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Started: JGFFourie, Today 15:14
Last post: JGFFourie, Today 15:14
There was slight excitement in the market today for this sector. I am not sure if the prospects are really much better, however, when the price rose to the dizzying heights of 28.5 I thought that when it fell back to 28 it might be worth topping up a bit. However, not really sure.
What exactly got to do with hammerson
Capital and Regional have extended the deadline for New River REIT to close the takeover to sometime in July.
However, C & R have opened talks with another business regards takeover of C & R.
Bright prospects for Hammerson after July 4th.
I've just been watching yeah
Something cooking
Hopefully value retail being sold
JGF
Good to see senior management at Hammerson trying to obtain best price for Value Retail.
It must be apparent that consumer confidence is returning to UK later part of 2024 plus.
After election oncoming govt. could bring back VAT refunds to Foreign tourists shopping in UK
Started: JGFFourie, 23 May 2024 18:40
Last post: JGFFourie, 28 May 2024 08:13
The only reason why I consider it to be unlikely is that it has been talked about now for almost five years, with no definite proposal ever materialising. The sale of the interest in Bicester Village would be definitely to the advantage of the company - it would then be able to pay down most of its debt and trade much more safely and profitably. However, the property market is very depressed at the moment and there are far more sellers than buyers willing to invest in commercial property just at the moment.
Why don’t you say what you really mean. You want people to think it’s unlikely and there is more downside than up.
If this sale does ever materialise (it has been talked about for the last five years with nothing definite ever seeming to happen) then it could see the share price rocket - it might even hit 30p although that is rather on the optimistic side, I think. If the sale falls through, then the share price will probably settle back again to about 25p.
Last post: bubbleshoot, 17 May 2024 09:33
Been watching it from this morning. It can't just be by the management investing surely.
1 million buy. Something happening.
I’ve been thinking of topping up. Trends are positive. I think their portfolio better now.
SP seems to be holding now.
It's just waiting on the interest rates to drop, or news on the village sale - if ever it comes.
Unibail Westfield is up 78% since Oct 23 . This while sector is getting rerated on the European bourses
Started: TomBeef, 26 Apr 2024 06:42
Last post: TomBeef, 26 Apr 2024 06:42
Fitch Ratings on Thursday affirmed Hammerson's ($HMSO, HMN.JO) BBB long-term issuer default rating, with a stable outlook.
The rating agency said the rating was backed by the strong operating performance of the British property developer's core portfolio of city center shopping centers and its improved financial profile.
Price (GBP): £26.66, Change: £-0.06, Percent Change: -0.22%
$HMSO
Source: MT Newswires
Started: Teddy-KGB2, 27 Mar 2024 17:20
Last post: bigdogman, 6 Apr 2024 16:54
0.78pence per share
What's the divi worth per share?
Sooooo - the drop today is 2.30 % at the moment. if it stays like this, those who sold yesterday losing the dividend will have lost about 3%... As the big sp drop was on 2 april and they did not sell then - I am still puzzled to find a logic on why once the big drop had already happened they sold the day before ex-divi and lose the divi of about 5.50%
CORRECTION
...."the afternoon of an A DAY BEFORE ex divi day..."
There was a drop , a small drop, but still a drop today after 2 pm.... Why those people sold on the afternoon of an ex divi day and lose the divi? - I find it very odd to lose the divi this way... do they expect tomorrow the sp will drop more than the divi?
Started: email, 27 Mar 2024 14:38
Last post: bubbleshoot, 27 Mar 2024 16:41
I can't find anything online in regards to news... yet.
.... pushing up the sp?... Or something else?
Started: bubbleshoot, 23 Mar 2024 05:37
Last post: bubbleshoot, 23 Mar 2024 05:37
Started: email, 21 Mar 2024 15:57
Last post: Yuri.F, 22 Mar 2024 17:03
Email - unfortunately over the years I've seen too many RNSes with positive outlooks where BoDs were presenting better future .. from companies what are still struggling or went under in the end (generally things didn't go well for capital of shareholders).. to take this IR/CEO marketing seriously.
