Forum Archive Index - March 2004

["David & Jill Stevenson" <djstevo@quicksilver.net.nz>]

De Vere Hotels plc in which GPG has an existing 10 % holding jumped 17p overnight . It appears GPG ,frustrated at lack of influence at Board level, has made an offer  to buy 28.5 million further shares ( 25%) for STG 118 million , or 415p.

     GPG has been unsuccessful to date to persuade the remaining Board members to sell what it probably sees as a matured investment of 21 upmarket hotels leaving the residual assets represented by faster growing mid-market Village Leisure Hotels and Green`s Health and Fitness Clubs .

     It could be that GPG  has a dual potential aim - an alternative  ( probably primary) being to flush out Whitbread plc which has been hinted as a suitor. GPG appears to have a singular ability to expose otherwise lurking or maybe lazy bidders from the closet. Qtherwise quaint personal Anglo-Saxon reserve appears  to be a trait prevalent in the corporate world as well. Remember the earlier days Ron Brierley upsetting conservative Boards of targetted companies like Northern Steamship company in New Zealand to dare suggest that they should be at work before 10am. Alan Hawkins ,of Equiticorp ,when sighting UK targets attracted the wrath of " Tiny "Rowlands who characterised British establishment like no other. He  sneeringly regarded Equiticorp tactics as some colonial terrier annoyingly snapping at the heels of  that conservative establishment.

    The horse has bolted but in my post re PGG yesterday I notice I applied an incorrect 249 % figure to highlight the different Institutions variances as to Dividend Yields also I used one too many EPS references when I meant Dividend Yield . Thank you to those who held their silence on same.

 

       David Stevenson