££......Osmetech ......Smell the Success.....££

Bucketfull - 24 Dec'06 - 09:13 - 20502 of 20525

Trout,
You really do seem to have lost the plot lately.
You say:
"the Institutions have been buying cannily all year, I cannot see one of them buying at 31.5p."

Citywire say:
"It is interesting to note that since the disposal, UBS increased its holding in Osmetech by 785,000 shares to 12.35% of the company. And the last trade reported on 18 December was for 785,000 shares at 30.5p, a trade I suspect that belongs to UBS. On that basis it appears that the smart money is prepared to pay top dollar for the stock"

Merry Xmas, oh Fishy Fuehrer!!

OK Bucketfull, apologies for the incorrect price should have been 30.5p, but for the rest let me explain myself a bit more,

21/12 RNS. On the 18/12 UBS increase to 25,046,239 12.35%
14/12 RNS. On the 08/12 UBS reduce - to 24,261,239 11.96%
20/11 RNS. On the 16/11 UBS holding is, 25,346,239 12.50%

From the last three RNSs you can see that UBS have actually reduced their holding very slightly, and have made a loss on their transactions in the meantime? Why?

You see I think the UBS increase 785k was one side of the X trade at 7.47am, why do I think that may be the case and why don't I think that UBS actually bought anymore that day?

Back in August we had some RNSs about increase in holdings, the first two were

07/08 RNS On the 03/08 UBS reported a holding of 21,518,671 10.61%
14/08 RNS On the 07/08 UBS reported a holding of 21,518,671 10.61%
this was exactly the same as the previous one, I phoned Madano up and asked about it, I was told that it was actually UBS holding in nominee for another institution...Gartmore! the next day we had this (although for some reason it did not report on ADVFN, can be found elsewhere),

15/08 RNS. On the 14/08 UBS had increased their holding to 23,797,239 11.73%

If you look at the difference between the last two you get 2,278,568 shares that UBS had increased their holding by.

Later that month we got this RNS,

RNS Number:2776I Osmetech PLC 31 August 2006

Osmetech plc ("Osmetech" or "the Company")

The Company has been notified that Gartmore Investment Ltd (GIL), Gartmore Fund Managers Limited (GFM) and Gartmore Global Partners (GGP) have increased their interest in Osmetech following the acquisition of 2,278,568 ordinary shares at 18 pence on 7 August 2006.

The total holding of 31,279,344 shares comprises the aggregated holdings controlled by GIL, GFM and GGP and represents approximately 15.423 per cent of the Company's issued ordinary share capital (202,804,973).

That confirmed the comment from Madano that it was Gartmore buying and placing them in a nominee account with UBS.
Now that is why JW's estimate of the Institutional holdings is lower than the perception on here, UBS hold shares for Gartmore and because both are over 3% they both have to declare them, now if Gartmore reduced one of their accounts by 785k the other day and transferred them to the UBS nominee account they would still hold the same number of shares (so no RNS needed) but the UBS holding would go up and an RNS would be needed. The Institutions have been very canny in their buying here and really haven't paid over the odds, that is why this trade stands out, it was way above the market. Now if Gartmore wanted to move some money about to re-jig the portfolio (to perhaps add some bookable profit to one fund)before year end, they could have moved some out from the UBS account on or before the 8/12 and on the 18/12 X trade it back into the UBS account at 30.5p, this gives them a bookable profit on one account at the expense of the other.
I think I told you before about Gartmore, but do not under-estimate their powerful hold here!

Obviously this is my thoughts but they are based on research and rooting about and also the thought that I cannot see the MMs biting the hand that feeds them and in this share Gartmore/UBS do a lot of feeding.

Trout.