Credit rating outlook was revised to stable from negative recently. They are reducing debt and stabilising the ship so an imminent Intu situation looks far-fetched
Yuri
How do you explain then, from your point of view, the Ceo's very positive outlook in the last RNS?...
... If they sold their entire holdings at 92%...
IMV it's a very dangerous fallacy, they sell assets they will have the least loss/discount on in this market, further down they go - heavier discount will be (which can easily go to 50% in some cases or even worse). Another issue - only third of their assets are actual direct investment into tangible property - majority of other assets (two thirds) are joint ventures/associates (which aren't doing very good either in this harsh environment, therefore recovery from such sale might be even worse than 90% too). Add to this troubles not full recovery on invoices (delinquencies/impairments although some of those still can be sold at material discount to recovery agencies) and outgoing cash flow of costs to run office - all of this will land shareholders value well below NAV (which is 1.8x, not 2.5x as per equity in last report) and quite likely even below current sp. Recent years have shown that HMSO isn't profitable healthy business, they're actually in decline and slowly bleeding out, without clearly showing that they can stabilize situation and even turn it around into profitability to stay self-sustainable - this will only lead to further deterioration (although since asset conversion does happen and liquidity situation is fine because of asset sales - death won't be as fast as with INTU).
The sale of Union Square was described as “distressed” by one analyst…. at 92% of book value !! If they sold their entire holdings at 92% and paid off the debt this share would 2.5x
@damofarl
Thanks for your response
No. A share purchase to satisfy employee share options is a standard thing. Arguably, if it is open to all staff (i.e. not just an executive/high level mgmt 'incentive/performance' plan), it is actually a vote of confidence in the wellbeing of the Company, as rank and file employees are putting their own money in (tax advantages amongst other upsides), for which these purchases are being set aside, normally for 3 to 5 years to cover the 'vesting' duration..Signals thqt the workers think its doing well.
RNS Anything to worry about as an investor?
Started: JGFFourie, 6 Mar 2024 08:57
Last post: Trickytree55, 6 Mar 2024 16:03
Lots of Private Equity funds are trying to purchase UK assets for bargain prices.
CEO and BOD need to be strong and refuse to budge until UK REITS improve.
GSK has sold GSK House in Brentford for half its book value.
Another example is Carlyle have taking over Southend Airport after asking owners
to pay up outstanding loans - the owners were meeting monthly instalment payments but
could NOT pay the remaining balance.
Sharp practices indeed.
I don't know how it works for them. Likely they'll have their own portfolio, and they will want to integrate the Bicester village project into it. Which would be different to just buying shares.
If any bid was to come for Bicester village collection
Surly the people interested in it would buy shares first then make an offer because they are getting such a discount on net asset value
Say Bicester is worth £1b the market is valuing them at £500m
Any thoughts anyone?
This is a really odd share.
It is remarkable how the market makers have been able to keep the share price fixed at almost exactly 25.5p now for days on end. The consensus is that the share price should be exactly one half of the net asset value of the company. It is unusual for the market makers to retain a fixed share price for so long a period. It will be interesting to see how long this fixed price will last.
Started: bigdogman, 28 Feb 2024 13:15
Last post: JGFFourie, 6 Mar 2024 08:25
As far as I know, there are no restrictions on how often a company can make use of a scrip dividend. A scrip dividend is like a mini “rights issue”. It bolsters the cash position of the company, eventually, over time, making it more valuable, as the net debt of the company is reduced.
Troajan
oops, i got confused. dismiss my figure. Still curious how did you get to yours
Troajan
It seems to me 20mil....How did you get 58mil?
58 mill,just there?
Generally you can always require if you so wish to have your divi as a scrip - of the SAME value as cash... In HMSO's the scrip alternative was largely very welcome by PIs - because it was MORE advantageous than cash... Is there a rule/legal restriction on how many times a company can make use of scrip of a different value than cash divi?... If there are none, and it is so advantageous for both company and investors, why the company is not doing it any more?...
