be convertible to cash (a la Rolls Royce) but it is clearly NOT an all cash offer nor is it worth more than 86.82p per share.
benarfa
20 Nov 2015
Re: What to do? I am now out. It has been one of my best investments. I first bought back in May 2012. The increase in share price has been fantastic, plus there have been some excellent dividends. I sold a good chunk of my shares at 69p before the announcement of the takeover, and then got the rest out at 79p a few days ago. So overall I could have done a bit better with my timing but I did well enough.I do not want Liberty shares, apart from anything else I buy and sell through Barclays and they have indicated there would be "complications" if I were to receive non Crest shares as these cannot be held in their Marketmaster account. The completion of the deal looks like it will be well into next year (Q2) so the combination of that time frame and a complicated deal mean that I am prepared to leave some money on the table and look for pastures new. Others in different situations may have a different view and are prepared to wait for their Liberty shares and maybe a few more pence of value per share.
Hawk Eye32
20 Nov 2015
Re: What to do? I don't want Liberty have not sold yet but will do in next few days not sure when they expect completion on the deal, can someone out there please advise? not interested Liberty paper.
greyfox2
20 Nov 2015
Re: What to do? I've sold, well up from the initial price of 30/40 or whatever I bought for, it was so long ago.Price has been slipping back so Mr Market may not be keen on Liberty paper, or their share price / dollar may be moving adversely.Anyroad, cash in hand is better than paper sometime next year....
Jimbo Rules
19 Nov 2015
What to do? share price slipping, wonder is that's because nobody wants shares in liberty.advice please, what are you guys going to do or have done?should I get out asap?
GRAMPSAV
18 Nov 2015
Re: T/o The three pence payable has part of the deal is equivalent to the final paid in August so two finals in sixMonths is not a bad deal for shareholders.Does this indicate that CWC will pay the interim dividend due around the date of the takeover completion.
idontwanttolose
17 Nov 2015
Re: complex offer Mine went this morning just after the market opened at 79.5I have BG.and Rex That is enough stocks for me to have under offer and look what happened to RSA which i also hold!!
Norman Barrington
17 Nov 2015
complex offer Although I thought hold this AM, looking at the complexity of the deal and the risk in the wider market between now and 2nd QTR 2016 I decided to pull the plug this afternoon. Any share that returns 100%+ gain is a success in my book, and I'd like a little more cash in hand to take advantage of any market dips ahead. If a white knight comes along, I shall think "drat!" but a bird in the hand.... etc. Best wishes to all, no doubt see you elsewhere in due course. (Amongst my portfolio, I also hold PACE which is a right cliff hanger)
exdiv
17 Nov 2015
bid Might be worth hanging on for a potential counter bid. Any cash offer above 85p would be attractive to shareholders and I would think a telecoms company with high market shares in the Caribbean would be of interest to a major US telecoms player.
dokp
17 Nov 2015
Re: Cable & Wireless snapped up by Liber... It's an all paper offer + 3p with a choice of what mix of Liberty shares you want -voting A shares, non voting C shares or LiLAC shares. For some reason, which I don't yet understand, 2 major shareholders want 2 different mixes of shares to the recommended offer so you also have the option of following them. The exact number of shares will depend on an exchange rate calculation which they have not disclosed but will later - can anybody throw light on this? I can't work out whether there is a fixed $/£ price/share or what.
raptor66
17 Nov 2015
Re: Cable & Wireless snapped up by Liberty Is this a mishmash offer??
