General Cable cuts offer price
Thursday 20 April 1995
The company is raising £171m through the flotation in London and New York, valuing it at £481m. The previous price range would have valued it at between £557m and £646m.
A spokesman said: "There was a pocket of resistance in the US to the prices in the predicted range." The banking syndicate handling the sale believed that, at 190p, the sale would get away well and there would be a healthy after-market in shares after start of trading this morning.
The spokesman said demand among UK institutions remained strong. Lazard Brothers has been acting as global co-ordinator for the sale with NatWest Securities as joint local manager in Britain.
Speculation over the pricing has mounted since the collapse of shares in Videotron, another UK cable company, listed on the New York Nasdaq exchange earlier this month. Subsequently Nynex CableComms, one of Britain's largest cable firms, said it would postpone a £400m international share offering that would value it at about £1.3bn.
Nynex blamed delays with a review of its draft prospectus by the US authorities, but City analysts said it was probably shaken by the Videotron float and was awaiting the outcome of General Cable.
James Dodd, an analyst with Kleinwort Benson, said he remained bullish about the prosects for the sector but US Nasdaq investors were suffering from investment fatigue.
General Cable is only the second sector listing on the London Stock Exchange, but the sixth on Nasdaq since the dbut of International CableTel in 1993.
- 1 Rules on 5p plastic bags likely to lead to arguments at the check-out
- 2 Hulk Hogan wants to be Donald Trump's running mate in the US Presidential election
- 3 Blood Moon and Supermoon: September to bring brightest – and dimmest – full Moon of the year on same night
- 4 News agency criticised for describing Amal Clooney as 'actor's wife' in coverage of human rights trial
Rules on 5p plastic bags likely to lead to arguments at the check-out
Watch the Supermoon live: How to see the brightest Moon of the year tonight
Hulk Hogan wants to be Donald Trump's running mate in the US Presidential election
Blood Moon and Supermoon: September to bring brightest – and dimmest – full Moon of the year on same night
Turkey duped the US, and Isis reaps rewards
Climate change: 2015 will be the hottest year on record 'by a mile', experts say
'Women only' train carriages: Jeremy Corbyn unveils radical move to tackle public harassment
Black holes are a passage to another universe, says Stephen Hawking
Iain Duncan Smith 'should resign over disability benefit death figures', says Jeremy Corbyn
Tony Blair attacks Jeremy Corbyn's 'Alice In Wonderland' politics
Theresa May says migrants should be banned from entering the UK unless they have jobs lined up
iJobs Money & Business
£25000 - £30000 per annum: Recruitment Genius: From modest beginnings the comp...
£35000 - £40000 per annum: Recruitment Genius: From modest beginnings the comp...
£15000 - £65000 per annum: Recruitment Genius: This is an exciting opportunity...
£18000 - £20000 per annum: Recruitment Genius: This is a fantastic opportunity...