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its to shortCINE, moreover it is solid point if the language of the contract is followed
not at all, this is a shortened version of the MAE clause from this contract:
“Company Material Adverse Effect” means any event ...EXCEPT any event arising out of, relating
to, resulting from or attributable to:
...
(e) any earthquake, flood or other natural disaster or outbreaks of illness or
other acts of God;"
Or in other words, an act of illness is excluded from being an MAE. Given that the Cineplex case requires the MAE clause to come into effect and preclude the Ordinary Course covenant from taking effect, this is quite important.
....do you have a link to this monstrosity!!
....do you have a link to this monstrosity!!
"...are you asking me to make new law in canada?!"
This is how tenuous the examples that Goodmans are using are
CFD's are dangerous, they can turn against you very quickly. While there is obviously a lot to be made on the downside of TSLA it would be foolhardy to bet against it at the moment. The valuation may seem ridiculous but there are reasons to suggest it may persist for some time at least
.... cant even remember their answers!
Cineplex blatantly served their own interest, or rather the interest of their shareholders - they were crying out for the deal which looked almost impossibly good by March - everything they did was to pressure the deal through. And cineworld were not obliged to manage their business in the same way - they were not under a contract to sell the business to anyone
not much swagger about goodmans today, they pointed out that Cineworld heavily rely on the Ordinary Course covenant being invoked - but it seems they are increasingly reliant on the MAF covenant making it irrelevant. the judge doesnt look convinced by this
this guy is like the comedy villain in a third rate legal drama
remember last November with lockdown pt 2 when the world thought Cine was about to implode it only got down to 12p, and that was only very briefly
if i could post a photo - it would be a rocket on the way to the mooooooooooooooooooon
I don't know if I should rejoice or be very afraid
Fugazi1 - aint no dilution coming sunshine. the SP is just the SP, not the health of the business - IAG dont need to raise capital, - they have plenty of liquidity. they also did a large raise last year - this will not be lost on them, or the shareholders who have to approve it
This week I have found myself missing the court case, missing the hysterics of Goodmans council & the bloodsport in general. I ended up watching it from the beach in Ibiza - somewhat different to my last trip there. So, time to take stock - this is what i think is affecting the SP:
1 - the uncertainly of the court case.
2 - inflation, and the fear that interest rates will increase thus increasing the price of debut (especially for heavily indebted companies)
3 - bad film news - some releases pushed back, Bond boost has passed
4 - stagnation in the covid situation, no real wins out there. also talk of a new variant in the UK
5 - China, risk of contagion from the growing and unresolved property crisis
6 - Increasing short interest - why ... all of the above
I think the main factor is the debt and risk of an interest rate rise. That is affecting all companies with large debts, and any affected by inflation. The risk of a rate rise could cause large problems for the market in general. My take is that the shorters will prob have made good money already and that they can handle their positions easily. I think the court case ended ok for CINE, the risk of a terrible outcome seems lower than before. I dont think CP showed CINE had done much wrong with the ICA process, which I thought key. The other factors are less, but if anything give slight downward pressure.
I would also say the long argument that Cinema is forever weakened by streaming looks weaker than ever. Cinema is too vital a revenue stream to throw away - for film studios this is not easily replaced. to set up a protected distribution network with no piracy - like cinema - is the stuff dreams are made of
so where next? i think the market needs to get much more positive again before CINE moves much higher. the inflation debate needs to be settled and covid progress needs to look sustained. I think inflation will prove transitory - particularly in fuel as the supply exists, but it seems the market has lost its head. a couple of months ago when inflation came up it was labelled transitory, but now its being looked on as permanent?! surely it deserves more time to work its way through the system than it's been given
i'd say the SP is dangerously low for a rights issue. The dilution would be large if you didnt participate & it would leave the share price in pennies, they would possibly need a stock consolidation like AML did at the same time. Not that that did anything for AML's performance - I thought it had far more potential as a penny stock. This may also affect the £60 million odd bonus that Mooky worked into their bonus structure which is based on a high future SP. Remember too - one of the loans that CINE took out was a convertible bond for around 10% of the equity at the time - this will likely provide future dilution anyway because surely it will be cashed in when the price gets better
perhaps mooky and co are aiming to go private
this is ludicrous...
CP trying to make the point that a movie release schedule does not officially exist as a document. They were not so bothered yesterday when they were trying to say that a comment about 'analysis' was different to an official piece of documented analysis
He is tenacious - but a hypocrite
so... CINE know CP breached the debt limit at some point in May, however this is officially recorded in the 'without prejudice' discussion which is inadmissible - so CP absolutely did breach, but the CP lawyer is fighting to keep that out of court - presumably that would result in a mistrial??
That said - if that remains out of court CP have landed some punches today to the end that CW were (of course) aware that the deal was a turkey and that over time CP would breach
I am not sure how this all fits together, CW say that the debt limit was breached & it clearly was - but the proof is inadmissible. CW did not have to close until the end of June and did not have govt. approval. Specific to the debt limit does it matter if Cineworld were waiting to see how things played out - Is that cynical manipulation to get out of a poor deal - or their right under the terms of the deal?
Goodman's council needs a glass of cold water and perhaps a cigarette. The evidence is paper thin, he should be tearing strips off Mooky if he had anything - instead he keeps reverting to everything conspicuous only by it's absence