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Jeffries -13p, Hold - updated 20/09/2019
Barclays -17p- equal weight 20/09/019
Has anyone seen the reports?
They already said they didn’t need the £200m. It’s just added security. Shares would be positive if they get it
It’s already worth single digit pence. Long term could it survive and recover value?
What if you hold shares and start placing shorts on spread to protect downside risk in case it changes? Would that work?
Neset previously stated their 8% holding is “unlikely to be wiped out”.
Neset preciously day their 8% holding is unlikely to be wiped out from the previous ft article.
The only way of knowing is when details of the deal unfold including any dilutive activity. Also looking back didn’t Fosun say they may give investors a chance to invest? Again no details there.
If the proposed dilution turns out to not be as bad as feared.
Also, reading the FT, didn’t “Kockar” state he didn’t expect to be wiped out. Interesting.
Aug 1 (Reuters) – Thomas Cook Group plc :
Neset Kockar Discloses Stake Of 8.01% In Thomas Cook Group Plc As Of July 31 Versus Prior Stake Of 6.71%- Filing
Source text for Eikon: Further company coverage: TCG.L
(Reuters.Briefs@thomsonreuters.com;)
If you are speaking from a company’s view however now that’s a major impact. As you have fuel costs, operating costs and salaries to pay for.
Sterling’s fall is hardly a major factor. Comparing to EUR for example it’s fallen from 1.1775 to 1.0967 be the EUR. Of say you take £3000 on holiday you are talking about €242 difference in the amount of euros you will get. Negligible. Bigger picture is how the restructure this company in my view. I also think people will always want to go on holiday - including myself.
The media always make things sounds worse than it is generally. Bad news sells so they say. I say make your own independent decision - I would perhaps say not to sell down here, hold your nerve and wait longer term.
I would look to not sell at these levels and rather look to add. That’s just my view.
As I said before, I take medium term Views - not day trading views or very short term as that’s very difficult to predict. Longer term, a change in business model and management as well as correct debt management would certainly be a good way forward. I agree what this board has done to existing shareholder particularly of you bought at higher levels over the last few year is terrible. For new fresh money coming in at these low levels may well pay off longer term.