Member Info for micasan

I've said this a few times. FTSE 250 is 101-350 biggest firms so THG only needs to be somewhere around 350

FTSE 250 is UK firms 101-350 by market cap, not top 250

D&A has been an average of 700 million or so since 2020

what more do you want lmao

I'm fairly sure there are huge deppreciation and amortisation costs that relate to ingenuity

They've all been deleted. Look at the volume on some of them. It is negative

probably correcting an error

It was my understanding that some of the tax benefits from past losses are being kept with remain co?

Regardless, nothing being done here is criminal, more just the consequences of poor management from the board in the past, ie making 1 billion in cash disappear over the years. Debt being all kept with remain co definitely hurts it, but not any alternative other than the demerger not going ahead. Imagine you were the bank, and moulding came you saying he was going to move £600m of debt maturing in the next few years into a business that won't be cashflow neutral for another 3 years. Remain Co will have c. £200m net debt, while not ideal, isn't the end of the world moving forward.

I'm optimistic about nutrition in the next couple of years in terms of growth. I know everyone likes to complain about the rebrand and how it has affected revenue, etc., but that is normal in terms of rebrands, so honestly, it is a valid excuse. Whether or not you think the rebrand was wise is another discussion, but it seems to be being received positively.

If the rebrand turns out to be beneficial in anyway free cash flow will most likely exceed 100m as the board has said 2023 and 2024 projected cash flow between 70-100m with beauty underperforming last year and this year nutrition being a drag.

the low stock price just now reflects a lot of uncertainty but I'm willing to bet nutrition and beauty will be performing very well in the next couple of years and 47p is a bargain

I'm excited to see how profitable Remain Co will be after the demerger. The huge accounting losses posted since 2020 come mostly from massive depreciation and amortisation, most of which will be from investment in ingenuity's assets. When those assets are taken off the Remain Co balance sheets, D&A will drop significantly, and the market will be given more clarity on profit of Remain co

He received shares as part of his compensation and sold some

Happy with the results, will be adding to my position over the next few months if the price stays suppressed

Just seen two new huge adverts on billboards outside a uni campus for ASOS. Not a bad place to advertise. Fingerd crossed it's a good omen

@LD1973 they are financing it with debt

@Kbyk ingenuity is by far the cheapest right now, if you exclude the cash from the placing it was valued at £25m and Selkirk said they are going after something in the range of £30m- £1 billion. I'm sure kelso aren't kidding themselves that they would be able to get beauty or nutrition away at £30m equity value. I'm speculating that the range they gave was a dig at the pathetic £25m valuation that was given and they would be interested in taking it for up to £1 billion. I'm being biased obviously because that would be the best scenario for me but I don't see them getting their hands on beauty or nutrition.

Moulding clearly wants to be in control with ingenuity however I don't see a scenario where he is able to block a bid that is better than the deal we are currently getting for ingenuity without drawing a lot of attention from regulators

Feel like the article all but confirms they are going after a THG division, most likely ingenuity in my opinion

C.£330m at half year results, after sale of Topshop gives c.£200m. Half year results indicate positive free cashflow for the year. There was also refinancing of it's debt with the issuance of another convertible bond with £250m proceeds as well as partial repurchase of the £500m convertible bond. My guess for the full year net debt will stand between £200-250m with cash position standing at about £600m with cash flow from this year as well as proceeds from the new bond

The information is all there for anyone to see and interpret

There's more than one way to get into heaven as buffet says

The value of ingenuity can't increase above 100m as per the demerger RNS so if they offer 200m for ingen we'd be getting a better deal. Far from impossible

It amazes me how so few people can read between the lines of the demerger terms, such as yourself

How is it a mess? Free cash flow improved year over year in the half year results despite decline in nutrition

Pressed post by accident lol

It's really speculation on when the share price will make sense but here is my take on it

The current share price will stay under 49p until the demerger is finalised. The reason for this is that it was stated that if the share price rises above 49p the value of ingenuity will stay at £100m. So let's say the market cap was currently £1 billion, that means that upon the demerger remain co will be valued at £900m and ingenuity will be £100m so you will need 10 shares to get 1 share of ingenuity where as if the price stays below 49p i think it roughly 7 shares needed for one share of ingenuity. So the reason that the price is suppressed right now is that no one wants to buy above 49p and give away ingenuity for cheaper in these terms.

Once they demerge then this will resolve itself, as to where the price goes is anyone's guess but I think it's more than reasonable, assuming that nutrition isn't showing signs of pretty much dying, that may next year price will be +£1 given the listing as well as everything else. I could happen before then and if by may next year it isn't and nutrition is showing signs of recovery I'll be buying every share I can get my hands on

It's really speculation on when the share price will make sense but here is my take on it

The current share price will stay under 49p until the demerger is finalised. The reason for this is that it was stated that if the share price rises above 49p the value of ingenuity will stay at £100m. So let's say the market cap was currently £1 billion, that means that upon the de