Member Info for mole_man99

2014 RNS. 7 years and still waiting for the plan.

I can’t see vantage going helping with future profitability. They’ll have to pay to use the network they used to own.

The 3 merge will leave VOD with a smaller share of UK market. So less profit there.

Management are trying to distract investors with the promise of less debt. The best way would be to pay it down with the supposed FCF, unless of course it isn’t really free to use.

70% crash in London property required for this SP. Hmmm

My point is, it's very easy to absorb the UK is finished rhetoric. We are not the only place having difficulties.

One thing us brits are great at is bashing ourselves. It's good to be humble, but have some comfort that the grass is no greener over there, wherever there is.

We are also great at queing and waiting. Skills required in this market.

IMF forecasting Germany to decline 0.3% and UK to increase 0.3% next year.

I thought we were supposed to be better off if attached to Europe?

It's bl0dy difficult everwhere.

Don't worry, they're planning to foist it onto an unsuspecting Hutchinson. Genius.

42

More details will emerge, but it involves debt somehow rather than cash, and VOD just has a way of attracting the stuff.
Guardian explanation is about the most thorough I can find
'The companies said there would be no cash component involved in the deal – Vodafone has twice the customer base of Three – with the relative ownership structure set to be achieved through a “differential leverage contribution” involving debt. Vodafone has about 18 million mobile subscribers compared with Three’s 9.3 million.'

Gearing up to sell Spain
https://www.reuters.com/business/media-telecom/vodafone-hires-evercore-sell-stake-spains-fixed-network-cinco-dias-2022-10-04/

It's an extract from the RNS. To get 51% of the joint venture without paying out cash, they take on ownership of more of the debt than Hutchinson.
It's complex merger stuff I grant you.

>>The relative ownership would be achieved through a differential leverage contribution at closing, and no cash consideration will be paid.

In other words, VOD get 51% by taking on more of the debt.

The contest is hotting up...Lovin it

A brave call, not because VOD can’t achieve that level in the right market but because there is a terrible feel in the air that the macro is going to drag on, with more stress to come and time needed to sort it.

The FED have called an emergency meeting for Monday. It goes on.

Porsche is probably busy following the price of Porsche stock which went public yesterday.

It’s fascinating. In a blinding slight of hand the Porsche family which owns 52% of VW and therefore 52% of Porsche before the IPO now own something like 68% of Porsche, buying a chunk of shares paid for by paying themselves a special div from VW from the sale of Porsche.

Financial genius must be in the name.

Any Brexit debate becomes charged, but if I may offer some first hand and you do with the info as you wish. In my varied work life I manage a German branch for a client. They are in just as much difficulty as any UK company, if not more so.

I deal with China. It's diffcult there

I deal with USA. It's difficult there

It's hard everywhere, but I enjoy the responsibility of making my own decisions, so I like the UK being independent.

Sterling ramping up today as the world secretly admires our plan. Reduce tax burden and get people back to work, and reduce benefits for those who won't try.

God save the King

Dan I do enjoy stock market history, but the Tulipmania was not a ponzi, it is an example of an asset bubble, and possibly the first.

A ponzi is when you take money from new investors to pay out to existing investors, bit like VOD borrowing to pay a div........

$1bn bond was payable yesterday. In this climate would be good to have an RNS to say what happened with it.

Sterling decline has nothing to do with Brexit. All global currencies are collapsing against the dollar. The euro was doing worse than gbp until end of last week when the gbp had an accelerated fall entirely linked to tax reduction policy. We stand alone as a nation looking to tackle the economic pain of inflation by stimulating growth. Are we right? We’ll find out soon.

Tax cuts at least don’t require money printing.

Meanwhile in Europe they’ll need to deal with the economic fallout of far right Italians, still debt burdened Greeks and a dumb energy policy. I’d rather be out than in.

Go team UK

Pretty much my thought Oldham, but even though we are near peak fear, we may still have to deal with a global capitualtion dump of assets before we can go up. The FED seem hell bent on destroying their economy, and for us it means months of uber strong dollar and imported inflation. We may have to go for some eye watering rate rises to defend the currency, or you end up with Turkey style collapse and 80% inflation.

Good to be aware of it so you don't over-react with the herd when it happens. The last thing to do is sell at the bottom of a capitulation dump..

Be nice if you are right Rob, but I fear a long cold winter for all assets. VOD’s earnings may stay stable and it keeps paying a div, but if you are big money that moves prices, why park it in risky equity for a div when you can get 4.5% on a US treasury (and rising), with the added assumed bonus now of having you funds in dollars and being short the pound.

Big old mess to sort out yet so Feb23 will be too soon.

Still not selling my companies and just add to the best as they probably decline. I wouldn’t want to be trying to retire on equity gains in the next couple of years though.