The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
The end of an era is nigh. Thanks Ashley. You enjoy your yachting!
He was going to increase his stake to 29.9% BEFORE the AGM!! The activist shareholder seeking to take control of Johnston Press, the owner of The Scotsman and i newspapers, plans to increase his stake in the troubled publisher following the departure of chief executive Ashley Highfield last week. Christen Ager-Hanssen, whose investment vehicle Custos is the largest shareholder in Johnston, said he intends to increase his holding of 20% to 29.9% ahead of the Edinburgh company�s annual meeting next month. The figure is just below the 30% threshold at which he would have to launch a takeover for the company through a cash offer to other shareholders. Ager-Hanssen said: �I�m very happy Custos succeeded in influencing the board to remove �Cashley�. He has been a disaster for all stakeholders in Johnston Press. Now that Ashley is no longer in charge we will increase our holding to 29.9%. If the board is unable to come up with solutions to the mess they have put the business in, we will have an alternative plan in place.� Ager-Hanssen had stepped back from trying to launch a takeover of the group, which would have installed former Scotland first minister Alex Salmond as chairman, after an attempted boardroom coup was ruled out on procedural grounds.
Lots of speculation in the Sunday Times. Angers seems to have backed a loser here. The new chief executive of Johnston Press has refused to rule out disposal of key titles The Scotsman and The Yorkshire Post, as the troubled publisher�s debt crisis intensifies. David King, who officially took over as boss of the Edinburgh-based business last week, said he could not be certain the titles wouldn�t be sold in the next 12 months. Johnston, which has a market cap of less than �7m, has reached crisis point in long-running restructuring talks with bondholders over its �220m debt pile, which must be repaid within the next 12 months. When asked whether Johnston would still own The Scotsman and Yorkshire Post a year from now, King told The Sunday Times: �I can�t say 100% certain. It would be mad of me, with so many options to pursue, to speculate on what it [Johnston Press] might look like. But if you ignore who owns the company and you ask is The Scotsman a profitable, valuable title, it�s a tick, so it would carry on trading regardless.� King added: �There comes a point when it [the debt restructuring] is not in our hands potentially, but the job is to keep it in our hands. I can�t give gradations of outcome but I�m doing everything to get an outcome that protects value for all stakeholders.� King�s comments were made to The Sunday Times at Johnston�s annual meeting in Edinburgh last week and were followed by the group�s confirmation it is considering entering a regulated apportionment arrangement (RAA) to transfer its pension scheme to the Pension Protection Fund. Johnston has a pension deficit of �47m on liabilities of �609m. The move would allow Johnston to detach itself from its pension scheme, placing it under the control of the fund, which exists to protect members if a pension fund becomes insolvent. RAAs are rare and usually require a company to be within 12 months of insolvency. Such a move would effectively leave US hedge fund GoldenTree, which owns most of Johnston�s �220m bond debt, in control of the business. King added he was �getting good engagement now� with GoldenTree and that it was being �constructive�, but he declined to comment further. GoldenTree declined to comment. The US hedge fund bought the bonds at a discount and is estimated to have paid about 60p in the pound. It is understood to have spent about �100m to acquire some 75% of the debt. Since then, GoldenTree has earned about �30m in bond interest income. If the entire company is liquidated or its titles sold off by GoldenTree, it is expected to raise a minimum of �150m, giving the hedge fund a total return of about �145m on its initial investment
I suppose the company is worthless what with all the debts it is carrying. If they can re-finance the bonds then there will be value but the SP has been pushed lower and lower. I think its definitely worth a punt as the last time it was financed it hit 42p. Certainly room for a bounce but that wont help most PI's at this price. Good luck to all however, this "share" certainly shows the downside of stock market Gambling becasue that is surely what it is.
The i should be performing well and drive profits. No doubt everything else will be down Y on Y. The Viking got bushwacked regarding the board replacement so he is well under water too. Don't expect much tbh
Now that the price has fallen so much, there is not much option other than to hold.It seems to be all about the debt now. Everyone is under water at 10p and i just cannot see how a rights issue can succeed at this price so its down to re-financing. The i is obviously a success, the viking is a mystery and the figures are expected to be in line. No news for months. So,what are we to do. Sit tight and get shafted again probably.
interesting??? that is the understatement of the year!!!!! this in my opinion provides a major opportunity for jpr shares to rise to a much higer level. its about time there was interest in the media sector. a major buying opportunity. interesting :) times for tomorrows open.