Member Info for bistolover

anybody wanting exposure to this sector can buy and hold just eat, which has a much lower valuation and less risky. Deliveroo will burn through money fast and then start wanting more from shareholders when current funds run out.

There is nothing stopping a few people in each town setting up a competing business and take share aware. distributing leaflets door to door is low cost marketing and 2-3 people can have there own competing business. A few Restaurant owners in each town can get together and do the same and keep all the earning for themselves. There is nothing unique in the business model

Former Premier Foods boss Darby in talks about £1.5bn bid for Kettle-owner Valeo

https://news.sky.com/story/former-premier-foods-boss-darby-in-talks-about-1-5bn-bid-for-kettle-owner-valeo-12257126

most investors will agree this company will need to be profitable to survive and therefore investors capital to be kept intact and not be bleed.
following challenges come to mind.
1. only 50% capacity of seats when opening
2. consumers are more lazier and are used to viewing online
3. high debt then before to service

can some-one put a case to see how these will be overcome by the management.

because 42 is the "Answer to the Ultimate Question of Life, the Universe, and Everything"

does not look good for european flights over summer. will iag need another rights issue ? the recent £1B bonds issue was only going to get IAG to May.

try again - Merchantile Investment Trust were holding 25m shares on 30th November 2020, so purchase before this date

contact aa investor relation. your shares would have been taken private.

https://www.londonstockexchange.com/news-article/AA./scheme-of-arrangement-becomes-effective/14892830

technology not Technically

more and more fund managers will look at stocks that they can mention in there year end/ 6 month reports. Scientists are already warning of late summer/autumn wave. Can't be that many better stock to buy for growth and hedge against a future spike at the same time. Technically and online plays are toooo high already.

These fund managers will need to buy stocks in the millions, not easy to build stakes unless other big holders are selling.

looking at there last reported full portfolio listing. there website is indicating portfolio is updated monthly, but has not updated since 30th november 2020.

They had 25000000 shares as at close of business 30th november 2020.

This is just under the 3% limit where they need to inform the market. Lets hope they add more

further point on resetting covenants. Superdry were also having technical issues with covenants, but they were reset for next 6 quarters by Banks. Odd the banks are treating card factory differently and only giving short term and forcing a refinance. why would this be

"The company doesn’t need more debt or have too much"

if they don't need more debt and just need a waiver on covenants until business re-opens, then why did they approached specialist lenders to try and raise £100 million.

other companies have been granted covenant waivers as banks fully understand technically covenants will fail, but this is not being granted to card factory.

"So despite covid and stores closed they paid off £29m of debt"

Does anyone what bills the company may have deferred to a future date, did the company had to legally pay the rent. It seems strange for banks to be giving card factory such a tough time if the company was able to reduce debt by £29m through trading when other companies lost so much, would have thought the banks would be desperate to lend to such a company.

Or has the banks been given additional details that have given them doubt.

Cyclical Stocks are just that and will get clobbered if times get tough, they largely depend on cheap helicopter money to be kept being dished out. If the government bonds yields go up much further than expect Cyclical Stocks to do badly. Have a look at the 30 year and 10 year US treasury bonds yields and how they have gone up in the last couple of weeks.

The logic/reasoning for issuing more shares to get the rating to best possible interest rate. Once the cheap debt is issue, then the shares can be bought back with future profit. Just clever way of beating the rating system.

The fixed note carries an early redemption penalty of 3 .125%, so expensive to call at the moment, but this halves in june 2021.
I guess re-financing fireworks will start around june 2021, especially if this is with a rating upgrade. Currently a B1 rating, if this goes to B2 then interest rates will be 4.25%, if 2 notches rating upgrade to B3, then expecting rates to be around 3.25%.

They can also do a placing of new shares of say £50m so less to refinance, but who am I to advice the company on this.

so shares are not priced at the value of the company, but what a maker maker is willing to buy or sell at. Good news flow will help as that will get the attention of short term traders.

Low volumes are not good for Market makers so suspect they will either push the price too high or too low depending on where there are buyers to sellers in the markets.

https://www.thebalance.com/what-is-a-market-maker-and-how-do-they-make-money-4053753

warren buffet sold all his airline stocks last may. was he wise ?

"priced in the worse scenarios already"

Have you really really really thought what worse case scenarios are ?