We’re at the London Value Investing Conference, which is a conference for value investors, in London.
Activist time, with Mason Morfit of ValueAct, which has $14.5bn or so under management. They like big concentrated positions, are on the board of Microsoft and Adobe among others, so the theme of US stocks at a London Conference seems likely to continue.
But how about a gratuitous ad for ValueAct first? Here is their activism record. Read more
Having fulfilled its role as M&A baitware….
GENEVA, Switzerland – 12 March 2012 – Further to the announcement by Temenos and Misys on 7 February 2012 that the parties were in discussions regarding a possible all share merger, Temenos today announces that no agreement has been reached on the final terms of a transaction. Accordingly, Temenos confirms that discussions between the two parties have now been terminated.
ValueAct Capital, the activist investment fund, is a familiar warrior on the US corporate battlefield, less so in the UK. But for the past year and a bit, it has been gradually increasing its presence at Misys, the British software group that is recovering following a debilitating failed buy-out attempt by its founder in 2006.
Mike Lawrie, appointed Misys chief executive after that bid disintegrated, is a former ValueAct executive. The fund owns 19.4 per cent – a stake it started building after Mr Lawrie took the helm – and its founder, Jeff Ubben, sits on the Misys board. Read more
Brave? Reckless? Either way, software group Misys ignored the chilly market weather on Tuesday, raising £75m in a placing to help fund the long-rumoured merger of its health services division with Allscripts Healthcare Solutions of the US.
JPMorgan Cazenove were notionally looking for buyers of 42.8m new Misys shares at 175p apiece – a huge premium to the market price of Misys, sitting at 141p. Read more
Advanced Medical Optics on Wednesday withdrew its $4bn offer to buy Bausch & Lomb, paving the way for Warburg Pincus, the US private equity group, to salvage its own deal to buy the US eye care company. AMO’s move followed the objection of ValueAct Capital, a key investor, which claimed the company should focus on its existing business rather than pursue the acquisition. AMO’s offer, worth $75 per share in cash and stock, was significantly higher that Warburg’s bid worth $65 per share in cash.