Tegel IPO

[Arbroath]

""The TGH Board has received an unsolicited, conditional takeover
notice for all the issued shares of TGH at NZ$1.23/share (plus up to
a 4.1c dividend) from Bounty Holdings NZ (Bidco), a wholly owned
subsidiary of Philippines domiciled Bounty Fresh Food Inc. The
takeover notice is not an offer, but will entitle (but not oblige) Bounty
to make an offer at any date between 11 May and 28 May 2018.""

Just to clarify dates

wouldn't surpise me if they wait until near the end of the window to try and shake out a few sellers, as some will get nervous that they might not bid at all...

[Joshuatree]

Hope Bounty just disappear. Much rather patiently wait until the chicken cycle/return improves and have the bountiful gain as shareholder and the cycle will turn up, as sure as eggs. PS have tried one brand of chicken thats not chicken, urrghh, they've got a way to go yet.

[Filthy]

not long left now and still no news.

seems bounty have stopped accumulating as well? (no more holding updates recently)

[Balance]

not long left now and still no news.

seems bounty have stopped accumulating as well? (no more holding updates recently)

Two working days to go.

Like with Comvita, a drawn up due diligence is not a good sign imo.

Wonder if Bounty's due diligence has uncovered untoward information which is giving them cold feet.

The institutions who unloaded tens of millions of shares around current levels certainly showed little confidence that a deal will happen - so will they be right?

[winner69]

When deals want to get done they often get done quick

The BWX founder and his CFO approached Bain just over a month ago and deal done ....up to shareholders to decide now.

[Valuegrowth]

I heard that Tegel has appointed Goldman Sachs to advise it on the takeover notice.

Chicken is going to be global winning animal protein. The highest Global per capita poultry consumption in 2015 came from countries such Israel, USA, Australia, Malaysia, Saudi Arabia, Brazil, New Zealand, Argentina, Canada, South Africa, Russia, Mexico, Ukraine and EU.

India has one of the lowest per capita consumption followed by Indonesia and China. Asian and African countries will have more demand for poultry products as per capita consumption of poultry in those areas lags behind the rest of the world. Asian countries such as China, India and Indonesia have large and growing population. Growth is being aided by modern trade development, changing consumer habits and dynamic product development.

[Valuegrowth]

Although Monthly corn prices in NZ are trading much below the historical high prices, current corn prices are trading closer to prices which had during period from July 2015 to June 2016. There could be some impact on cost of production. Efficent companies in the sector will do well. One positive sign is yields are increasing in global grain producing countries. One driver in the grain market is government support in various countries to increase grain yield. With the rising production of grains across the emerging and advanced economies, the demand for other products such as grain handling products and equipment has increased considerably in the recent years. So far weather had been good for many African and Asian agriculture economies.

[Balance]

I heard that Tegel has appointed Goldman Sachs to advise it on the takeover notice.

Chicken is going to be global winning animal protein. The highest Global per capita poultry consumption in 2015 came from countries such Israel, USA, Australia, Malaysia, Saudi Arabia, Brazil, New Zealand, Argentina, Canada, South Africa, Russia, Mexico, Ukraine and EU.

India has one of the lowest per capita consumption followed by Indonesia and China. Asian and African countries will have more demand for poultry products as per capita consumption of poultry in those areas lags behind the rest of the world. Asian countries such as China, India and Indonesia have large and growing population. Growth is being aided by modern trade development, changing consumer habits and dynamic product development.

It's all about whether the takeover is going to happen tomorrow.

If it does (>60% probability), well and good for the shareholders sucked into this turkey of a chicken shxt.

If it does not, share will fall into a new territory as it means the due diligence process has uncovered problems - eg. long term 'take or pay' supply contracts with the poultry farmers.

Meanwhile, note that NZ chicken prices are 5th highest in the world - hardly a position to make NZ a major chicken exporter!

[Valuegrowth]

Research has suggested that New Zealand’s export competitiveness could be increased by improving efficiency and innovation in the export sector. High NZD also have reduced competitiveness in export markets. In addition despite having high NZD consumers didn’t benefit much. NZD was one of the best performing currencies in the world. When compare with UK, food prices are very expensive in NZ. Other day friend of mine told me milk, chicken and egg are much cheaper in the UK when comparing with NZ. However, as protein, chicken and eggs are cheaper than fish and other meat in NZ. Therefore, there will be some demand for egg and chicken locally.

https://www.numbeo.com/cost-of-livin...y2=New+Zealand

Cost of Living Comparison between United Kingdom and New Zealand

UK NZ Difference

Milk (regular), (1 liter)	0.89 £ (1.70 NZ$)	1.34 £ (2.58 NZ$)	+51.40 %
Loaf of Fresh White Bread (500g)	0.96 £ (1.84 NZ$)	1.13 £ (2.18 NZ$)	+18.17 %
Eggs (regular) (12)	1.86 £ (3.59 NZ$)	2.43 £ (4.67 NZ$)	+30.21 %
Local Cheese (1kg)	5.39 £ (10.37 NZ$)	4.96 £ (9.54 NZ$)	-7.97 %

Chicken Breasts (Boneless, Skinless), (1kg)		5.83 £ (11.21 NZ$)		6.80 £ (13.08 NZ$)	+16.65 %
Beef Round (1kg) (or Equivalent Back Leg Red Meat)		7.68 £ (14.78 NZ$)		8.43 £ (16.21 NZ$)	+9.71 %
Rent Per Month	[ Edit ]		[ Edit ]
Apartment (1 bedroom) in City Centre	747.92 £ (1,438.76 NZ$)		757.58 £ (1,457.35 NZ$)		+1.29 %
Apartment (1 bedroom) Outside of Centre	596.47 £ (1,147.41 NZ$)		594.81 £ (1,144.22 NZ$)		-0.28 %
Apartment (3 bedrooms) in City Centre	1,187.39 £ (2,284.16 NZ$)		1,219.27 £ (2,345.50 NZ$)		+2.69 %
Apartment (3 bedrooms) Outside of Centre	925.29 £ (1,779.97 NZ$)		1,033.49 £ (1,988.12 NZ$)		+11.69 %

Mortgage Interest Rate in Percentages (%), Yearly, for 20 Years Fixed-Rate			3.25	4.87		+49.96 %

https://www.newsroom.co.nz/2018/05/2...start-in-june#

Vive le NZ bifteck! EU-NZ negotiations start in June

[Balance]

D-Day for Tegel.