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that is all been known for some time, so nothing new. The point being the Mail appears to be giving an impression cash from Carlsberg puts MARS in a better position than others in the sector and not as is known being used to pay down debt.
RF also stated in the interim report not to be under any illusion trying times ly ahead.
It is the next 6 weeks which apart from Christmas and New Year, have historically been the highest cash earning weeks of the year. Let's hope most Pubs do reopen soon otherwise the fear must be many in the sector are going to find it hard too survive
The FTSE 250-listed brewer & pub operator said it will receive a 40% stake in the Carlsberg Marston's Brewing Co joint venture, plus a balancing cash payment of up to GBP273 million.
Marston said the deal values its brewing business at GBP580 million and the Carlsberg UK brewing business at GBP200 million.
The company added that it will use the cash to reduce debt and provide additional financial flexibility.
Earlier in May, Marston's said it secured an additional GBP70 million through an increased bank facility to ensure it is "best placed to navigate this period of uncertainty" created by the Covid-19 pandemic. At the time, it said the temporary closure of its pub estate and the additional GBP70 million liquidity would set back the its debt reduction "trajectory".
In March, the company had commenced a debt reduction programme with the goal of reducing debt by GBP200 million by 2023. As at the end of 2019, net debt was GBP1.39 billion.
"I am delighted to announce today's JV with Carlsberg UK. This new partnership acknowledges Marston's strategy, position and consistent outperformance against the UK beer market, realising value for shareholders today, whilst retaining an interest in the future upside of the combined entity," said Chief Executive Ralph Findlay.
Should be concluded in July-Sept and we should then get the money and I guess it will be used to pay down debt.
did the article mention the destination for the funds coming from Carlsberg?
Talks about pubs etc and says many will find it hard to come back as strong and could take time, but a few including Mars have done well by raising money etc like the deal Mars has done with Carlsberge. So I think that is another tick for the right move forward and should help the sp next week.
It has been a mixed reaction, city/town centre pubs seem to have attracted a fair number of punters. More rural and tourist areas not so well patronised. Traveled back through a tourist area and many villages, last night. Some opened pubs with outside facilities had a few drinkers, many judging by cars parked, were having a meagre time.
CAMRA report more than 50% of Pubs remain closed. The belief being they are assessing how well the Opening goes and then making a judgement on viabilty.
...hiccup....
Just there is no supply as Trump has bought 90% production for the next 3 months.
The Dex... drug is UK's better hope.
And Oxford vaccine in a few months. Ironically they have to part test it in Brasil as UK has too few cases now!
Open for business. Can anyone report from their Marston estate?
It's odd that Mars are off 35% from their high, whereas Wetherspoons are only down 11%. I expected a SP boost before opening day rather than a move down. I used the drop to buy more at 55 though in the hope of a rise in future.
The pandemic will be over (for the UK) before a vaccination programme for Coivid 19 could be completed. Cases and deaths falling to very small numbers is far more likely to trigger a
return to conventional behaviour. I expect that to be 2 to 3 weeks from now.
Pub shares have factored in the sales which will still be way below what they were before.With social distancing, pubs will never be packed like they were until we get a vaccine. Even thenm it will be a while after that the pub shares return to normal.
the queues of casket and keg deliveries around here were huge
giantsquid, I agree, pubs will be packed at the weekend and for weeks to come. I fear it will follow the same news bulletins as the queues at Primark, crowds on Bournemouth beach and unacceptable behaviour at recent protest rallies understandably suggesting we are all idiots and irresponsible. It will take a self proclaimed genius to forecast the effect on the share price. But I expect this will follow ;) ………..
On twitter I've seen no end of people saying they'll be flocking to the pubs - there's no question the pubs will be packed. Brewers are going to have a busy time of it over the coming weeks and months meeting demand. Pubs are usually busy places anyway but what's coming is way out of the ordinary - nobody has been able to go to a pub for months, so when the doors finally reopen it'll be a stampede I think. The tills are going to be ringing non stop, literally. The extent of the crowds of pub goers will almost certainly make the news headlines on monday. Will be interesting to see how pub shares react next week to the sudden surge in revenue.
Don’t be silly now
Yeh rite god knows where this price is going may be back to the 30s
Eu Authorises Remdesivir as a treatment. Should bring some confidence back into this reopening sector.
ruman
"hope weather is good", if you look at the met office forecast for this weekend the drinkers in the garden/car park will need their macs on !!!
Perhaps someone should consider a switch from Marstons to Sta-dry if their forecast is accurate.....
Anyone know when the next financial statement for marstons is due?
Anyone with L2 see incoming trades? Lots of buying today.
Went to a pub last weekend. They were selling takeaway beers but they had a pub garden set up on farmland out back. It was absolutely rammed. The pubs WILL be packed this weekend. No doubt. Marstons used to be a client of mine and they have a good set up and a lot of loyal customers. This is going to rip north on Monday regardless of what happens today.
Let’s hope a bumper weekend - people will be gasping for drink and push this back up 75p plus
Directors buying in is a great sign too
Lets hope so , fingers crossed this SP should retrace to 75-80 and then push on ? Saturday is so important for MARS and all other pubs. Hope the weather is Good , i can see those Beer Gardens being busy. GLA
It’s the anticipation of a second wave and pubs not generating a decent profit. Make no mistake about it though, when things are back to normal this will be above 100p again