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Sentiment (or Shorters) could drive this down to below 0.1p. The real value is what somebody is prepared to buy it for should they want it before insolvency beckons (6-12months IMO unless the board can radically change their business model that appeases creditors and attracts investors)
I shall do what amateur investors are good at, I'll keep my shares and hope for the best...
Most of the value has gone anyway...
Heading for under 1p .
I agree-any restructure is going to need hard cash.The issue is at what cost
There is a reason the company is down 50 per cent today ianfm. Because it needs money, or lights out .
They are on high salaries at the moment you idiot, and losing money fast . At no point did I say pay more . But I would give them a bonus’s if they turn it around unlike the current team .
Hope you understand before you loss your money here . Then you may be living outside your means .
One thing for sure at the moment this company is definitely doing that .
What so the new people can ask for high salaries?
you sound like an idiot who is living outside your means.
If they pay down debt you must be a complete idiot investing. So invest 10 million so NatWest can get some of their money back and then pop it . They have first charge and maybe get a few million more back.New investors zero back
No if they what 10 million you need an excellent turn around plan . And the team needs to all work hard fast and long hours to do it .bring in new blood also and bin the dead wood .
They need a new one that understands the place they are in and get busy making decisions fast no ass kissing now. But he will think if I can get another 10 million I get a wage for 6 more months. Another idea is change the senior management team fast .Keep HR as they can do the dirty work getting rid of everyone with a smile.
Really want to know what they will do with the 10mil, pay down debt to reduce interest payments, and some FCF to aid daily running would probably be a good idea.
Lights out...not yet.
New CEO. Definitely. The present one has definitely run out of ideas. Should've been replaced ages ago.
They what another 10 million.
I would say set up a new company and launch a new brand current to today’s market and in places that you can take money more then 1 or 2 days a week .the 10 million will just burn up in 6 more months .
No surprise, the brand is out of date with most bars are located in premium locations within city centres. Lord knows what the leasing costs are.
Time to strip back, rebrand and go back to basics.
Less than 2% of shares traded which indicates no one in bailing.
Also Babu brought in Nov and Dec 23 at prices up to 5.5p and went from zero to sixteen percent.
guess people are underwater a lot here, not worth selling out, might as well hold on and see what happens, similar to those who invested in CINE.
As at 4 January 2024, net debt was £18.3m, they are burning cash fast
Net debt at 23 jan 20.3 million
Net debt today ? What’s NatWest facility?
Net debt at 23 January 2024 is £20.3m, well within our facility with NatWest, however we will significantly reduce our capex expenditure to reflect this lower EBITDA with all refurbishments deferred until we see trading improve.
NatWest will what there 20 million back first on any sales .
Maybe get a new chief executive for a start . The current one has been saying he is turning it around for years . But all it the company does is drop in price and and ask for more cash . Wage increases will not help also with the 2500 staff going forward.
Old brand , People have moved on . Manchester still does ok .
Less than 2% of shares traded which indicates no one in bailing.
Also Babu brought in Nov and Dec 23 at prices up to 5.5p and went from zero to sixteen percent.
Personally I think they could be taken over with a return to shareholders.
The great unknown is the twenty bars they want to close. What's the lease liabilities and closure cost ? If its material it will probably go into admin.
Also this news won't help with lines of credit etc.
I disagree. We still are one of the best bands, big footprint, sites are busy - there will be competition for it. It won't get to administration nor will Luke be able to sniff us existing shareholders out on the cheap. Any buyers could let it go to administration but they run the risk of missing out on what is already a bargin.
£30m from a PE house on a wiping Debt basis is a bargin.
I bought in here knowing there were huge risks but was hoping for an unsolicited buy out. Shame we are asking for a sale but still think we will see a few good bids.
Too early.
IMO insolvency is probably 6 months a way, 9-12 months if they sell 20 soon.
I think they'll sell lock stock and barrel, maybe even get better than current market value...it's peanuts now if you factor in goodwill etc...
Aged like fine wine.
Aged like fine wine.
This looking more likely going to administration if unable to raise funds. Makes more sense for the acquirer to buy the brand for peanuts then pick and choose to operate only the profitable busy locations. Where as the remaining rental lease liabilities, redundancies and other liabilities can be defaulted in administration. Skating on thin ice this one. IMO, DYOR.
People are going to Wetherspoon these days. Cheap and packed. Shareholders turned down a bid of 100p. A few years now. Trying to get 10 million at a penny. Will wipe out current shareholders of course. Easter will be busy but all that work for nothing much.