Member Info for shamI89

Read the RNS again ,they are transferring assets into an entity approved by lenders and in between lines they clearly said there is no equity value left for existing shareholders.

Pre-pack administration and no equity value for existing shareholders.Good luck folks

has to pay off bond holders 500 million immediately , plus he has to inject further cash into buinsness.Cant see him spending 700 million on a failing buisness and in the event of administration it is easy for him to buy it out of administration debt free and he can negotiate with landlords on his terms.

Equity could be worthless under different scenarios put forward by company and those waiting for MA to make a bid, think it is too late.Mike Ashley has to fork out 500 millions to pay lenders and he had avoided answering that question.Very brave of you though as company could announce debt to equity any time

Is sending not clear messages either,on on hand he has laid out some pre-conditions on the second hand there is no gaurantee that an offer would be made even if pre-conditions are met. Flybe was in same situation and some shareholders intended to sue the BOD.Think MA and shareholders are trying to build a case against BOD that a in the case of wipeout they can accuse bod of being incompetent as there were other options available and BOD did not try to have them.It is a win win situation for MA in pre-pack administration he can at best pick up Debenhams at a good price without any debt and can go from there.At worst he would lose his 30% investment house of Fraser has lost main rival.

Sorry I was meant to say potential offer .

BOD can afford to refuse this offer as they are there to protect shareholder’s interests.Now regardless of what they say , shareholders would have a strong case to sue them as nobody wants company to go into administration.

There is clear hint there that a debt for equity swap or pre-pack administration being considered.Here is the question we would have MA whose propodal if accepted would have some value preserved for.existing shareholders or we have BOD and Lenders who have come up with a solution that is likely to wipe out shareholder's value.

Whatever MA is, he is not stupid.He tried to inject 100 millions into company and get a profitable buisness.If company was to turn around 100 millions would be more than enough for them to do so.If they survive and improve MA would have a chance to benefit from it by getting his money back because he has 29% stake.He can wait another year and company would have to fork out even big money next year and is almost certain to default.

Such a deal has to be approved by bond holders as well ,as if it only need shareholder’s approval Mike Ashley would have gathered around enough support from shareholders. Debenhams was trading on paper thin margins and products they are selling are either outdated or too expensive.One way to drive the costs down was to increase online selling and that has failed to generate any significant revenue increase ,second step was to boost cash through selling previous stuff via promotions and that did not work either, third step was to close down loss making stores and just concentrate on profitable stores , that has yet to work.They have pumped significant money into existing operations and it is not working.

Don’t think MA would have to make a bid as company would go into administration anyway and it would be cheaper for him to buy it out of administration. He is interested in it because his 150 millions are at stake and might be able to turn it into a profitable company by creating synergies.

Not really, they have to pay back some serious money next year and they are not generating any cash at the present. They have pumped serious money into business in last three years and nothing is working. Press has a right to be negative about company.

Bond holders and lenders own the company put it this way if a company was to default today it’s assets would be sold and bond holders and lenders would be first in line to get the money then pension liabilities and shareholders would be last in line to get any money.

Debt for equity swap coming and no more equity left for shareholders. At the present MA would ensure that some value for shareholders is preserved. BOD is trying to save their jobs

I understand that BOD supports bondholders and any of such agreement would likely wipe out previous shareholders.Mike Ashley has offered to buy Danish buisness for 100 millions or more if BOD can provide evidence that it is worth more than that.But MA wants to oust BOD and to save their own jobs BOD would agree to refiance company through bondholders.

He is Ruthless but in this situation has his previous 150 millions at stake and if he do get to control deb would have chance to get his money back through synergies with his other companies.I think bondholders would have to approve this scheme of things .

You are aware that some options would lead to no equity value left for shareholders?

Aware of the fact that BOD is looking to wipe out existing shareholders through debt to equity swap and that is why decided to step in.He has offered 150 million loan and has also offered to buy Danish buisness for 100 million.After whatever has happened to flybe shareholders I dont trust any BOD anymore but MA shouod be supported by other equity holders.

when it has 16 million cash and is profitable?

Trial results from japan are expected in early quarter 1 of 2019 and yoda study which comprised of 55 people is to yield results anytime now .First part of yoda study was carried out to show that results produce intended bioactivity which it did and second part would establish a link between Steroid use and drugs reaction.If second part verifies hypothesis then company would have to conduct phase three trial in my opinion.