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How does this deal affect the choice of beers in a Marston's pub? Can someone explain? It gives Carlsberg an outlet for its lagers etc., but does not lessen the choice for real ale drinkers... or am I missing something? MARS is confident that the deal will go through. What is Camra's case?
@fairdealer
I think it would be fair to factor in some caution, one thing the markets hate is uncertainty, if they do get tied up in the shenanigans of an extended, or even a leisurely, competition approval process Carlsberg could easily twist RF's arm up behind his back. Not saying it would happen but wise to bear it in mind all the same eh ?
Unlike Whitbread, Marston's don't have a huge War_Chest. It would be a different situation if it were otherwise.
As this type of company goes MARS has at least had an income stream from off site sales unlike JDW for example. So it does make it easier than some for MARS to weather the covid storm.
the additional facility of £70m agreed in May is for 180 days. We do not know what the start date is but assume the BOD expected funds from Carlsberg to fill the gap.
Do you, Barchid sense choppy waters ahead?
@Fairdealer
Indeed, there was also that rather disturbing piece in the rns "are satisfied that the group has sufficient liquidity", given a possible delay if Camra gain traction, which they probably will not ,but it is not impossible either, liquidity could be rather stretched if takings are lower than hoped for.
any uncertainties will affect the market.
Even though the JV seemed a good move ( in some ways) CAMRA have different views.
It is only my view but do wonder if CAMRA want the Pub Code to be followed as many 100's of independant Brewers, Craft included have at present access to Pubs.
Do you think that is why shares are down over 4% again today?
Completion of the deal been put back to 4th quarter.
Yes probably a good idea to do some research and calculations, I've only a few £k invested here to keep me interested in something whilst work is low. All the best to you all.
Aero
Aero don't be fooled by all the positive headlines. As already stated many times and again now, restitution of profits distribution is a very long way off.
The Company has to re-build it's Balance sheet, be confident Debt reduction can be maintained, see how the JV works (in a Positive way). All of this against the background events and damage done by COVID, which are not yet known. The Board will be wise to act with caution and not pay a Dividend, as was happening 2/3 years ago , where debt reduction should have a higher priority.
Aero you would do well to fully research the company's corporate history. That would be an invaluable exercise.
Guess so, I was wondering what is needed for this SP to rise.
Maybe when the Carlsberg deal goes through then.
Aero
Given the cash burn they’re going through prudence is the way to go. Any company reinstating a dividend through a pandemic would raise alarm bells to me.
@Aero
Without wishing to be too negative I would think now they have been cut there is no hurry to reinstate, and when I say reinstate I do not mean paying the same generous divi they did before but any divi.
So my guess is nothing for a couple of years and then a modest payment, but this is based purely on gut feeling, hopefully we will be given some guidance on this by the board when things look a little clearer in a few months time ?
Any idea when dividends will return?
Pump and dump. Buy today, sell tomorrow. Repeat.
I suspect some people are making a lot of money playing the 4% daily rise and fall.
Given the need for eye-catching emotive media reports I think a vaccine is the only way out, to reassure the large number of people that have been terrified by covid. No doubt even if we get a vaccine in record time they’ll be many headlines of people having the vaccine and suffering serious side effects etc as the news cycle rolls on.
@Supercharger. I concur the point about those doing staycation this year.
We are off to Greece later this year with Jet2, assuming of course it does not get cancelled. Friends of ours that usually go at the same time as us have not been so lucky. The hotel we all usually go to is remaining closed so they are looking at cancelling so they may well stay somewhere in the UK. Plenty of others have either cancelled themselves or both TUI & J2 cancelled so they may well have decided to stay here. Some of this may well result in bookings at our inns.
Swings & roundabouts I think.
This is a mirror of yesterday only tick tick down instead of up. Very strange
Couldn’t agree more, borderline no brainier
If Carlsberg deal to sign off in September then once it is we will rise even more. A double positive in my book. I also hear on the grapevine more and more people are booking up for their hols in the Uk this year, and so I expect us soon to have an announcement on bookings. It sounds like we will may be surprised how well things are coming back for Marstons.
I would love to see this in the 50's tomorrow and touching 60's by end of the week.
GLA
someone tipped ODX on here on Friday which I managed to get on first thing Monday, thank you!
536 very excited posts on ODX today and similar yesterday about imminent testing in UK and around the world. This is still very quiet in the news but could be having a positive impact on leisure shares? Hope so, gla
7% rise today... If we have a good open and a green day tomorrow we will be back in the 50's.
Onwards & Upwards from here. Lots of good news and lots of good news to look forward too.
Marstons are in a JV with Carlsberg "UK", The deal is yet to complete...expected September/October