Member Info for devonplay

" I do hope others can see a silver lining somewhere in the update that enables you a restful nights sleep."
There's only a months left till the '20 Sterling Bonds matures. If they do that OK, I should be up about 24%. That, works for me. If they can refinance those at a lower level, that should help the ordinary and pref. holders.
I'm guessing they think they can, as so are confident enough to talk about the dividend starting again.

"I hope all the IIs do the same !!!!!"

But you can see if you've been long the debt and short the equity you might not think that's worthwhile.

that means an investor who's played all parts of the company's cap table will want to potentially vote yes.
Profit on the "ordinary" shared might only be a small part of their overall game play. The part they are willing to give away for a quick buck.

I mean, if you've been long the debt, short the equity and you want to crystalize that debt long posiiton (and you've closed your short), as AAL have set you price, then it might be worth handing some of your short profit back to buy ordinary stock to push the vote in a YES direction. Now that would just a balancing of pots and a spreadsheet LOL

" The closer we get to the actual vote I imagine we will start to see cards being played and the realisation of investors positions."
it will be interesting to see if bond holders buy up ordinary stock to avoid the possibility of default, administration or liquidation. They "buy" the opportunity for YES. That provides continuity and certainty.
It's marginal change on what they gain/lose on the bonds, and the costs are underwritten by the AAL offer.

"For your information there is no Feb Stampex, but there is a May event called London 2020 International Stamp Exhibition."
Thanks Carpe, that's what I thought. Stampex looks like it was rescheduled from Feb to Sept, so I was a bit confused. The London 2020 even I could tell was a different event.
I agree, I doubt there will be anything to shout about once the full figures come out, and unlike Pearls, I'm still concerend there's a liquidity trap here. It's a perfect stock to be caught out with ...we'll know more soon.

How does due diligence work during an acquisition?
https://www.ftadviser.com/your-industry/2020/02/05/how-does-due-diligence-work-during-an-acquisition/

"Nonnymass,You cant see the wood for the trees.UK owns much more business asset outside UK then Foreigners,including Americans ,do here"
I believe we are still the largest investors in the US, slightly outdated 2018 figures:
https://ofii.org/blog/these-eight-countries-account-for-three-quarters-of-fdi-in-the-usa

I suppose CV might be iver by then, in Europe and America at least. It might be still stressing Asian buys that, you can see that in the luxury industries. Times like this, peole focus on other things. That's why they've had a bad time of it.

Cheers. I own some of the Premier Foods L+5.0% Jul 2022. It's good to see the upgrade.

"Stampex 2020"
Haven't they cancelled the Febraury Stampex? Isn't it now much later in the year?
I'm know sure an higher risk group, older people, will be rushing to large gatherings any time soon....September might be OK, but the next few months.....

the shareholders are willing
edit: the shareholders aren't willing

How fast can a “book build” be put together? Heard of them but don’t know technicals behind them.
https://www.investopedia.com/terms/b/bookbuilding.asp
With ii support very quickly, without them they will make an assesment of the share register, most of the registrars will provide an analytics or insite service, there are also alternatives, for examples Georgesons (now owned by Computershare). If they don't have ii support, and they aren't sure about support from existing pi then it's very much like a pre-IPO service, that could take several weeks to work through the Intermediary community. You can accelerate that process, but sensibly you'd want 3-4 weeks. Otherwise it becomes a gamble. If at this stage you've failed to raise the funds then it's a sign to the creditors that the shareholders are willing to support the company and they will press for administration. It makes the Admins job more difficult and erodes confidence. It makes any pre-pack sales more difficult.

"I'll not b engaging any further"
That's fine with me. Smart arse or not ;)

"Regarding an escrow, you're talking balls Devonplay. You obviously don't understand the concept.
Are you really sure about?"
I appear to understand the practical approach to emergency capital raises, the structure of the bond market and the overall processes involved in raising debt and equity. Do you?
Are you willing to take the risk that I'm wrong? That if cash is failed to be raised in the amount that's rquired the company won't just crash into admin and you won't get caught up with that?

" just like with the last bonds."
But an institutional bond issue is a completely different beast. There are proboably no more than 50 banks that control the entire market, so engaging with them is totally different to engaging with diverse shareholder base, some of which will be ii, the rest via their nominee provicer and a very small amout direct certificated private invstors.
And if the business failed in escrow? Then it becomes a complex issue that might not be resolved until the company gets liquidated or the administrator exit's. That can take month and mont and months. If not years. There's very little certainty, that's why most companies don't attempt a rescue raise without being certain that it's going to succeed. In most case that's with ii support - and it appears they don't think they'll get that.

But it doesn't work like that does it. They've got just 7 weeks of cash left.
When you do a capital raise then there's fee to be paid. Stock Exchange, Lawyers, Advisors, Brokers, Registrars, Printers, Mailing House, Post Office.
You know that it's likely to fail, so you waste a precious limited cash resource on something destined for failure?
You can't just "mail" them as you don't have their home detail, they are mostly in nominee accounts.
Have an EGM? More cost, you have to go throw the same process, as well as findinga venue! Lots of Companies expecting large attendances at their EGM's book them years in advance. Side note. M&S used to book the QE2 in 5 year blocks.
All the while the clock is running down as far as cash is concerned....and what good would the commitments be? Would they be binding, so if the company did fall into Administration as you'd your commitmented cash, but other's hadn't, you'd still hand your cash over to settle the creditors? Pay it to the Administrator. If they aren't binding, they aren't worth the paper they aren't writen on at this stage. I appreciate you want to vent, I'm just trying to show the practical issues associated with these kinds of transactions. Imagin a postiion that it's not a formal process from a creditors position, they'd want to know it was binding and cash with SM, or at least in escrow and heading towards thr Adminstrator. Would you commit, without being sure it would turn into equity, not just cash for creditors?

"Every REASONABLE effort."
but you realise it takes money to have an capital raise, money they might not have and if it faiedl, which they suggest would come from the lack of support from ii then pi's would need to commit a factor of x's greater than previous rounds, then the company would probably lose any support of creditors - with that gone - it's game over.

https://tools.eurolandir.com/tools/Pressreleases/GetPressRelease/?ID=3692876&lang=en-GB&companycode=uk-deb&v=

"Devon: they're currently marked at around 93.5/95.5 but not sure what actual axes there will be for them.
Which broker do you use that sells the 7 5/8 % to retail investors?"
101 before the news. WiseAlpha hates "notes" issued against the bonds. It's a secured issue, so slightly less concern at the moment. Payment are time. Hope that helps. I haven't checked, but I expect they have note on the market, I'm not seeling at the moment. Still have a little appreciation on the positions I hold.