STOCKS TO WATCH: Is ailing fashion brand Ted Baker set to go all Authentic with new bid?
A game of Bruce’s Price Is Right appears to have broken out over Ted Baker.
Albeit the prize is a well-worn British fashion brand, rather than the shiny jet skis that were given away on Bruce Forsyth’s 90s glitzy show.
Last weekend, it emerged that ousted founder Ray Kelvin is prepared to endorse private equity firm Sycamore’s attempt to buy the retailer.
The price is right: Prize is a well-worn British fashion brand Ted Baker, rather than the shiny jet skis that were given away on Bruce Forsyth’s 90s glitzy show
Sycamore has already offered £1.30 and £1.375 a share and has made another offer at an undisclosed price.
But Sky News reported yesterday that Reebok owner Authentic Brands Group is considering a bid. The US brand licensing group, run by billionaire Jamie Salter, caused ripples this year with a deal with an investment in David Beckham’s brand.
ABG failed in an attempt to partner with JD Sports to buy Topshop last year.
The stock had climbed to £1.56 since bid interest emerged, but closed last week at £1.44, valuing Ted at £266million. ABG’s interest may cause a shares rally tomorrow.
It was reported that one top 20 investor said they would only accept a bid above £1.70, or £310million. Now, we understand, another large shareholder appears happier to take the cash and dash.
Sources say £1.50 would be enough to get its thumbs up. Either way, after an embarrassing few years for the former retail jewel, a buyer may be able to pick up Ted from the bargain rail.
SolGold investors see results of study into key Ecuador site
Investors in South America-focused miner SolGold were relieved to finally see the long-awaited results of a study into a key site in Ecuador last week.
Analysts praised the report – despite it being more than two years late – on the Cascabel copper project.
Investors in the London-listed firm may have a takeover offer to consider soon. Rumours of a bid lifted the stock sharply last month and it is now valued at about £680million.
Brokers at Liberum reckon its two largest shareholders could launch a bid – together or separately – in the next six months.
BHP is SolGold’s largest investor with Australian group Newcrest close behind.
Soaring commodity prices may have encouraged them to take a shine to this gold bug.
Winds of change blow for Hurricane Energy
What a difference a year makes for AIM-listed oiler Hurricane Energy.
Last summer, the High Court rejected its debt restructuring plan, which had angered existing shareholders.
Since then, a buoyant oil price has left it looking well positioned to pay off $79 million (£61million) of outstanding bonds due in July.
Last week brought an upbeat production update on its Lancaster oil field, west of the Shetlands.
This week bosses will present a sunnier picture of its finances in its annual results.
With the newfound buzz around domestic energy security, investors may finally be tempted by Hurricane.
Contributor: Francesca Washtell