The bid has a 90% minimum acceptance condition longy and currently closes on the 17th of Sept - it may possibly be extended by Briscoes but if not then you still own Kathmandu shares and Briscoes will not have bought them off you. Hope this helps!
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Let's see what happens mate. I think he'll wait till the directors and the independent valuation are discredited and then take it over in due course for a lot less than $1.80.
I am not sure on the creep provisions but usually minimum acceptance conditions can be waived altogether is he chooses to do so ? Happy to be corrected if anyone has taken the time to read all the small print takeover clauses in great detail.
Oh... I see. Yes should have got out @ 1.7. Never mind. Still a few more days to go.
Ah well, sanity prevailed and thats all over: https://nzx.com/companies/BGR/announcements/270375
Could be quite good now though with Mr Duke as a 19.9% shareholder-agitator.
Wish the day-trading shorters who add nothing of value would bugger off though.
Dr clip, take solace your directors say your shares are worth well over 2 bucks
A 'merger' sometimes still on the agenda methinks
Back down to $1.25 soon (as for-shadowed by myself earlier), unless directors can prove otherwise. if / when ? they can't they should all resign. This isn't a market that tolerates "talk". I sense we are entering a more sceptical stage for the market as a whole after the recent shakeout / correction. A market that absolutely demands results and will very severely and mercilessly punish stocks that don't deliver. If there isn't the promised recovery in earnings we could easily see this under $1.00 in due course IMO and shareholders will be absolutely begging Duke to join in with his highly profitable and successful empire. Just look the current SP. Already the market is highly sceptical of the new CEO's ability to deliver. In my view talk of a "whopping" 10% cost reduction in head office overhead is really quite trivial and borders on pathetic as far as proper restructuring goes. Duke's school of hard knocks retail expertise is exactly what this company needed and I believe shareholders will live to rue the day they turned Duke down.
Apparently Kathmandu is going to make a counter bid to takeover Briscoes.
Those that sold to him at 1.80 must be pretty happy now and no doubt a few others wish they did!
Unfortunately for those that accepted Briscoes offer at $1.80, their transactions are void following the lapse of the offer period. Briscoes has reverted to their 19.9 percent holding of Kathmandu according to a notice filed with the NZ on Friday.
Yes I realise that Snoopy, those will get there money back. The ones that sold on market will be at present - as long as they bought below this figure and some that did not still could be happy.
They still could increase again, but not for awhile given current market conditions IMHO.
Discl: Only own one pair of shoes that I got on sale and paid the majority for with a voucher given to me and after all that I think the sale price was about what they were worth plus I did not want to be a sheeple in Auckland and join the (black) puffer jacket brigade, bought another brand and it is not black or a puffer looking jacket - needed one to go to Ruapehu in July :)
Duplicate post
I will not be surprised if a "please explain" is issued by the NZX re recent trading for this stock. Depressed value is one thing: repetitive cycles is another thing altogether.
Result out and its a shocker. I call B.S. on their projections for FY16, the whole basis behind the rejection of Rod Duke's takeover. Management face a monumental challenge. The market clearly doesn't like their prospects either and the institutions that were fortunate enough to be in a position to be able to take advantage of Duke's $1.80 cash bid must be laughing all the way to the bank.
I expect a re-test of the previous low of $1.25 in due course. All directors and senior management should fall on their own sword's in due course if they can't meet their ambitious, (flight of fancy ?) profit forecast for FY16.
Good for you Roger...good for you.
I think at $1.30 this stock could be a buy, simply because if BGR come back with the same offer, I think it would be a 'cheap' entry into BGR shares plus a bit of cash on the side.
Just my very brief thoughts as I don't follow this stock particularly closely.
Does Duke get a seat on the board for his 20%. Means he would have inside info to time his next offer.
Shareholders hoping the board can make good on their forecast for FY16 might want to consider currency and competition comments made by HLG and PPL today in their annual result presentations today. With weak consumer confidence and very strong currency headwinds its clear KMD management have their work well and truly cut out for them.
From today's FN Arena:
"KMD - KATHMANDU HOLDINGS LIMITED
Macquarie rates KMD as No Rating (-1) - Kathmandu's result was in line with the company's August profit warning. FY16 guidance has been maintained but the broker has set its forecasts 5% below.
As the broker is advising with regard the takeover offer, it is currently restricted from making a recommendation.
Current Price is $1.30. Target price not assessed.
The company's fiscal year ends in July. Macquarie forecasts a full year FY16 dividend of 9.99 cents and EPS of 13.35 cents . At the last closing share price the estimated dividend yield is 7.68%.
At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 9.74.
This company reports in NZD. All estimates have been converted into AUD by FNArena at present FX values. Market Sentiment: 0.3
How do these forecasts compare to market consensus projections?
