My projections...27 Aug 2019 18:22
When you check out the major Shareholders you get a chart like this:
Fosun 277,475,038 shares (18.06%)
Neset Kockar 123,089,634 (8.02%)
Jupiter Asset Mimt 77,452,059 (5.04%)
Invesco 60,564,313 (3.94%)
Standard Life Ltd 59,925,122 (3.90%)
Lilia Rodionova 53,199,030 (3.46%)?
With 1,536,000,000 shares issued
A significant dilution of the share price, as proposed by Fosun would mean, that both NK and LR - who invested millions - could be caught on the wrong foot. When Kockar bought at the end of July, the shares were priced at 5.5 GBX (so lets assume his invest was around 6.7m GBP).
When Rodionova bought, the SP was at around 12.3 GBX (so lets assume her invest was around 6.5m GBP).
Even BOD members bought shares with SPs between 28 GBX and 46 GBX at the end of last year.
And they are still holding on to them.
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What I’m trying to illustrate is, that there is a lot of fear in the SP right now.
People assume that the SP will be diluted and worthless…
However I cannot really see that IMHO.
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I do not think, that we will see Fosun going ahead with their proposed plans of recapitalization of TCG. Rather than that I can see TCG securing financial back up for the following winter period, selling off the airline (that Fosun cannot hold anyways) and going on a rough journey of restructuring.
They have already started restructuring, such as with their digital marketing team Airlines.
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?This would mean that we will see share pries around 20 GBX in the next few weeks and could mean that we would move closer towards the 30 GBX by the end of the year.
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