Member Info for FED1

I see the error SCB.

hexam,

what’s your background?

you’re clearly one of the smartest posters on here but you’re ****-posting?????

I don’t even need to write the list.

Maybe we should simply group posters into two groups:

Those who want share price to go up;

Those who want share price to go down.

Then when our agendas our shared, we treat everyone with respect.

I’m on the want share price to go up side.

I’ve lost a lot of money on this. I’m not happy with mgmt.

My agenda is for share price to go up. I don’t need to be a Kamani fan.

There is a line:

1) those who want share price to go up;

2) those who want share price to go down.

It’s becoming increasingly clear what side of line you are.

Reports are six monthly. Year end is end Feb. We are probably in a news vacuum for a few months yet. Hopefully next announcement will quantify Burnley closure savings, potential Burnley sale, and dare I say it, a PLT deal?

Looks like last results were a big bath. We’ve seen improvement in cash flow and bottom line. We now just need top line to stabilise.

I don’t expect much in terms of top line growth, nor PLT disposal, but ultimately we need to keep focus on valuation. Not going bust.

Inditex is valued at £150bn. It is best in class.

If you invest in quality, then buy Inditex. If you are not interested in recovery plays, then invest in Inditex.

SCB,

I’m sure many long-suffering shareholders agree that fundamentally the financial statements are poor. Even Bfd is balanced in this respect.

Is it oversold and undervalued is another question? Not to long ago many told us 9p was certain.

I’m happy to speak about fundamentals but this needs to be balanced against valuation.

Starmer going to China in January. Will most likely announce London Super Embassy. Expect China to throw UK a bones.

I speculate China stopped Shein London listing in part due to Embassy fracas. For Starmer to visit, you would expect something more substantial than Reeves last visit.

Frasers sold about 7% of his shareholding. His remaining 27% stake has fallen 8% in value today. The amount he raised in capital was broadly equivalent to his unrealised loss today.

Mike Ashley has taken out loans secured against his personal shareholding. I thought this was due to his Sheffield Wednesday bid but that is only apparently £30m.

Hexam,

Frasers obviously has close relationships with sell-side brokers. If the intention is to significantly reduce, their corporate broker would have advised an accelerated book build. A daily drip of disposals is not rationale. Selling a stake into a share overhang is not desirable.

I supported Frasers in the EGM and voted with them at AGM. I understand their frustration with trying to effect change on BoD. I think we can say with certainty that Frasers is not going to bid. However, I would also credit them with more nouse when it comes to exiting. They may be reducing further today, but not sure they are going to consistently dump stock for two month.

Frasers is not going to drip-drip sell this down. That is not how institutions sell large stakes.

You come in one morning and several brokers have contacted all its buyside clients announcing that Frasers is selling its 28% stake in Boohoo at a 4-7% discount to yesterdays closing price. It is a rapid book build and institutions are invited to submit their offers. By 11am, it is complete.

Hence, I don't believe Frasers is now going to exit its stake.

I believe Frasers has other capital requirements. It is not a bottomless pit of cash flow which can go about buying shopping malls every other week.

It bought some shares as low as 20p and it has sold that tranche at 25p. I suspect Frasers will sell down further at 35, 40p, and 45p. in order to get a respectable return on its tranche of shares it bought.

The best way for the BoD to get rid of Frasers is for them to get share price to 40p.

From AI when I asked about Frasers average cost price. I estimate it to be around 35p although there is probably a margin of error to be lower than this.

Date Frasers' Stake Approximate Boohoo Share Price (GBP pence)

June 2023 5% (initial) Not specified, but at an 8-year low

July 2023 7.8% 39.37 pence (closing price on date of increase)

August 2023 9.1% Around 33.7 pence

October 2023 13.4% (largest shareholder) Around 29.52 pence (closing price around this time)

November 2023 16.5% Shares around 35 pence

January 2024 Over 20% Shares around 35 pence

May 2024 23.1% Not specified, but part of gradual accumulation

September 2024 26.19% Around 35.4 pence before a slump

October 2024 ~27% Dropped significantly, around 27.3 pence

November 2024 ~28% Not specified, after price slumped to around 27.3 pence

July 2025 Not specified, after previous increases Around 20.3 pence

I suspect Frasers needs the money for its capitally intensive mall strategy. Maybe it didn’t want to sell Boo but needed capital. Arguably a better allocation as the stated purpose of buying Boo was to build strategic relationships. We all know that Frasers was circling distress value assets though.

I don’t think we were far off his cost price. He sold Curry’s way to early once he was in profit. Overhangs are a normal part and we have to wait until he sells out. Ultimately fundamentals will trump (whether good or bad).

I suspect BoD are celebrating. They probably need to get this to 40P to get rid of Ashley. If they do get to net cash following disposals, then maybe they can manage sale overhang by doing a share buy back.

I think it says that Boo is no longer strategic to Frasers. Frasers will focus its capital elsewhere. I don’t think this means Frasers will dump stock. It will sell down its stake at book cost or more.

Thanks Bfd. I didn't realise the strong close on Friday was due to a questionable UT.

I suppose given the strong performance, it will take a while for share price volatility to settle down as it finds its new level.

Given the intra-day volatility, this stock price can go anywhere.

Literally no clue what is driving these large swings. Suspect there is a large buyer but there must be some profit taking? Are day traders increasingly active here? Given the large unexpected moves, it seems a dangerous stock to scalp as it can gap up or down at any moment from one large order.