Current consensus EPS estimate is 13.1, implying annual growth of N/A.Current consensus DPS estimate is 8.3, implying a prospective dividend yield of 6.4%.Current consensus price target is $ 1.72, suggesting upside of 31.9%(ex-dividends).Current consensus EPS estimate suggests the PER is 9.9.
All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources."
A bit odd, seeing that the takeover offer has lapsed!
When do you think Rod's next will be. Next week? Next month?
If Rod still interested he and Rosanne be quietly working with Kathmandu people convincing them that a combined outfit is the way to go ....and working on the 'merger' details to keep everybody happy (or reasonably so)
Probably the 'merger' be in the form of Kathmandu 'taking over' Briscoes in a scheme of arrangement. All agreed and signed off by both - shareholders won't have much say
All early next year methinks
WTF on the KMD pricing by NZX? Second time on two weeks their closing value is nowhere near what it is. Today says 1.59 but actual is 1.55 (even after reconciliation). Tomorrow will be lower no doubt. Did the same two weeks ago 1.58 when was 1.53. Weird.
A lot of trade (260,797) at $1.59 at the close - the price is right.
Best Wishes
Paper Tiger
Fiasco over the CEO incentive Chairman Kirk quoted as saying "We don't want to throw out the whole scheme; the scheme works well," Kirk said."We just didn't twig, so now we realise we need to adjust those [targets]."
http://www.nzherald.co.nz/business/n...ectid=11546309
Now come on David, you not that dumb.
The Shareholders Association not impressed :
"The New Zealand Shareholders Association has given Kathmandu chairman and former All Black captain, David Kirk, a "yellow card" over the company's long-term incentive scheme for its new chief executive, Xavier Simonet."
The We just didn't twig comment makes you wonder if they are actually looking at what they are doing.
Doesn't make you feel confident.
Rod Duke said on radio this morning the original scheme was presented to th board remuneration committee who signed it off ad then the full board signed it off ....without even doing the 'mathematics' (big word for Rod) to see if it made sense
And he pointed out that the two directors on the remuneration committee are standing for re-election today
Hope Rod lamb blasts them big time
Seems the directors are asleep at the wheel still.
Or mathematically challenged.
AGM preso - quick look through and hey who put that together went to Harvard
https://www.nzx.com/files/attachments/225217.pdf
I don't think it possible to cram any more buzz words into a presentation - most impressive
With all the optimising, rationalising, refining, reviewing, driving, converting, maximising, focusing, reinforcing, enhancing, leveraging, inspiring, enhancing, penetrating, omni-channeling, targeting, etc etc going on Xavier's bonus is a certainty I reckon. Can't go wrong with all that strategising
Hope he not over extending himself - bought a few (only a few for a laugh) just to keep in touch with progress. After all it is going to be in the top 25% of performers over the next few years (TSR that is)
Note: Bit puzzled about fatigue/dependency though. Must do some homework
hopefully this can break the down trend
In spite of all the fuss Xaviers bonus passed with a resounding majority. Doesn't look like Rod even voted against it.
Now Xavier can get with implementing all these optimising, rationalising etc things with no distractions.
Made a few bob on Friday - share price next stop $1.80 and then $2.00 as the market slowly realises that optimising, rationalising etc are good things and that Xavier is an action man and not just a guy using flashy words.
Share price on fire - over 170 now
Instos just love strategies with those flash words literally scattered through it and are topping up knowing Xavier a action man
KMD will move from Dog of the NZX to STAR status over next year - share price possibly 300
300 with forecasted 30m earning? Hmm... Maybe in a few more years...
But agreed, undervalued at current price IMO.
Unless you trade daily... nothing to worry about.
I think confirmation of the interim result will be what pushes it over 200 or not. Just a waiting game.
the Q&A transcript was interesting...
Interesting spike in volume for the end of the week. Given the EFTPOS sales reported over Xmas/NY maybe some hope this translates for KMD and others.
Must be about time for a trading update? Find out if they sold any hiking boots over Christmas...
https://nzx.com/companies/KMD/announcements/277070
There you are Huxley. Steady as she goes, but they have turned around last years Xmas issue it seems. Cautious but positive result.
50 MA over 120 MA and SP above both, KW would have said that was a positive sign too.......
Somebody doesn't want KMD getting away on them just yet. International prices immediately knocked back by lowballers on low volume (third day in row). Interesting strategy as this is exactly what happened with ATM back on Sept-Oct 2015.
1/2 yr results one week today. A sleeper? A goner? Market pretty quiet on this yet sp risen almost 10% in last few weeks. Personally, I think undervalued and if full year target still confirmed could be a good little runner over next few months. Analysts have at high 1.90s-low2.00.
Last couple of updates suggested well improved results and on track to meet the full year target. Just profit takers and general market weakness have kept the sp down until now.
Also the hunt for yield has helped given the OCR cut - similar reaction with HLG & other high divi stocks.
