any comments, thoughts, on this stock.

Stop loss hit at around lunch time, thats me out the game.... Will watch with interest....

i have kept all my short positions open, but with a guaranteed stop - well worth the very small premium .... if this rumoured 175 bid is shown to have any substance, then sp will be rocket, but i shall be out with a very nice profit, albeit only 40/60% of what it was notionally at say 9 o'clock this morning ..... if the rumour is groundless, and there is certainly no follow-up statement, then sp will plunge once more

I've mentione dthat 175p area was significant 10 days ago. It was awhile before she plummeted through. There's something significant there anyway. Bigger volume today than we've had since last Monday, which may be another indicator.

As for me, I'm completely flat NRK. Took a hit in the SIPP, but made a fair bit of it up trading both ways last week via spreadbets and CFDs.

Congrats to those who took the longer term short route as opposed to us in/out types. Nice profits, but I suspect the game's almost over now.



Who's next though, I wonder. ;-))

bigger volume today will prob just be an indication of peeps taking profits or protecting their position - much the same thing.

with regard to this rumoured bid, it is just that, but even if true in principal, it is certainly not yet a formal approach and the books have clearly to be opened up ...... were it otherwise, an rns would have been mandatory.

tomorrow promises another interesting day!

Northern Rock to meet JC Flowers for takeover talks


LONDON (Thomson Financial) - JC Flowers is to meet advisers of Northern Rock
for talks that could lead to the embattled bank opening its books to the private
equity group, the Financial Times reported.
Flowers, founded by former Goldman Sachs banker Chris Flowers, has secured
about 15 bln stg of funding that could be used for a takeover, the newspaper
claimed.
The private equity group is interested in keeping Northern Rock as a whole
entity and is understood to have received funding commitments from blue chip
banks, the FT said.
The cash could be used to refinance part of the estimated 20 bln stg that
analysts believe the bank will need to raise in the next year, the report said.
Northern Rock shares have lost more than 80 pct of their value since the
bank revealed on Sept 14 that this summer's global credit crunch had forced it
to seek emergency funding from the Bank of England.
On Tuesday night, the shares closed up 3.5 pence at 135.6 p amid market
rumours an unidentified party is preparing a rescue bid of 175 pence per share.
philip.waller@thomson.com

I think it will not sustain above 145p today.

i tend to agree hyleo, though my stop was hit (145) and i am now out with a very acceptable profit ...... there is certainly no indication that the shareholders will ultimately receive anything once all is unwound ..... indeed, i would not have been at all surprised had the NRK opened down by as much as it opened up! ...... anyway, no time to enter the fray in either direction for the moment, and perhaps not at all

Reference to hewittalan6 post 563, Mortgage Express is wholly owned by Bradford and Bingley.

it seems to me that, always subject to an unequivocal offer being put on the table, once sp gets above about 160 it becomes a progressively more interesting short.

I will still hang on to my short as I believe this will go back to 120p.

you may be right, but that's pretty brave or even foolhardy ...... for myself, i am happy to have banked my profit, even if cross with myself for trying to be just too cute and losing a large slab of potential profit ...... however, i would have though it ulikley that any bid will be greater than 175, which is why i suggested that shorting when sp is >160 becomes progressively more enticing, especially if nothing absolute is on the table at that time ...... it is not impossible for this to happen as there must surely be an awful lot of short positions closing by friday night

Cant see HMG giving any sort of guarantees to J C Flowers if they bid for NRK . If no other bids in the offing NRK is a dead duck and straight into receivership. Shareholders would in these circumstances end up as they usually do with nothing.IMHO.

that was certainly my logic for going short in the first place ....... however, there are so many unknowns at the moment that it is very difficult to call ...... i suppose the question is whether or not the upside is greater or less than the downside ...... i would guess that top is 175/190 and the downside zero or perhaps more realistically 50/100 ...... therefore at 150, the balance is quite balanced!

Agree but if you believe the amount required to fund NRK in order for them to survive over the next few months is 20billion who is going to pump in that amount without a government guarantee? The bounce has to be short covering before the final plunge.

maybe ..... am just contemplating my navel on this issue at the moment

and where does 20 billion come from?

GNI not allowing short positions on NRK

well IG certainly are as have just shorted 10,000 at 148.8 ...... figure downside is perhaps 2500 but upside 3 or 4 or even 5 times that

If GB is calling an Election, I doubt NRK will be dumped, since many shareholders are Upt'North - and were given de-mutualisatuion shares. That being the case, maybe there is a case to argue the Banks Consortium will just ease out the existing Execs with a sham-takeover. . .maybe giving shareholders the nominal value of the shares at privatation - does anyone know what this figure was? 2 perhaps, but convenient if it was closer to 1.50 - which appears to be the settled price at least until new rumours, etc.

Another alternative is to oust the Execs, and then raise the cash by a placing - probaly a less than cusrrent sp - so this would raise a slug of cash which soon would be forgotten as the sp rose....that is is the stupid public don't mind being shafted again!

I sold out at 1.50 - couldn't stand-by, watching my investment being trampled, obviously I had thought the sp was already low, but then the Market always knows best... Ahem.


However, if GB isn't calling an Election and he's just proding the Tories into giving away their plans - - - (( this is my best guess ))) - - - then NRK can be sacrificed and all will be forgotten, in a year or two . . . . why would GB risk losing, when he's waited TEN years for his PM-ship?


Finally, they could dilute existing shareholders and offer a bonus share to those that held from demutualisation ( most folk up North), so gaining Voters and shafting everyone else. These bonus-shares would be more valuable - but would not be immediately tradeable, etc.

Hangon your scenarios are all possible although I would have thought many "demutualisation" shareholders sold long ago, however it does not solve the suggested funding problem, who has 20 billion to pump into NRK and for what return.... risk v reward.