Started: JGFFourie, 4 Mar 2024 08:37
Last post: JGFFourie, 4 Mar 2024 08:37
For a long time now, the market has set the share price for Hammerson at one-half of its net asset value per share, so, with a NAV of 51p, the current share price of 25.5p seems in accordance with historic market sentiment. However, if the sale of the share in Bicester Village were to come off, then the share price would, of course, depart from this historic setting, since the company would then have a much lower indebtedness and most risk would disappear. There does not appear to be any news on this possible disposal, though.
Started: bubbleshoot, 23 Feb 2024 13:39
Last post: JGFFourie, 26 Feb 2024 14:29
It makes absolutely no difference to the shareholders whether the dividend is paid out in cash or by way of a scrip dividend. To comply with the rules relating to a REIT, the dividend does need to be paid out in one way or the other, but it makes absolutely no difference to the shareholders in what form they receive the dividend. Paying the dividend as a scrip dividend does enhance the cash position of the company, and is, in principle, more in the interests of the shareholders. So, let us hope for a prudent decision to pay out the dividend in the form of shares, rather than cash.
Bubble, your news were right
""""Hammerson today announces the exchange1 of an unconditional contract for the sale of Union Square, a 52,000m2 shopping centre in Aberdeen, to an affiliate² of Lone Star Real Estate Fund VI, L.P. for £111m cash consideration. Completion is expected to occur in Q1 2024."""
Is this the harbinger of great news on thursday?... A declaration on the divi and sp should jump into the 30s!
Lone Star Funds is in advanced talks to buy the Union Square shopping centre in Aberdeen from Hammerson, said two market sources.
The US private equity firm is offering around £110 million, a 12% yield, and has received financial backing from Natwest, the sources said, speaking on the condition of anonymity. If the deal goes through, it will mark a return to the retail sector for Lone Star. Five years ago, it handed back the keys on a portfolio of shopping centres, called Project Tiger, it had acquired from Rockspring in 2014 for £260 million using a £200 million Citi loan, as first reported by Debtwire at the time.
Last post: JGFFourie, 26 Feb 2024 14:15
This sale is good news. The share price had, possibly, been marked up rather higher than this news really merited. It has settled back to a more realistic level now, at about 25.5p where it is likely to remain, with a little bit of a fluctuation when the figures which everyone expects are finally confirmed on Thursday. The sale of the interest in Bicester Village would be likely to lift the share price considerably, of course.
Last post: email, 21 Feb 2024 14:51
Well, big players have dropped HMS for its divi policy... I have long maintained that the current board is fantastic at running a company in itself, but they are sadly inept at dealing with the market side of it. They should appoint someone to the board with the specific high qualities of dealing with the market side.
You must not forget that in 2023 we were paid a dividend of 0.72p because some of the big institutions wanted the payment of dividends back.
Indeed. The annual results might bring small gains.
Only the dividend is holding this SP back now - unless ofc we get an announcement of the Village arm for a good price of around £bil.
Bubble
the share price is directly dependent on the divi. An attractive divi will make the sp soar
Still.
As an investor, i want to see a return if both ways, Shareprice and dividend.
It's been long enough now since covid for them to return the divis. When they announced around a year ago that they weren't going to offer one, the SP dropped massively from its gains
Started: bubbleshoot, 2 Feb 2024 11:05
Last post: Gazzawak, 3 Feb 2024 04:54
What do you make of the DPS consensus of 1.4 ( spread 1-2 )?
Hammerson will announce its full year results for the year ended 31 December 2023 on Thursday 29 February 2024.
Started: bubbleshoot, 8 Jan 2024 09:57
Last post: bubbleshoot, 31 Jan 2024 20:24
Yep, still waiting
Something must be cooking - it's a while now since last update...
Sorry. The rest of the message didn't pull through. I was meant to say that it isn't just a sale of a shopping centre, but a portfolio of, I guess shopping "Villages" around the world.
The original news wasn't via RNS so if there was a drop in interest, it would of been announced elsewhere.
I would though at least expect some sort of operational update... some sort of news/heartbeat from HMSO.
It's a massive sale.
Considering the possible sale of Bicester was announced some weeks before Christmas it just seems very odd that there has been no further news, I wonder if the deal has fallen through ? hence no trading update or RNS
Started: Scutzy, 6 Jan 2024 14:05
Last post: Trickytree55, 16 Jan 2024 15:32
New year shopping is always quiet.
