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I wasn't aware of it either Stupmy. Took me unexpectedly by suprise. Sort of crept up on us through the back door! Is it a debt reduction exercise? I didn't expect a quick Tui recovery of the sp but the recovery is definately going to be dragged out. What's everbodys take on it as the rns states this process will extend up to 2029?
Agree Badger, fairly obvious the drop is a reaction to the de listing. Finished just about on the low so probably another drop tomorrow. Also agree that TUI looks good for the future if the negative variables subside but will be no better regardless of where they are listed. All only my opinion of course.
Mike ---- My reasoning for my negativity towards delisting is this. We all know Tui is in recovery since covid. This has been exacerbated by world events , wars , economic climate , fear of recession , interest rates , debt , inflation , fear of wars escalating , fear of further pandemics. All these are adding to fears of investing in travel stocks such as Tui because Tui in particular can be so affected by any of these because of their large range of portfolio. Faith in Tui stock hasn't returned since covid and it will take time to do so. We need a prolonged and consistent period of trade uptake , we need interest rates to go down , inflation to reduce consistently , we need wars to diminish and many other negatives to diminish. This will apply no matter where Tui is listed. Any manipulation of the sp can happen in London or Frankfurt. As Tui recovers and there capitalisation increases it would only have been a matter of time before they were back in the ftse 100. So where is the advantages of de listing from Lse? If any large investors had faith in investing in Tui , they could do this on the Lse and could do it now!
Anticipated trading on Lse up to 21st a June, cancellation on 24thth June. I admire your enthusiasm for the de listing Mike but I just can't share that view. I honestly cant see any advantage for us. Nice if you were right though.
Hi Mike --- not fretting , I am just waiting for the vote with the inevitable result but asked the question about tax as no one will be guiding us through this. We will need to investigate this ourselves and find out any tax implications and I was just asking if anyone knew anything regards this who could enlighten me.
Just a bit of trivia regarding Hays Travel. Was watching Coronation Street last week ( obviously only watching as my wife had it on --- lol) when what did we notice had arrived on the street? None other than a Hays Travel shop! I have seen companies advertising products in Devs corner shop before on Coronation Street for which they pay a fee but never a complete shop! Well done Hays , a stroke of genius on one of the most popular tv shows reaching millions of viewers. Now why didnt Tui think of that and get one of their shops on the street first. Maybe they will open one on Albert Square in the not too distant future , lol.
I am no expert in shares delisting in the UK and being listed solely abroad but could we be missing something which will badly negatively impact us UK investors when we are delisted from Lse? We have now had a big consistent drop over the last couple of weeks. I know the unstable world is a reason but is there something else? Any experts out there?
I have to agree with you Marcinkus. The sp on the Lse and Frankfurt has always roughly tracked each other. Wouldn't make sense if it didn't. As you , I don't think delisting from Lse will make any significant uplift to the sp. Why would it? Why would IIs be more prone to investing in Frankfurt not Lse. They could do that now if they wanted. The sp will go up significantly only when negative world events begin to ease , trade is consistently good and debt is decreased further. I see delisting from Lse as a bit of a pain for us UK investers as regards trading and nothing major but certainly not advantageous.
Exactly that Mike. Let's see what happens in the vote and if we are to be delisted then we will invariably be informed of how to proceed with our Tui shares. From my own investigations there is no need to panic and basically the only effect to us will be in the level of fees we will have to pay on transactions. I am with Halifax Share Dealing and from what I can gather they do trade on Frankfurt.
Problem being at the moment is that some investors won't differentiate between various series of 737 MAX. They will just see 737 MAX. This will invariably cause some negative reaction in the sp on Monday. I'm not bashing Tui as I am a good sized invester but let's be realistic , we all know it dosnt take much to subdue the sp.
I would suggest from Tuis rhetoric that the de listing is cut and dried already. Not an expert in de listing but really don't comprehend why it is beneficial when the Frankfurt sp basically tracks the Lse sp? Can anyone convince me please that there are definate real term benefits?
Totally agree SK. Just need consistently good results to turn that blind corner and I'm sure that will do the trick and get that sp going. Don't get me wrong , I never thought it would be a quick journey back but the future looks promisingly good , just a matter of time. HAPPY CHRISTMAS AND A PROSPEROUS AND HEALTHY NEW YEAR TO ALL OF YOU.
SK --- I accept what you say but something is holding the sp back and I believe ( only my opinion after considering all possible reasons ) that it is a fear of uncertainty of future risks highlighted by the pandemic and the various covid variants that keep popping up, which could in theory develop into something much bigger. Big investors hate uncertainty and when combined with debt ( even though that debt is now the past norm for Tui ) that is a big drawback. Debt is now much more relevant to investors in travel stock than it was before the pandemic. As said this is only my personal opinion as to why the sp is subdued and erratic. I can't see any other logical reasons why the sp hasn't taken off after those good results.