Member Info for KNIGELK

Sorry I was quite rude - but it only seems to be me that you ask the questions! (maybe I should see this as a positive).. also I sure you said you HAD a short position - unless I am confusing you with someone else.
I will look at the link tonight thank you - as I said - look what happen with the CLP bonds - they were due to be converted at a premium but some bondholders agreed to a share discount conversion rate and the NAV rose. Not sure if this option is available and Debenhams will have to repay £100 nominal what ever happens (hence might be a good time to buy the bonds if Debenhams get refinance).. I am just putting on the table options the company could consider like a bond buyback at a premium to current price but a discount to issuing price or perhaps extending the maturity date to (say) 2024? Happy to discuss constructive suggestions ...

Just checked .. the Debenhams 5.25% bonds are trading at 49.17 - a slight recovery from the recent low. So that's a yield of around 11%. The way I read his post the yield was 50%! It's a high yield - no doubt - but I have seen similar..
BTW serious question - why can't the company buy back some of the bonds at this price? (or offer a share conversion like CLP did recently).. let's look at the options available - they can't all be bad ...

Shorter (imo) you are right that the share price could drop 100% to zlitch - but you know what I meant - the company was worth close to £2 billion - now it's £ 50 million - shareholders have already lost a packet - so in reality there is not much left to lose imho (hence why I think its madness for the shorters not to close and take their profits).
Re bonds - please confirm .. 50% of BOOK COST ie. £50 per £100 nominal or 50% interest yield on current price. If its the interest payable then I am buying some :-)
BTW one of my portfolios is corporate bonds, index linked govt. etc. I reckon probably a third trade at less than the nominal price .. some 10% to 20% - that's not as bad as Debenhams but my point is that the company is not unique in having distressed bonds (is it!). If the banks agreed either extended banking terms - new facilities - allowed the disposal programme to start and speed up - then its quite possible the bonds will be repaid next year - and the bonds might actually be better value (and less risk) than the shares. I concede none of this is guaranteed .. nor are the dire warnings given by non holders day in day out for whatever strange reason(s)

That's not the point .. at 3.4p shareholders have already seen vast value destruction (far more than bond holders) so perhaps some have little left to lose - if you catch my drift. At 3p there is not much downside left - indeed the option of a D4E seems remote unless there is a share consolidation at the same time.
Simple question - when bonds become due within a year - what do companies usually do? Answer: issue new bonds dated 3-4 years into the future and use the funds to repay the current bonds - it's called a refinancing and most large companies do it!!!!!

Well good luck attending and telling the BoD about the "fake" RNSs.. (blame the Nomad?)... more like unclear RNSs imho. Do you want to be sued?
The fact is that this share attracts pumpers and dumpers like crazy and I guess you got in on a spike and now are sitting on a loss (join the club).. so maybe your anger is misdirected .. DYOR before investing and never chase a spike is my advice instead of going to the trouble of setting up a LSE account to rant about one single company....

BTW I recall Debenhams having a franchise of international stores (Dubai?) .. not just one in Norway??

What is happening with the share price? News due?
SV - you are correct.. however presuming cost cutting works and there is an eventual recovery in high street spending (not certain) then I see no reason why the UK chain cannot start to make profits again - like a mere two years ago .. and year and year before 2016.
Regarding rent - most companies see rent increase or hold year on year - Debenhams rental issue with a number of stores (granted the majority) is historic and perhaps common AT THAT TIME ... now with the high street in dire straits - large retailers may have some firepower to ask for better terms or at least a hold on current terms - its in everyone interest especially as the same terms would not be accepted by an alternative retailer!
Lets try to look at some positives for a change .. even if thin on the ground..

Thanks - to be fair, Wagamamas, GBK and Frankie and Bennys (and others) have been closing outlets across the country.. in Bristol we have seen a few closures (Olivers etc). Overall people are using online or ordering food at home more so food chains will be suffering too.
I last went to Newport pre Christmas but will be there on Friday (family live near Pontypool) so will have a walk around and look in the Debenhams store. Btw as I said the other day - this thread is quite mild compared to others on LSE and I always try to see both sides of the coin even on a share I hold. It's sad when posters either see no positives OR no negatives. Debenhams is a large brand which is a positive and a negative but perhaps can survive in a smaller model going forward - I hope so..

Thanks - interesting information.. and not negative towards Debenhams! :-)

HappyChappy (not so happy here).. the last time I went to Newport around Christmas I cannot recall many outlets not open in Friars Walk - as well as Debenhams, there is a M & S, Sainsburys, Top Shop and I think Next along with 10-20 cafes and a cinema.. it's ten times better than what was there before! Yes outside Friars Walk it is run down and full of charity shops etc. but let me know what has closed recently please...
SV - stop the lecturing.. since you admit you didn't do YOUR home work before investing it is a bit rich to come across high and mighty now isn't it!!!

