GNK: Cash Offer from CK Noble for Greene King Shareholders

CK Noble (UK) Limited,a wholly-owned subsidiary of CK Asset Holdings Limited, made a Cash Offer of 850 pence in cash for each Greene King Share (GNK LN). In addition shareholders of GNK shares as of Aug 09, 2019 get payed a final dividend of 24.4 GBp (already received).

The shares trade close to the offered price, currently as of Sept 16, they trade for 840p, that is a discount of 1.2%, indicating a very high probability that the deals goes through. The cash offer was a premium of about 51% to the closing price of 563pence prior to the date of the cash offer announcement (link).

Before selling GNK, I sold some other rather small positions at a loss. I do not want to hold them any longer and never performed adequate research on them, and this way I hope to significantly reduce the payable capital gains tax charges for GNK:

  • Commerzbank AG, CBK100
  • Deutsche Bank AG, 514000
  • Suedzucker AG, 729700
  • K+S AG, KSAG88
  • Capita PLC, A0MZ15

Performance Review of GNK

  • I bought shares of GNK
    • in Jul 2017, Jan and March 2018 for an
    • average buy brice of 6.031 Eur (c. 5.51 GBP).
  • I sold all my GNK shares for c. 9.51 Eur per share (c. 844 pence)
    • booking a capital gain of c. 51% in Eur (or 52% in GBP)
  • In total
    • I received gross dividends of 12% rel. to total purchase amount, resulting in
    • a total net* profit of 61% rel. to total amount of purchases

*) net of fees, before taxes on dividends, capital gains tax was not payable due to sale of above positions with a capital loss

I will decide where to deploy my cash from the share sales shortly …

4 thoughts on “GNK: Cash Offer from CK Noble for Greene King Shareholders

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