ARE bonds dropped on Friday on news that ADJ were pressing ahead with the squeeze-out of ARE minority shareholders, so as to facilitate
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Much around Douglas has changed since last year. The highly indebted refinancing last year had come at the height of the market and was predicated on an online-infused IPO story that’s since returned to the Hut it came from. What’s more, inflation is now squeezing consumer wallets, it’s German home market has posted poor numbers and the online division has had to take a step back YoY. But not all is bad. The SOP program has been a success and the affordable luxury market is once again showing signs of holding up better than other retail sectors. We also think it’s key to understand the company’s supply side. So having expanded our model to reflect these new realities, how does the company behave over the next 12 months and what will be thereafter?
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We are wearily familiar with the challenges that Boparan faces in its relationship with its customer base. The recovery of previously incurred inflationary costs in Fiscal Q3 has supported the liquidity position of Boparan. Long term we need to see a pricing system that is: 1. Comprehensive and 2. Timely. The urgency here is only exacerbated by the impact of the war in Ukraine on costs, as price rises flow through to consumers and there will be some volume drag as consumers balance the higher cost of their weekly shop against the absence of cheaper protein sources.
Read More6-month financials released this morning bore the scars of lockdowns in its Greenlit subsidiary. Corporate cash (including some subsidiary receivables) is
Read MoreADJ are beginning the squeeze-out process for ARE. This has been anticipated, but ARE bonds are not liking it this morning. ADJ are pursuing the
Read MoreThe Group CEO in an interview today reiterated that the restructuring remains on track and that expectations of revenues for this year and
Read MoreThe retailer today revealed a new £60m 18-month facility to help preserve liquidity as it returns its super senior CLBLIS and 0.5 lien notes. While the
Read MorePlease find our unchanged analysis here.
The formalisation of Bafin’s investigation is perhaps not the most shocking news. We have been discussing implications for a while and it’s been a feature in our positioning decisions, but it’s worth reasoning through the structure of BAFIN's involvement to make sure we aren’t missing anything major. Meanwhile, Consus are delisting their shares just in time for the 9-month deadline from year-end.
Read MoreWe noted on the Q122 conference call that KME management expects to announce in Q3 how it is going to refinance the outstanding €110m SSNs (maturing in February 23). We are
Read MoreVivion has decided that some of its prodigious cash pile might be better to hand back to bondholders. It has announced a market price-based bond buyback program to buy
Read MoreSlowly but surely, the level of transactions in the shopping centre space is starting to return. Various press reports outline potential asset sales at
Read MoreThe Petroleum Commission for Ghana has updated its monthly stats giving investors an insight into Tullow’s monthly production numbers at
Read MoreThe 6th sanction package passed by the EU is causing trouble at the Lithuanian border where Russian Steel is no longer allowed to pass from Kaliningrad to
Read MoreIn conversation last week with clients the issue of the legality of a proposed dividend for the new Tullow/Capricorn entity was discussed. For clarity, if leverage is below 1.5x, which is likely if the merger completes, there are limited
Read MoreIn light of the current state of the market, the methuselahmic sponsor of 10 supportive years, cost pressures all round, disposable income concerns, Takko are again worth sharpening our pencils for. To be sure, Takko have performed admirably throughout the pandemic, even when considering the fresh cash injection last year. But the debt pile it has been carrying so lightly in years gone by is now becoming very very heavy. We have been toying with a recap model and have extended our forecast to take more of an owners’ view of the name.
Read MoreTesco released its Q1 numbers this morning, and the CEO is quoted saying “we are seeing some early indications of changing customer behaviour as a result of the inflationary environment. Customers are facing unprecedented increases in the
Read MoreJLR released their Annual Report last night. The majority of the numbers have been released as part of the quarterly reports and an initial glance at the Annual Report does not highlight any issues. The current
Read MoreAston Martin has a potential issue in its UK supply chain this summer. Workers at seat supplier CabAuto are planning a series of one-day strikes on 28 and 30 June and 4th-8th July over pay. A short
Read MoreA couple of announcements were released from Casino this morning with Casino extending their partnership with Gorillas to include the Frichti platform. More importantly, Casino also announced the simplification of its corporate structure by regrouping all its
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