agreed it is annoying, but not losing sleep just yet! Proud FSTA shareholder as well. Both my partner and I have a very significant holding on this one.....this is one of our few buy and holds
My partner took up the issue as in her case the holding was smaller and thus the punt not very significant. I was planning to and called the broker to handle it and it turned out I couldn't exercise - according to my broker my "residential" place of record excluded me from exercising
Always hard to read tea leaves, but today's announcement seemed to indicate to me that odds are in favour of another extension to the HOA negotiation or that it has basically broken down. The statement doesn't seem to portend successful conclusion of the negotiations. Hope I'm reading that wrong, but it feels like a softening before the blow in the way they decided to bolt it onto a rights issue extension announcement
you just won't be able to sell them during the process which is a feature of many rights issues
you would be able to sell them after settlement, which dependent on your brokerage is likely 3 working days
I am likely not taking it up either.....standard protocol in a rights issue is for the price to be an upside premium to where it trades.....in this case, it's par. I'll review closer to of course, but hard to imagine any upside at this stage beyond 1.25 to 1.5p. Hope I'm wrong....
another day, another opportunity for Mgmt and the BoD's to destroy value. They are really gaining steam now...
I think it may be time to collaborate on some stakeholder activism....I'm serious. This is a great concept with great assets, but a lousy BoD. Classic activism set-up
I'm wondering myself the strategic purpose of this acquisition. I get that this provides a good sales outlet for Cornish Orchards Ciders and perhaps the other "craft" beers like Sierra Nevada, Frontier, etc -- but after that, what's the play? Perhaps this presages a pub expansion/acquisition focus on the Southwest?
@LK Sierra Nevada is the #2 Craft Beer in the US. It was the first mainstream pale ale in the US before craft beers took off a few years back. They have a good product and disciplined management. Having UK distribution rights isn't a game changer, but could be a very nice incremental win (just like Cornish Orchards)