Member Info for forfaiter

They are proposing to issue 19 shares for every one share held....meaning the current mkt cap at the time of dilution will be x 20 post dilution.......so present market cap of 1,25m x 20....equals mkt cap £ 25m post dilution and so on depending on price at the time of dilution.....

The current valuation is £1.25m.......post share dilution this equates to £25m........for a company that will have revenues around £80m to 100m if it gets back on track post funding...........a share price of say 2p a share now roughly doubles the market cap figures ......to around 50m. post dilution.....then you have to throw in the delisting scenario as either a positive or negative?

Take your bets.....

LOL..... good luck on your pump and dump.....

Does not look like the capital raise will go through........nothing for shareholders.....

The market is pricing in a dilution of stock similar to Amigo share price which is facing a 95% dilution.....

https://finance.yahoo.com/news/box-office-still-in-recovery-mode-as-services-like-movie-pass-bet-big-on-its-return-170532372.html

From RNS concerning ch 11......still everything to play for especially if you have bought in at these levels...

"Any such filing would be expected to allow the Group to access near-term liquidity and support the orderly implementation of a fully funded deleveraging transaction. Cineworld would expect to maintain its operations in the ordinary course until and following any filing and ultimately to continue its business over the longer term with no significant impact upon its employees. As previously announced, any deleveraging transaction would, however, result in very significant dilution of existing equity interests in Cineworld.!"



Cineworld's evaluation of these strategic options remains ongoing. A further announcement will be made if and when appropriate.

FGS Global:

James Leviton

James Thompson

Ed Treadwell

+44 (0)20 7251 3801

cineworld-lon@fgsglobal.com

From RNS.......POTENTIAL FUNDING IS STILL ON THE CARDS...

"Despite a gradual recovery of demand since re-opening in April 2021, recent admission levels have been below expectations," the company said in a statement, adding that it was still in talks with parties over potential funding, or restructuring of its balance sheet "through a comprehensive deleveraging transaction"

Yes... the mkt cap of Vue in the debt for equity restructuring is £650m......CW is x3 the size of Vue......plus they have the option of selling the european division to reduce debt......ch 11 does not always result in shareholders receiving nothing look at hertz!......

Andy111......where as the company said ch 11 will wipe out shareholders ?

Most of the FT article has been mentioned before and is only supposition....the only interesting fact was the potential sale of the European Division which has a value of what ?

Correct and the remaining amount was put into an escrow account....

True I see a share price of 8-10p post restructuring...then has the company recovers....20-25p.....a good return from 3p a share.....

Its in mookys interest to achieve the best share dilution percentage he can being a large shareholder regarding a debt for equity reorganisation......hence the threat of taking the company into ch 11......imho

Vue gained £75m of liquidity and also had a litigation in germany of £130m written off in the deal.....

At the point of restructuring Vue had £775m of debt and the debt for equity swap eliminated £465m of that debt and with an injection of liquidity to enable it to move back into profitability....

If CW was restructered via a debt for equity swap with a valuation of £2B and mooky was able to secure a 95% dilution for shareholders....could be more could be less....that would leave shareholders with £100m of equity in the restructured company at the low point in the market recovery......about 8-10p a share....

.....has 280 sites worldwide and its debt was reorganised with a debt for equity swap and liquidity was injected into the business to get it through the quiet Q3 period and is valued at £650m

.......CW has 761 sites worldwide which gives it a comparable rough valuation for a debt for equity swap of about £2 Billion....these valuations are at the bottom of the current market which is expected to recover next year increasing these valuations considerably as they recover .......

Look at the volume....less than 800,000 shares traded...less than $25k in value....some sell off...lol

AJ...agree with your analysis in at 3p today......well worth a punt at these levels....