Easter arrives end of March.
Shopping at Shopping centre's increases.
We also require beuatifull weather.
I'm frequent visitor of shopping centers in Greater London, IMV apart from purely seasonal factors there's no real economy "resurgence" in terms of occupied space or footfall, funds and speculators financially may show some swings of course but it's detached from ground economy.
With the number of stores opened in the bull ring this December, that is an obvious thing.
What is odd though is the radio silence, not even a third quarter trading updating which we had back in november 2022, no post xmas update. Just complete radio silence.........
Article in Sunday Times 14/01/24 that Shopping Centres in UK are back in favour.
Good news for Hammerson?
Started: Redcrayon, 19 Dec 2023 16:38
Last post: bubbleshoot, 19 Dec 2023 18:24
You keep mentioning shorts. I'm not familiar really with this. What do you see happening?
Bicester sale triggers epic squeeze
Started: bubbleshoot, 14 Dec 2023 18:54
Last post: bubbleshoot, 19 Dec 2023 13:07
Every RNS now I think its the big news we've been waiting for.
There should be Nike and Pull & Bear stores Hammerson Highcross Shopping Center in Leicester - East Midlands
Would like to see Nike and Pull & Bear shops in Highcross SC in Leicester - East Midlands
People are fed up with delivery men/women coming round at all hours of day and night and ringing neighbours doorbells and dropping packages like ton of bricks everywhere... How rude and antisocial!... The experience of personal shopping is unrivalled and it's coming back in all its glory
Hammerson welcomes 115,000 sq ft of new retail openings at Bullring & Grand Central
Dec 14 2023
Hammerson is pleased to announce a flurry of high-profile new openings at Bullring & Grand Central, the culmination of a transformational year for the Birmingham city centre destination.
Nike, Bershka, Pull&Bear, and M&S have opened just in time for the busiest shopping period in the calendar, alongside the famed Coca-Cola truck having arrived at the destination last weekend, underpinning Hammerson’s strategy to enliven the asset with new brands, concepts and market firsts. The series of openings introduces 115,000 sq ft of brand-new shopping experiences.
Sportswear giant Nike has launched its ‘Nike Rise’ concept store, located at the gateway to Bullring and just metres from the iconic steel ‘Bull’. Spanning 13,000 sq ft, it features innovative digital experiences and services that enliven the sport pulse of the city. Customers will be able to experience Footwear Fastlane, which shares footwear product stories, benefits, and technical information; Nike by You, enabling visitors to customise new Nike products; and a new bra and leggings destination, helping female athletes find their right fit.
Inditex’s urban fashion brands, Bershka and Pull&Bear, have also made their regional debuts at Bullring, following in the footsteps of Zara. The two stores, spread over 36,000 sq ft in total, take Inditex’s presence at Bullring to over 76,000 sq ft. Each with their own dedicated entrances, the stores bring together Bershka’s three main lines – Bershka, BSK, and Man – alongside Pull&Bear’s complete collection of menswear and womenswear.
Joining Nike, Bershka, and Pull&Bear is M&S’ new 65,000 sq ft Bullring store, offering local shoppers a fresh market-style Foodhall, as well as stylish and spacious new Clothing, Home, and Beauty departments. Following a significant investment in the city’s local economy, the new store is part of the retailer’s plans to invest c. £480 million nationally, creating over 3,400 new jobs nationwide.
As part of Bullring & Grand Central’s Christmas activations, the iconic Coca-Cola truck has returned to the destination for the first time in seven years as part of a UK-wide tour in December. The experiential-led truck complemented the season-long Après Ski Bar, which is supporting the wider placemaking ambitions and vision, enlivening both indoor and outdoor space with new concepts and events that engage and excite customers.
Toby Tait, Director of Asset Management at Hammerson, commented: “We always knew that 2023 was going to be a transformational year for Bullring & Grand Central. In the last three months alone, we’ve had 12 major brands open their doors, as we enliven the destination by introducing new entertainment and leisure concepts, high-profile brands and market firsts.
