Member Info for FED1

The 30th and 31st are weekend days.

To give a full 21 days notice, it needs to exclude day of announcement and day of AGM. So to hold an AGM on 29th, it needs to announce AGM tomorrow.

So if Boo has to comply with UK company law in terms of AGM announcement, and Bfd said last week that it is unlikely to report results on a Friday, then doesn’t that mean we get full year results tomorrow?

I don’t mean to open this rabbit hole:

SCB, you correctly told us that under UK rules, an aGM has to be held within 6months of financial year end; but also give 21 days notice.

This is why I’m on this board:

Bfd, your post yesterday that Boo was subject to less strict Jersey company law, was correct and smart. Maybe too smart.

SCB, your post that UK registered plc’s have to have an AGM with six months of fiscal year end but 21 days after full year results was also smart.

This is why I participate on this message board.

CEOs get fired when share price halves. Getting fired before your first earnings announcement is embarrassing. What is going on?

There is internally focused on delivering change; then there is blinkered.

A new CEO should be courting City, investors, media, etc.

Yet he is either:

1) out of his depth and not in control;

2) working on credible plan.

I wonder though that his tardiness is delivering said plan has already undermined the big PowerPoint presentation.

SCB - sounds like you have inside sources. I assumed US DC was JL, not Kamani? Kamani may have rubber stamped it, but JL pitched it as a use of capital.

One possible answer to radio silence is that BoD has realised that marketplace is not the right strategy for Youth Brands. Maybe Debs is even losing momentum. It is odd than Dan would give an interview to Retail Week which was effectively an elevator pitch on why he should lead group forward. Maybe BoD doesn’t believe Dan should lead Youth?

Many of us value Hexam’s posts. It is also possible to value SCB and Bfd. Not mutually exclusive. I’m here because when you wade through the mud slinging, it is the best place to learn about a company that doesn’t disclose to shareholders.

Neil,

This message board contains posters who have lost a lot of money and are now cynical of legacy mgmt who now control the company with seats on BoD. This is a plc and has significant potential is managed correctly and scrutinised closely using good corporate governance principles.

We may suffer from behavioural finance biases in being unable to cut losses. However, our token activism on this board is for like-minded smaller shareholders. That is why we are here. We don’t need to roll over because another minority shareholder who admittedly founded the business, uses a plc like his personal bank account.

Personally, I am uncomfortable with a RevB acquisition.

The Northern,

Yes I understood the US DC to be a positive aspect of investment thesis and believed in it. I recall that they were going to start with PLT and then roll it out across brands. The Covid inventory overhang, automation cost savings, and US DC. It was all plausible.

Dan needs to articulate his strategy effectively to the market now. Deutsche Bank effectively said so! Saying capital-light and marketplace does not translate into clear guidance with the market. However, the investor base is now a bit more hardened as demonstrated by the discourse on this message board.

Given prior record on capital allocation, I hope the BoD remains disciplined in regards to RevB. I prefer a stronger balance sheet than a beauty business laden with debt.

After all, we could in theory have a net cash position today if it wasn't for the US DC debacle. Capacity Expansion and Empire Building are no longer an option given the current terms creditors are willing to give Boo.

My perception is that the investment community has always deemed Asos to be better quality than Boo, although fundamental data is comparable. There may be an element of elitism and anti-establishment that goes against Kamani.

I am willing to look forward with Dan Finley. However, there is no capacity for any more own goals. The current shareholder non-engagement has been an own goal. They now have to announce something very substantial at full year results.

To be fair, I would probably say Inditex was the leading pioneer of fast fashion.

Boo has always come across as the poor cousin to ASOS. I don’t think they are a good cultural fit.

Re : ASOS Merger

I read an article which suggests that ASOS doesn’t really rate Boo’s multi brand format which is disparate. ASOS mgmt seem to be more focused on fast fashion retail fundamentals. It communicates its strategy very well and the TopShop licensing deal seems exciting. ASOS does have a bigger debt issue. I do not think ASOS wants to be associated with Boo; it much prefer Zalando. Although there is overlap in shareholder base.

I want to give Dan Finley the benefit of the doubt. I hope he is working on something substantial along with Kamani which will cause the share price to rally.

My concern is though that we now need a 100% share price return to get back to the start of his tenure. Two sell side analysts have published notes saying the lack of communication is concerning and that they cannot reasonably financially model Dan's strategy. IR went into lockdown and the press reported damaging stories. The delay and uncertainty has decimated share price. This seems self-inflicted.

Neil,

In regards to ongoing EBITda improvement from closure is US DC, this is an embarrassment for BoD which resulted in the departure (ahem fired) former CEO. It also was a further blot on Kamani’s capital allocation scorecard.

The US DC was a key pillar of investment thesis for a recovery. It invested a lot (£100m?) as it told investors that next day delivery would fire up US sales. It abruptly closed it soon after opening as it was more costly to operate versus having the DC in UK. So yes, it will deliver a reduction in operating expenses going forward.