Member Info for Slim_Shady

I tend to avoid reading much on here over the weekend as becomes too negative most of the time.

On the RI has anyone got any narrative to back up an RI potentially happening on RR? - IMHO RR has £7.5bn in cash available and ran a profit of £300m at HY’21. In 2020 its full year loss was -£4bn during the absolute worst of the pandemic so how does it bleed enough cash to get anywhere near an RI in the next year.

Of course this is all IMHO

These HFs play with investors emotionally so for example the run from 112 to 120 was surprising to me as there was no positive travel catalyst (e.g US travel corridor) or RR specific news (e.g. ITP Aero). In hindsight when things feel too good to be true then they normally are and should have sold and waited for a correction.

So in my mind the pullback isn’t as bad as it seems as it shouldn’t of gone up so quick and again if it goes down a lot will be an over correction the other way. In reality anything between 105-112 feels a fair trading channel for now due to all the market uncertainty but this can shoot up anytime a positive catalyst comes.

I did just about have time to phone my broker and they said full information is still to come from EZJ start of next week so no help at all.

I did buy back in the end at an equivalent of 60% of my original holding so combined with the rights takes me back to # shares I was holding end of Weds with new rights taken up. Either way now whether it is shares held on Weds or today will not lose out.

Thanks to those who helped out on this matter as would rather hedge on side of guaranteed rights than trying to be clever and missing out. I am still not 100% clear on what will happen on Monday but your last post seems about right Mary

Sums where EZJ are now not even clear on the RI lol. I did sell at 720 so will check in with my broker so can easily buy back in if need be

Can I ask the exact wording in the EZJ prospectus where this is stated different my? - Happy to be corrected but this is what I picked as key bit:

31 New Shares for every 47 Existing Shares
held by and registered in the names of Qualifying Shareholders at 6:00 p.m. (London time) on the Record Date.

Record Date for entitlements under the Rights Issue................
6:00 p.m. on Wednesday 8 September 2021

And just to add the market recognises this as EZJ has dropped from 1050 to 700 (c.34% drop), IAG from 210 to 145 (c.30% drop) and Tui 430 to 290 (c.33% drop) while RR is 130 to 109 (c.16% drop) from the Mar year highs so far.

RR is taking a hit but on nearly half the scale of others.

Throwing out there will be another RI like EZJ really needs more due diligence than just general assumption. Will repost what i posted yesterday:

£7.5bn liquidity provides resilience and strength to ride out the pandemic
• £3.1bn cash and £4.5bn undrawn committed facilities
• No material maturities before 2024
• £2.0bn 2025 UKEF backed bank facility drawn in June2021
• 2021 €750m bond and £300m CCFF repaid from cash

So no material maturities before 2024, making profit already in H1, £7.5bn available liquidity and potential extra cash from ITP means RI is a long way off.

Mary do you think it can realistically get back up to 700 after ex-rights which will be now 580ish by Mon open? - agreed longer term it may push up but not on open esp with current downward pressure on travel.

Yes that is what I did as well

T+2 settlement so any buys on Weds would settle today

This now has to be a no brainer sell today and buy back in on Monday for any existing shareholders or am
I missing something?

Whole travel sector took a nosedive at 10am any particular news in this area?

I think overall downtrend could last a few weeks before pushing up again it bounced of 87 in July and 110 in August so maybe goes to 105 in September which was pre-results price so a good base for a top up.

Discussing how to potentially approach the EZJ rights issue is the biggest topic of the day and plenty of other ppl interested in help for which Mary provided.

What have u achieved today bar insults and with that you can go on the filter. Happy to listen to negative outlook backed up with facts and specifics linked to that company as happens in the main on RR board.

The same negative rhetoric combined with insults is just not worth wasting my time on.

Smithy I think everyone can agree Mary has contributed more to this forum in 1 day than you in however many months.

Lockdowns, vaccine tests, US volatility, travel lists etc. everyone knows the downside score by now so unless you have anything specific on EZJ stop thinking you are some kind of authority on here.

Hi Falky,
Agreed I have a much stronger conviction in RR versus the rest of the travel stocks so lets hope for a bounce to end the week. This current downtrend might encourage more ppl to buy up RR as it is holding up one of the best out of the recovery plays.
Hopefully the constant abuse on this forum stops soon for you as well

Great strength from RR considering travel is way down across the sector.

Mary that makes sense similar happened on much bigger scale post RR rights issue last yr where shorts had to cover their positions and drove a mini squeeze up.

They have to look after existing shareholders and then it is free market once announced. EZJ should be trading at 638 but the ex-rights date is showing as 13th Sep so there is a little window here to make a smart trade. Not sure why ppl are buying it up above 638 today as no positive news in the market more broadly.

Yes it is all hypothetical as markets volatile for next few weeks.

Why do u say u are waiting for confirmation on RI on EZJ investor relations this looked definitive with a timetable unlike SSP who dithered for weeks

https://corporate.easyjet.com/~/media/Files/E/Easyjet/pdf/investors/rights-issue/fully-underwritten-right-issue.pdf