Member Info for Itmustbeluck

The timing of misguided sale by Frasers to shein is interesting. Includes further cooperation.

I see topshop sale in same vain, ASOS continues to sell the brand further cooperation with ABG.

Who says they don’t take a stake in ASOS as well?

As Churchill said.

Now this is not the end. It is not even the beginning of the end. But it is, perhaps, the end of the beginning.

It’s the end game for significant developments.

Nobody has bought any shares yet, wait for the volumes

I'll be interested how you buy 8 million shares, 7% of the total stock quietly unless your time scale is months!

If he does there is a god, as much as Newcastle hated him he’d be great for my team.

Not to mention you can probably buy us for buttons at the moment.

They borrowed 275 million in mY from Bantree at 11%

They can pay most of this off and half the interest payments.

That’s potentially 20+million interest saving.

They are already returning to profitability this is huge.

If it happens that alone would add 20% I reckon on £5 quid in sight.

If the shorts exit in a hurry who knows?

One would logically assume the share price reflects the intrinsic value of the brands and business.

That said I think logic went out the window a long time ago.

The shorts are innate risk takers but they are going to have their minerals tested this week.

If a deal is done that includes £200 million and a deal to continue distributing which seems entirely sensible ASOS’s short to medium term future looks immeasurably better.

You simply can not unwind 7% positions in a hurry and not cause a bubble where so few shares are in private hands.

Be first be smarter or cheat.

Let see what volumes we have.

The interesting point for me is the reason fir the tanking share price and the mistakes that caused it are pretty much understood and measures have and are being taken and already producing results.

Does anyone seriously think retail is going back to traditional bricks and mortar on its own?

No I don’t think so, you need a compelling offer and some make it work.

ASOS is the online daddy and in my opinion well placed to return to a successful model.

Only caveat is the crazy IT multiples will be replaced with something closer to a conventional retailer but that still leaves a big upside.

5-1 on = +5%

evens = Unchanged

2-1 = +2-3%

5-1 = -1-3%

place your bets

That's a different statement.

No it isn't it's Authentic Brands Group.

Where do you get this idea it’s the jewel from?

They didn’t own it 2 years ago.

The prospective buyer is a specialist in brand development.

ASOS isn’t but will almost certainly be a distribution partner.

ASOS get to focus on what they do and leave brands to someone else.

Probably p@@s MA off, maybe Povlsen too, what will they do?

I can only see this development as a huge positive for share shareholders.

It’s not just how much debt.

It’s How expensive is that debt?

Does the current revenue and profitability support servicing that debt?

If they can realise £200 million + it will be transformational.

It will reduce debt, they will be able to negotiate better rates and that will feed in to increased profits.

My money is he’s dead against this.

ASOS was mighty successful long before it acquired topshop.

There’s a strong argument asos wouldn’t be in the position it is if it hadn’t made the purchase.

Right price very positive

They’ve returned to profit including the current debt already.

Yep I mentioned the top shop acquisition price a few posts ago. £280 mil excluding stock I think.

If they got anything like this or more, the expensive debt goes away.

They do a deal to continue selling through the site.

Happy days and a huge upside to the share price.

£300 mil sale would f@@@k the shorts.

Monday morning is going to be interesting to day the least

Agreed, it was the easy option, the detail remains the same shorts closing, albeit slowly

Look at the short tracker on this site, short positions fell .25% between 20-25 October.

Still some way to go. ASOS has returned to profitability against a poor macro picture.

I feel your pain but the results when confirmed + positive forward outlook you’ll make quicker progress back to break even and or beyond than you think.

The shorts are a dam. Once their position is proved incorrect and it bursts, it’s out quick with a loss or locked in to a greater loss.

That’s pessimistic, my own view is the forward guidance is key.

ASOS makes money once you don’t make stupid mistakes around stock levels and run the business for profit instead of customer numbers.

So if the operational improvements become intrenched plus decent forward guidance I think we could see £7 as soon as Q1 next year.

Once the short position holders realise the game is up I’d say double from where we are now is in touching distance.

Who are they going to buy 8 milllion shares from?

1st hours trading = 1,000 shares, daily average is 908,000

Minuscule trading at the moment.