Member Info for leas

Nigella
It is a good thing, the company is trying to restructure debt repayments at a lower interest rate and should be well received. Interest rates on debt is likely to be negative or very low for decades to come and the company is currently paying an average of over 5% on its current loans.
I am no accountant but I can only guess that the debt repayments offset tax liabilities. You have to question why the money from the Asia sales was not used to offset some of the debt but going forward the company will be paying less costs for that debt not forgetting the lower Pension fund payments.
Judging by the large purchases after the bell the last couple of weeks 'the city' must see it as a positive move even though we are currently stuck in the doldrums. Following link may be of some help.

https://www.investopedia.com/terms/d/debt-tender-offer.asp

Nutella
From a recent RNS . 'further details about the resolutions to be considered at the General Meeting, will be sent to shareholders on or around 25 January 2021.
Maybe the current trading range will buy time to fully digest those details and also give shareholders the time to think on whether or not to buy hold or sell before the 11th Feb.
Reading some of the other bb's it is clear that many investors are making too many assumptions on where they see the sp after the vaccine has been rolled out.
TSCO on the face of it looks pretty dull compared to the so called bargains out there. The market is forward thinking and a little too eager in thinking the worst is behind us.

barchid

Many thanks. That is about all the information I could get from the internet. Plant food industry is going to be huge over the next decade and I know TSCO have a range that many vegans prefer. I have an investment in the US (Beyond Meat) that so far as done well for me. If TSCO did produce their own then imo a great asset that will only grow and benefit shareholders.

SpreadTrader
Never suggested that there is no way out, just that people are making too many assumptions.

Rosewall
Good evening, I have a very good friend called Captain Jack who swears he has the keys to a Police Box. ;)

Many investors are making too many assumptions here. We are still in the grip of a pandemic and no one, even the experts can say whether or not we are at the beginning, middle or end.
The best case scenario is the current vaccine will work against the current strain of Covid and any variant will be kept under control with lessons already learnt.
Already we are hearing about the possibility of the current lockdown continuing until Easter which means that in all likelihood it will be throughout summer.
The economy will bumble along and banks will have to be flexible in relation to repayments of loans. If not then the whole lot comes crashing down. Housing market crash will be inevitable if we cannot reduce this R # below 1.
The dividend is capital that the banks will want to hold onto for a rainy day.
All opinion of course....

Any investor or colleague of TSCO know if their Wicked range is manufactured by the company or by a food producer in collaboration?
My research so far suggests it’s ‘in house’ I have an investment with a US company but looking to add a European Producer. The Wicked range is doing very well for TSCO and could be pivotal in bringing back some of the customers lost to Lidl and Aldi.

One thing for sure . The UK tax system will be very different very soon. To some degree I do see it as a return of capital rather than a special dividend. The sale of the Asia businesses was not for profit but to cut losses and contradicts the definition of a dividend.

Anyway no point in losing any sleep. Always sell if it did.

£8m trade today at just above the bud. 2.4206, reported as a sell. Do me a favour, even with liquidity you wouldn’t be able to negotiate that price for that volume:)

ggplyr

Fully agree, fundamentals completely different. Of course that will change again after any share consolidation which I think some investors fail to take into consideration.

chris
I think the SD is a significant factor and imo the current trading range is under control and influence of the institutions. These algo trades prevent the sp falling too much thereby keeping a lid on demand. The algo trades also prevent the price rising above the current level so that institutions can load up on the cheap. Over £20m of shares were bought yesterday and I would be surprised if the same is not occurring today.
I also think SBRY notice of intent to sell its bank to Nationwide is seen as a positive by the market and allow the company to be more focused on its core business.
Not forgetting Argos that is now fully established in its stores with costs savings going forward with high street store closures.
Shore Capital has also been very vocal on pushing forward SBRY to institutions despite director sells last year.

If you have the luxury of time later this afternoon then have a look at the trades reported at 5.30pm. The current tight trading range makes it easier to determine whether or not they are buys or sells.

All my opinion......

And so those little A trades are now replaced by large volume O trades. :)

Putting the confusion of the SD to one side there has been yet again institutional sized trades reported late. Last week they were difficult to determine whether or not they were buys or sells.
Yesterday and today you can with some confidence see that they were purchases. Another broker upgrade to.
All points to a buy in my opinion. Today’s need on debt and some of the cash from the Asian deals going towards the pension fund points to a leaner efficient strategy going forward. It would not surprise me to hear news later on in the year about selling off Tesco Bank.
Obvious that food retailers have gained through this pandemic but the future looks pretty good if you decide to hold.
Clearly I am confident with my investment and perhaps sound too bullish but this trend does point to a positive trend as we approach the GM.

Clueless
Couldn’t have put it better. Private investors focusing on 12 th Feb 2021 rather than 12 Feb 2022.
NAV will be recalculated and EPS

macaumike
So potentially your tax liability will be on the remainder £2500. For example if you are a basic rate earner then it would be approximately £185
You could also split the shares between a family member by bed and breakfasting half but of course with stamp duty and fess it wouldn't be worth it.

Wouldn't advise any investor to buy or sell but don't forget that the company will be sending out further details about the resolutions to be considered at the General Meeting. We should be getting it sometime next week.

macaumike
You could ISA wrap them if your expected div is greater than £1000 which is your allowance. If you decide to keep them then your tax liability depends on your tax bracket. Basic-rate is 7.5%
GS has a buy rating today on TSCO btw but good luck if you decide to sell.

@ redbarron
TSCO took a hit with bringing in Covid screening measures but I’m sure the current lockdown will keep sales robust.
Booker doing very well. Bank not so well.
Also a good saving with the pension costs. Cannot see the yield falling but who knows.
Of course that also depends on your avg. buy price.

I should add that if the nominee goes into admin then their account is frozen and you will be unable to sell and will have to recover your money through the FCA or from the company your asset had been transferred to.

thanglan
I experienced something very similar with SVS securities a couple of years ago. Oddly enough I went from share certificates by post with Jarvis to moving online with SVS.
I wasn’t fully aware of the risks with online trading until SVS went into admin. Your shares are probably held in a nominees account and as a result you have no control over them other than buy or selling them.
It took me 18mths to get my capital back and had the foresight to evidence all my transactions and holdings.
Not suggesting that ii are in the same position but all private investors should be aware that with the ease of which transactions can be executed there are risks.
I am not a trader so I have reverted back to paper certificates. Maybe an old fashioned method but old fashioned ways usually comes with experience.

Maybe the following article may help some shareholders. I think if you are investing on the hope that you can pocket the dividend and sell your shares at the same value then you have to be aware that will not happen. I would suggest hoping for a rise before the 11th Feb and sell into any rise is the best way to return a profit. Not forgetting that it has to rise.
The large trades reported at the close of recent trading suggests institutional money is moving around which is being supported by all the algo trades we see.
Land Securities sold 20 Fenchurch Street in 2017 and presented it's shareholders with the same scenario. The following link together with ggplyr should give a good insight into the SD and consolidation.

https://money.stackexchange.com/questions/85398/as-a-shareholder-what-are-the-pros-and-cons-of-a-share-consolidation-and-return

I am all for getting a fair pay for a fair days work. Rather being critical of the company you should also look at the positives.
My understanding is that employees got a bonus this Christmas not to mention any staff discounts at the till. It also recognises employees strength and the opportunity to progress their way into managerial roles.
Retail has had enough ‘bashing’ in the last few years, TSCO has given many people young and old a secure future.
I know many people that would be grateful to work even though it may be at the minimum wage rate.