Sain@vision - why do you think I am bitter? LOL I am NOT! I have a small investment and know people who work at Debenhams and work in retail so obviously wish this company to succeed and recover. It's a far better way of living than finding reasons why a company should fail or shorting a share imho (not you).
I am just curious why you post more now as a non holder than when you were a shareholder - but I am guilty too. Re WRN I invested and sold then the share was suspended. A year later I noticed it was top of the chat discussions so wanted to know why. I admit I got obsessed with the unique situation over there (and couldn't reinvest due to suspension)... I was amazed by the ramping and wanted to put the counter argument. So on some shares I am bullish and others bearish.
Maybe you are right about learning more about retail property but nothing posted here will change the direction of what happens next - so its your time if you wish to research for hours on end - at 3p either the company will go bust or recover. If no one wishes to invest at 3p then fine - but you probably will not get a lower entry point excluding a consolidation happening gl

Fair point although I said I would stop posting there at the end of 2018 and have kept my word...

Sain@vision, why are you talking about yourself? It's seems that losing money here have really upset you - really put you in a mission to warn others away. Fine..but most normal PIs move on and concentrate on their new investments. Let go. Move on. You will feel better for it because you seem to be going a little mad imho

Happy Chap - no - do not presume that I am nervous about my investment - I am not - I have been in countless shares at rock bottom prices and most (not all) have recovered. NEXT at sub 10p back in the late 1980s ... Helphire at 1p (now Redde) 7-8 years ago to name two. I also have only put a small amount in here because I KNOW THE RISKS - the share price is 3p for a reason(s)! I have not told anyone to buy nor to sell - for most it is probably best to wait on the sidelines - totally understand this point of view. I do question however the seer number of non holders posting - its outrageous imho when so many other retailers are in dire straits too.
Upside - I actually have a day job - if I have the time later to answer your other points I will - to be frank, your points are valid and probably there is not a reasonable counter argument - of course sales have fallen - cost cutting has only off set some of the rising costs. Of course the banks hold power over the company but it is in their interest to come to an agreement that suits all parties (isn't it?). For a start - the company might have 5-10 stores lined up for closure this year - it will save costs - surely the banks will want the company to start their disposal programme sooner rather than later? That's financial common sense!!!

Btw filtering a poster either means you have lost the argument or just want to hear the echo chamber as the same (negative) views which is rather sad.

I didn't ignore the fact, upside. Perhaps you DID THE SAME re it's probably SHORT TERM (see how annoying caps are ...)

upside - be accurate - the banks will not let Debenhams dispose of any assets AT THE MOMENT while in talks about lending terms going forward - who knows - by the Spring this might be resolved and part of the solution will either be a CVA or a disposal programme over a shorter period?
Sains - it's not going over old ground - I will repeat myself one last time to see if you can answer the question. When you buy a share - you have reasons to - the brand name, the high street exposure - the takeover talk - a significant shareholder - oversea assets to sell - recovery potential - future prospects - to name a few. I know you forgot about the rental issue at the time of buying BUT what then were the reasons you invested? Are they the same now? Could some of the reasons reappear if x, y or z happen. For a start - if there is a CVA or an agreement with the banks on the way forward - would this be enough for you to reinvest? If some here have no intention to ever buy in or even to short the share - then what's the flipping point of being here?

You make a valid point - something to consider... just be aware that LSE threads will always have mixed views - issues with long term posters - arguments - actually the Debenhams thread is quite mild compared to a few others! (go on Advfn for real ranting)... when a share price is this low and its future unclear - you will sadly get fixed views - either company is doomed OR will eventually recover (like in previous cycles). Obviously this time the rental issue - the online growth and Brexit are new factors. I would argue that 3p is low enough to factor all the risks in except administration - I also believe 99% of investors here know this !!!! We perhaps the angst with the bear posters is that they are not really saying anything we don't already know? (Sain - still waiting for the reasons you invested and whether they are still there excluding the rental CVA situ)

On Sain@vision, can you list the reasons you invested in the first place? Brand, high street exposure etc? How many of these reasons are still there or could be relevent again in future? Last point, a newspaper stated 90 stores at worse could close leaving 70 stores. So I ask again , will the landlords of the 70 stores be willing to take a haircut when not needed?

sain@vision, its not fanning my own flames. I have a financial position here ffs. Hence why i continue to wonder why so many non holders are obsessed.. well guys?
Btw let's not pretend Debenhams is unique nor that other retailers may not be considering CVAs later this year