Monday, 26 April 2010
Monday stories to puzzle the Parties
First up is that Emerson, long a suitor has put in an offer for Chloride Group. Now last year I owned share sin Chloride as it was a very safe bet in the recession.. A strong UK company with a great manufacturing business, great products and global reach. No surprise that it has finally been snaffled up. But where is Lord Mandelson and his 'Cadbury' law. Chloride really is a UK success story, why not save if you are in the Red team?
Next up is the bid battle erupting for Crest Nicholson, the UK Housebuilder. It must surely be a sign of the times that this market, long dormant and the amongst the worst performers in the recession, is getting glances for Private Equity. The theme for the Politicians can either be robust growth or top of the bounce froth depending on you optimism/fear quotient needed for the day.
Finally, there is UK Coal, another disastrous set of numbers and more poor performance in its business. This is the Coal business that emerged after the strikes of the 1980's. With coal prices quite strong one would imagine a better future for this company, but no, it is not to be. A great example of why a privatisation can save the taxpayer a fortune.