Member Info for bistolover

cricket2

the deal with gores was that gores paid £15m upfront, the remaining £15m had performance conditions that needed to be achieved and three years were allowed. These were never achieved, so premier wrote this off.

at the same time both gores and premier gave a shareholder loan of £16m each so that hovis could use this to borrow £80m to invest in new equipment. these shareholder loans attract 10% interest and have been accumulating on hovis books. in 2019 hovis paid £8m to premier and looking at the hovis 2019 results, gores also got same amount.
the shareholder loan is still outstanding, but this will not matter once the takeover happens.

"Darby sold Half (51% ) of the Hovis business for £31 Million"

Actually it was sold for £15m, the second £15m was never paid. also Darby loaned £16M. so far £8m of the loan has been returned.

The Italian group is ready to spend as much as 100 million pounds for the bread maker
https://uk.reuters.com/article/uk-hovis-m-a-newlat/italys-newlat-food-has-offered-bid-for-britains-hovis-source-idUKKBN26P0PQ?il=0
have to do better than that

https://www.thetimes.co.uk/article/rise-in-demand-for-hovis-loaves-lifts-prospects-for-100m-auction-7vj3cqr2c

The £100 million-plus auction of Hovis received a boost today after the baking group circumnavigated the impact of the coronavirus crisis to report an increase in demand.

The breadmaker, which is controlled by the US investment firm Gores Group, said that over the past 12 months it had lifted its market share from 20 per cent to 22 per cent and that it was “well placed to capture further market share in the UK’s £4 billion bakery category”.

which ebitda are they using, pre-ifrs16 has not moved much. agree 2020 will be interesting.

disappointing 2019 Hovis results
https://beta.companieshouse.gov.uk/company/08846818/filing-history

The firms are among about six parties that have lodged indicative bids for the company, according to the report.
https://www.bloombergquint.com/markets/private-equity-suitors-eye-up-britain-s-beloved-bread-brand-sky

see what comes of this.
if bids only £100m, premier should buy the 51% themselves with the profits from lockdown, but suspect the offers will be much higher
https://news.sky.com/story/funds-and-food-groups-eye-chance-to-make-dough-from-hovis-12070922

hopefully not serious
https://www.mirror.co.uk/news/uk-news/six-workers-mr-kipling-bakery-22597091

"Our public health team has been impressed with the measures introduced by Premier Foods, both before and since this issue. It is actually thanks to their processes that this issue came to light so quickly.

"We have been able to see that these infections did not take place in the factory itself, but in the community."

a simple question : does the net debt/cash position include the future liabilities, 2 big ones being deferred VAT due in march 2021 and 2xQuarterly rent payments

If these are not, then what is the net debt/cash position after these

if they leave it to the point of no more money left then this will be super emergency leaving IAG at the mercy of the markets and nowhere to hide

To all British airways bulls, what will be the effect on the share price of a possible £2.5B emergency rights issue be on the share price and the number of shares in issue. Can't this ever getting back to £6 a share if the number of shares is 2 or three times the current total.

https://www.telegraph.co.uk/business/2020/07/24/british-airways-owner-gears-25bn-emergency-funding/

they will not share the info about with us small time plebs

The 16 million shares traded were TNCP trades according to London Stock exchange.

apparently 'TNCP' means "Non Price Contribution to Discovery" and 'SINT' is a SI trade when SI is defined as an "investment firm which, on an organised, frequent, systematic and substantial basis, deals on its own account by executing client orders outside [a trading venue]." According to 1onic in layman's terms, it's any firm that matches and fills a significant number of client orders internally.

pension: combined gross defict : 603m

pre rights issue numbers : end of dec 2013
https://www.premierfoods.co.uk/CorporateSite/media/documents/investors/results/2013/PremierFoods-2013-PreliminaryResults-Presentation.pdf
sales : 850m
Trading profit : 139m
ebitda : 156m
debt : 831m

the share price peaked at around 180p before the 8 for 5 rights issue at 50p. 180p post rights issue is £1. (180*5 +8*50)/13

Once this level is passed, then the skys the limit i.e. clear blue sky and no looking back

say the current cash is £30m. what bills have they not paid, do we know ?

looks like rent of £20m per quarter may be deferred, so actual cash is likely to be negative

i would say a good chance the daily large share price falls is pricing in a rights issue

people keep mentioning cash, when was this cash position effective date. Has it retained itself through the lockdown.

Why is the company saying they are looking at funding if cash is so high.

2022 bonds - slight typo