If KMD can achieve their forecast FY profit of $30.2, that's about 15cps.
I expect them to pay 10c of dividends for FY2016 - same amount as 2011-2012.
Gross dividend yield of about 8.4% at current price of $1.65 - not bad for the yield.
On a personal note, I buy lots of things from Kathmandu - but only if it's on sale. Non-sale prices are ridiculously overpriced. I feel you need to be a Summit Club member to get the most value if you shop here alot.
The past few months, I've bought a head lamp, a running back pack, a drink bottle and a Nyos water proof jacket.
I'm generally quite happy with the quality of items I buy at Kathmandu. However on my last rainy outing with the jacket, water got into my arms. I was told the jacket is fully water proof and seam sealed. Hmmm, very questionable this Nyos jacket is fully water proof aye.
Disc: I'm an idiot and bought at $2.80
2nd half will be the determining factor.. i hope the winter is very cold
bit of volume today with price holding, up slightly
guess a neutral to favourable response.
Nice little run going on for this stock since mid-Feb. Skeptics maybe starting to turn believers.
https://chart.finance.yahoo.com/z?s=...n-NZ®ion=NZ
Needed a new pair of hiking boots and even though Easter sale over but there was a hike and trek sale for Summit Club menbers.
Liked these $220pair (reduced from some exorbitant ticket price) and they fitted really well and comfortable as. The nice sales guy seemed to know his stuff and was really friendly and helpful - he told me they have issues with that model and pointed out where they would split and where the soles might separate from the uppers and I shouldn't buy them
Ended up with another brand he recommended which felt just as good - cost $129.99 and when i paid the nice girl at the checkout gave me a voucher for $20 to take off my next purchase. Ticket price was $319 ha ha
Not often does get the down sell treatment (even though he tried the up sell to socks etc).
Hope Kathmandu margins are holding up
A couple of months ago I had to purchase a new rain jacket at the last minute for an impromptu trip to the tongariro crossing. Picked up an NGX jacket at what I thought was a pretty good price at the time but now see it retailing at $150.00! They're also selling their three layer goretex jacket for $450.00 on clearance... I guess they'll be clearing stock before the winter sale.
Jeremy Clarkson was seen wearing a Kathmandu jacket in this weeks re-run of the best of Top Gear, maybe that will help ?
I love great retail sales assistants who are good at up selling.
I had a very pleasant experience at Hallensteins Dressmart Hornby, where the proffessional assistant doubled the value of my purchase,by suggesting I add black dress woollen socks, at $5 a pair to my $10 pollo shirt.I went for them, and brought two pair.!!!.
One of the goals I hope to attain from my share investing is to one day be able to afford socks with a pattern. I'm slumming it for now...
So the story here is you don't have to be able to afford the socks - just the children to buy them for you.
Anyone know why wheels fell off last week?
Shenanigans. There was no company announcement but one of two things maybe: Easter sales bad, those in the know slowly getting out. Easter sales good and those in the know working to get premium price. SCL dropped suddenly because of staff disclosures so may be same happening here?
there's your answer tim23: somebody wanted the price down and brokers duly obliged for the pickup early Mon AM. But its just the market you see......
Couldn't be more bloody obvious if they tried.
Yup, real shenanigans in this stock at the mo imho. Takes a 10% dive last week for no reason and all of a sudden 1%of the stocks change hand in three days this week already. Will the NZX investigate or even care?
It'll be interesting to see how the winter sale pans out though.. Some people must be looking at the warmer weather lately and perhaps reconsidering their positions… https://www.tvnz.co.nz/one-news/new-...-nearly-winter
Maybe less people keen to up update their puffer jackets this year?
Winter line up...
http://m.kathmandu.com.au/media/wysi...mit_NZ_WEB.pdf
Yeah, man. Nice catalogue and all but when's winter gonna actually get here. I had a plague of freakin' FLIES this weekend - it's May - in the South Island - unheard of. I reckon all the clothing retailers will be on bended knees asking for frosts and then more... The longer this Indian Summer lasts the more screwed they're gonna be. Winter is the big season for Kathmandu and they may find others hit the sale button early... It all spells reduced earnings.
Good post, I agree entirely. They've done a pretty good job on the marketing but I just don't see where the demand is going to come from. Sure some people will need to purchase if they're travelling somewhere cold but domestic (either Aust/NZ) sales look risky. It will be interesting to see how this situation is managed given the company's recent history dealing with lacklustre winter sales...
$1.78, I thought.
Rod's offer was:
Five Briscoe shares for every nine Kathmandu shares plus 20 cents cash for every Kathmandu share.
Bought some items recently online. Very impressed with the experience and the quality was pretty good. They could improve their overall presentation on the mail items but it was good overall.
The real gem is their online shop but I still think they need to "Amazon" the experience by building the feedback community for item reviews.