J Sainsbury PLC
From Taighde
J Sainsbury PLC is a supermarket company based in the United Kingdom.
The Qatar Investment Authority currently owns 26% of the company. It attempted a takeover bid in the the middle of 2007 but pulled out after some disagreements with other stakeholders. Since then, another takeover bid by the QIA have long been speculated
Investors
Delta Two-25.007%
Sheikh Hamad bin Jassim bin Jabr Al Thani- 300,000 shares or .018%
Robert Tchenguiz-10%
Sainsbury family-18%
- Lord David Sainsbury speaks for 7.75% of total share.
Timeline of Sainsbury's with the Three Delta Bid
November 5, 2007: The pull out of Delta Two is released publicly and Sainsbury stock loses 21% of its value.
November 4, 2007: Paul Taylor calls Philip Hampton and informs him that Delta Two will not bid on Sainsbury.
October 26, 2007: A Board committee and Delta Two agree that a decision must be done by November 8.
September 20, 2007: Board of Sainsbury's unanimously agreed to allow Delta Two to undertake confirmatory due diligence after receiving an updated bid. This updated Sainsbury Bid consisted of
- An offer price of 600 pence in cash per Sainsbury’s share
- A £0.85 billion increase in offer funding by way of ordinary shares and preference shares, which will result in a total of £4.85 billion in funding by way of ordinary shares, preference shares and payment-in-kind notes
- New commitment letters from Delta Two’s financing banks in respect of debt facilities totalling £9.6 billion
- The appointment of a non-executive Chairman to the Board of Sainsbury’s and enhanced reporting and disclosure standards
- Delta Two business plan and capital structure
- Delta Two has a high regard for Sainsbury’s management and employees
- Delta Two to work constructively with the trustees of Sainsbury’s pension schemes
- Delta Two and the QIA
July 19, 2007: Release of the possible deal:
- 600 pence in cash per share.
- This is in addition to the 7.35 pence cash dividend to be received by shareholders of Sainsbury on Friday 20th July 2007.
- The offer would be funded by £4.6 billion in the form of equity and subordinated PIK shares and notes, and debt finance of £6 billion provided by a banking syndicate. The
- Investment of £3.5 billion over the next five years to fund new store expansion, further store refurbishment and the development of Sainsbury's non-food offering.
- Roughly around £10.6bn.
July 18, 2007: Public announcement of discussions between Sainsbury’s and Delta Two.
May 31, 2007: Delta Two acquires an additional 7.068% of Sainsbury bring its total including, Sheikh Hamad bin Jassim bin Jabr Al Thani, to 25.007%.
April 5, 2007: Delta Two acquires 17.406% of stock in Sainsbury. Hamad bin Jassim bin Jabr Al Thani has an additional .018% of shares.
February 19, 2007: Delta Two acquires a 1% stake in Sainsbury.