The strength of the new openings this year including Nike, M&S, Bershka and Pull&Bear reinf
Started: TomBeef, 16 Dec 2023 16:15
Last post: Redcrayon, 17 Dec 2023 19:11
Great time to be negotiating a sale! Hopefully they pay $$$
It’s veryyyyy busy, it’s 4:15pm and the main. At park is full, so we’re on the park and ride. It looks superb!
Will keep you updated.
Started: onsolidground, 13 Dec 2023 20:52
Last post: onsolidground, 14 Dec 2023 15:52
Responded nicely, just as all in the sector have.
Might see some risk on emerging with markets. I expect nothing other than the BoE to mirror the Fed.
https://www.cnbc.com/2023/12/13/fed-interest-rate-decision-december-2023.html
Started: Redcrayon, 13 Dec 2023 14:47
Last post: Redcrayon, 14 Dec 2023 08:13
Dividend would be awesome
Dividend
I doubt they'll splash on new shopping centres. They'll likely use it to resolve existing debt, and reinvest in their core projects.
Share buyback would be a good option.
If the sale goes through what do you think they’ll with the £1 billion? Buy more shopping centres? Or could they do a share buyback? What’s everyone thinking
Started: email, 5 Dec 2023 11:06
Last post: onsolidground, 12 Dec 2023 15:25
Good find Bubbleshoot and we now have the identity of who is behind the conversations for Value Retail.
LVMH and Bernard Arnault can afford it irrespective of whether its £1.0Billion or £1.2Billion and its the villages are good staging posts for his high end fashion brands.
I hope HMSO do hold out for the higher of the two valuations and the New York village is taking shape nicely on the webcam.
https://www.valueretail.com/value-retail/en/villages/belmont-park-village
No update, but an article from https ://www.bisnow.com/london/news/retail/lvmh-and-arnault-backed-investor-eye-stake-in-bicester-village-owner-121963
A private equity firm backed by LVMH and the family office of its founder is in conversations about buying a stake in the company that owns Bicester Village.
L Catterton has held talks with Hammerson, which is selling a 40% stake in Value Retail for £1B to £1.2B, React News reported.
There is no certainty of a deal being done, and talks have been on and off, with L Catterton offering less than the £1.2B Hammerson is looking for, according to React.
Any deal would see an investor backed by one of the world’s biggest luxury retail owners take a stake in a business that has built its fortune on discounted high-end fashion sales, with a strong focus on tourist shoppers. The family office of LVMH founder Bernard Arnault is also a backer of L Catterton.
Bicester Village in Oxfordshire is focused on upscale and luxury retail and is often cited as achieving the highest sales per SF of any retail scheme internationally. Retailers have tended not to open other designer outlet stores in the south of England.
The 245K SF outlet centre 65 miles north-west of London is estimated to be visited by up to 80% of the roughly 350,000 Chinese visitors to the UK every year. The platform at Marylebone station, from which trains to the nearest town depart, has signs and announcements in Mandarin, and Bicester Village employs about 150 Mandarin speakers.
It receives 7 million visits annually, attracting shoppers from Middle Eastern royals to the average bargain hunter.
Value Retail also has locations in Shanghai and Suzhou in China that are branded under the Bicester Village name. It also has centres in cities like Barcelona, Frankfurt, Madrid and Milan.
Belmont Park Village in New York is scheduled to open next summer.
Hammerson upped its stake in Value Retail in February 2018 with a £76M investment as it focused on growing its premium outlet business, but earlier this year, CEO Rita-Rose Gagné said that investment was no longer envisaged as a long-term hold.
Value Retail’s other shareholders include founder Scott Malkin, U.S. retail giant Simon Property Group and Dutch pension fund APG, none of whom are bidding for Hammerson’s stake, React reported.
That’s so bullish
Prada's Bicester outlet
A private equity firm backed by LVMH and the family office of its
founder is in conversations about buying a stake in the company that
owns Bicester Village.
L Catterton has held talks with Hammerson, which is selling a 40%
stake in Value Retail for £1B to £1.2B, React News reported. Not sure if any update on this?
Not as big as some of the recent days but its into the 28's again and it does seem to be following an upswing in the general market sentiment.