MAF To Become Movie Mogul

[White Noise]

http://www.dailymail.co.uk/money/article-1379029/Al-Fayed-hopes-direct-takeover-Pinewood.html


Al-Fayed hopes to direct a takeover at Pinewood

By Daily Mail Reporter


Last updated at 9:41 PM on 20th April 2011


Mohamed Al-Fayed is plotting to take control of the historic Pinewood Shepperton film studios, it has emerged.

The former Harrods owner has launched an audacious bid to buy the movie production site, which has played host to countless British classics, including the James Bond franchise.

City sources said Al-Fayed made a tentative approach earlier this week to the board of Pinewood Shepperton, which is chaired by former ITV and Channel 4 boss Lord Grade.


Shaken, not stirred: Pinewood Shepperton declined to comment, but in a statement to the stock exchange, it admitted it had received an indicative bid

Although he has yet to table a binding offer, Al-Fayed would have to spend around £100m to get his hands on Pinewood.

His move will surprise many in the business world as the Egyptian tycoon was expected to devote all of his energies to Fulham Football Club after selling Harrods to the Qatari royal family for £1.5bn a year ago.

It is understood that Al-Fayed believes Pinewood's current management have not invested enough over recent years to keep up with overseas rivals. He is said to be willing to spend tens of millions of pounds on the latest film production technology.

Pinewood Shepperton declined to comment. But in a statement to the stock exchange, it admitted it had received an indicative bid, which 'may or may not lead' to a firm offer for the company.

It is the second approach in less than a fortnight after Pinewood's largest shareholder, Peel Holdings, tabled a 190p a share offer valuing the studios at £88m.

It is believed that Peel, which is controlled by real estate magnate John Whittaker, wants to re- develop Pinewood's prime site in the Buckinghamshire commuter belt.

With a 29.8pc holding in Pinewood (up 11.13 to 202p), Whittaker has enough firepower to block any counterbid from Al-Fayed.

But the expected bidding war will be complicated by the 28.9pc stake owned by activist shareholder Crystal Amber, which is holding out for at least 220pc a share.

Like Whittaker's Peel Holdings, Crystal Amber believes that Pinewood's property portfolio is worth substantially more than its current stock market value.

Grade and chief executive Ivan Dunleavy are pinning their hopes on the £200m Project Pinewood to create a suite of permanent film lots to compete with the big Hollywood studios. Crystal Amber last year called for Grade to step down as chairman of Pinewood following years of 'poor stewardship of shareholders interests'.

Pinewood, which is home to a raft of hit shows such as Dancing On Ice, increased its pre-tax profits by 31pc to £5.8m last year.


Read more: http://www.dailymail.co.uk/money/article-1379029/Al-Fayed-hopes-direct-takeover-Pinewood.html#ixzz1K8iDILoA

[TonyGilroy]

This could be seriously bad news for us.

Making films will be a fun project and FFC might well take a back seat. It could indicate or lead to a willingness to sell.

[White Noise]

I think its very good news for us.

I speculated recently on here that perhaps the sale of Harrods did not mean that MAF was liquidating his assets for the sake of his children's inheritance and therefore preface a possible sale of Fulham, but that it was simply too good a price to refuse and that he would be looking to invest the Harrods cash elsewhere soon enough.

This latest rumour possibly indicates that MAF has not lost his hunger for the game and that, therefore, he will continue to see enjoyment and value in retaining Fulham.