eagle51
30 Nov 2016
Re: Market value =cash in bank "so in fact the businesses are valued at zero"......................looks to me as if that's about as much as they're worth (as long as they haven't got actuarial deficits in pension funds set up for key directors/employees (everyone's 'key' except shareholders) in which case you'd have to pay someone to take them.How much is a collection of disparate and tarnished companies beeding cash at the rate of £2m a month worth? I know - it's about the future.The directors and other overheads are all being paid now, however. What about paying some of the bonuses back - or scaling back on the 'first cut of anything half decent that happens' which was based on shareholders getting repaid £50 that ain't gonna happen, however optimistic you might be. I remind you of the exact words used:"monies will be released to Watchstone from the Warranty Escrow unless, inter alia, Watchstone receives an opinion of a senior independent barrister stating that a given claim is more likely to succeed than not"................................in other words the barrister thinks the claims are valid. SGH will probably now come in with the other £47m of claims they can make under the warranty agreement, which allows them to claim up to £100m.Still think the company's valued at less than cash??I've sold out - can't be doing with directors who dress serious events up as if they're inconsequential, while they keep taking the money.
Owen Nobody
30 Nov 2016
Re: Market value =cash in bank "However Watchstone have cash in the bank equal to its market cap without the escrow account so in fact the businesses are valued at zero."but burning cash so you accept the only way is consistently down for the SP as the money bleeds away?
coldascheese
30 Nov 2016
Market value =cash in bank post on lseMarket value =cash in bankToday 09:20Well the claim was to be expexcted as S &G have lost some much credablity over the last year and have to do something to restore that even if they have no chance. I'm surprised the calim is only the same as the escrow amount, which to some extent is encouraging.However Watchstone have cash in the bank equal to its market cap without the escrow account so in fact the businesses are valued at zero. With the claim pretty much valued at the escrow amount even if they lost the company would seem woefully undervalued in my view. At todays price this could be seen as an amazing bargain in 6 months time especially if the current claim is dismissed.In fact a bid for the company could materialise as at todays price you would get the business for nothing.Anyone want to take the gamble.
eagle51
30 Nov 2016
Re: Today's the day...... PS: the full wording of the 7am announcement was posted on the Hot Copper SGH discussion board earlier but seems to have been taken down pdq. Said something like: "WTG has not had access to the underlying data in SGH that led to the claims (which, incidentally, use up the whole £50m) and they'll be going for discovery so be very afraid, SGH". Reference is made to the independent barrister (to whom WTG was allowed under the agreement to make representations to prior to the barrister deciding if it is: "more likely the claims will succeed than that they will not" - sounds pretty clear to me) thinking a court might find the claims vaguely interesting - or some such empty platitude.It's the way you tell 'em.................all imho/dyor
eagle51
30 Nov 2016
Re: Today's the day...... S&G registered claims 2 months ago, oilovlam (and others). WTG dismissed them out of handThe independent barrister now finds there's merit in them.The wording went: "Following 29 November 2016, monies will be released to Watchstone from the Warranty Escrow unless, inter alia, Watchstone receives an opinion of a senior independent barrister stating that a given claim is more likely to succeed than not ("Opinion"
. The Opinion will also quantify what such claim, if successfully brought against Watchstone, would be valued at and this amount would then be retained in the Warranty Escrow until the purported claim was resolved with any excess up to the £50.0m released to Watchstone. Prior to the giving of an Opinion, Watchstone will have the opportunity to make submissions in respect of such matters".Time to call it a day imv. WTG is still bleeding £2m a month cash. Unless they can tell us otherwise - come on, you're reading this - for what reason does it exist except to pay the directors who, as is usual these days, get options/big bonuses and whatever else they can lay their hands on, in the event of anything good happening. I'm fed up with shareholders being treated as mugs. Not sure SGH's claims are restricted to the escrow monies - they can claim up to £100m according to the warranty agreement.You can kiss goodbye to the £1 distribution, probably forever because, by the time anything is settled at the present cash burn rate (it hasn't reduced since the half year's accounts to end of June) anything that might remotely come out of the escrow will be needed for next year's bonuses.Do I sound cynical? Watch the share price crash. I feel we've been very badly misled and any remaining trust in the directors is gone.
neoseal
29 Nov 2016
£50 million of purchase price paid will remain in escrow ..... RNS from SGH on ASX[link]
oilovlam
29 Nov 2016
Re: Today's the day...... "......Slater and Gordon Limited..... intend to bring a claim against Watchstone ............. received preliminary correspondence.....of a purported claim......"I'm confused, was a claim ever actually made....presumably if a claim was made then there should have been an RNS. If no claim is made after today then Watchstone get the money...no?I know it's clutching straws that S&G won't make a claim when they said they 'intended' to but why wait until the last second to make a claim. I cannot quite understand why WYG hasn't made it clear whether a claim has been made....or perhaps they have (I don't follow WTG too closely). Hopefully S&G have realised that they don't have a case and WTG shareholders will get the money they were promised.BTW I sold my holding some time ago for a small loss, so I won't benefit from any WTG payout. But I think anyone who has stayed loyal to WTG deserves to be rewarded.
strapuk
29 Nov 2016
Re: Today's the day...... Oops - thank, forgot about that!This from the RNS you kindly provided :"Following 29 November 2016, monies will be released to Watchstone from the Warranty Escrow unless, inter alia, Watchstone receives an opinion of a senior independent barrister stating that a given claim is more likely to succeed than not"Wonder if this "opinion" has been registered yet? If it has not, it would seem to suggest that the full £50M is released to WTG from the escrow, or is that wishful thinking??
eagle51
29 Nov 2016
Re: Today's the day...... keep up...............[link]
strapuk
29 Nov 2016
Re: Today's the day...... Bet S&G come up with an issue at 23:59 GMT today!
auntysatia
29 Nov 2016
Today's the day...... The remainder of the balance of cash in escrow of £50.0m is held in a joint escrow account as security against any potential warranty claims (“Warranty Escrow”. The period for warranty claims extends for 18 months from completion (i.e. to 29 November 2016) (7 years for tax claims) and warranty claims are subject to a de-minimus of £200,000 for each item (£100,000 in the case of tax claims) with an aggregate basket of £2.5m before any claim can be made under the warranties.The limit of total liability in respect of warranty claims is £100.0m. Warranties are qualified by extensive disclosure given during the due diligence and negotiation process.No warranties were given by the Group in respect of historic accounting policies. Subject to any claims, the Warranty Escrow will be released at the end of November 2016.
leighton117
22 Nov 2016
Re: Prospects ? Thanks coldascheese - I'm sure you're right about the possible legal issue but I was wondering about new business, new initiatives, revenue, costs & profit prospects. Any ideas ?
shovelier
21 Nov 2016
Re: Quob Park winery If RT has got anything to do with it it'll probably turn out to be vinegar.
oilovlam
21 Nov 2016
Quob Park winery Reading an old paper from 30/10/16, there was an article about Quob Park estate renting a Hampshire vineyard from RT. Sparking wine due 2018-19....can I put anyone down for a case or two?
coldascheese
18 Nov 2016
Re: Prospects ? I think everyone is waiting to see if S&G put in a claim against the company before end November deadline. If they don't then price could easily rise 20% or more,however if they do, it could drop more.So no one really knows,the decision to hold or sell is purely yours.
