|Dawnay, Day Treveria
||EPS - Basic
||Market Cap (m)
Dawnay, Day Treveria Share Discussion Threads
Showing 626 to 650 of 650 messages
|Look for TRV and add it to your favourites, I've created a thread.|
|14 January 2009
Treveria plc (formerly Dawnay, Day Treveria PLC) (the "Company")
CHANGE OF NAME AND WEBSITE ADDRESS
Further to the announcement on 12 January 2009, the board of the Company is
pleased to announce that the registration process at the Isle of Man Financial
Supervision Commission has been completed, the change of name certificate has
been issued and the Company's name is now Treveria plc.
The Company's name change will take effect on the London Stock Exchange at 8.00
a.m. on 15 January 2009, at which point the Company's ticker symbol will change
In addition, the Company's website at which information required by rule 26 of
the AIM Rules is available has been changed to www.treveria.com.|
|So 13p possible in a winding up. I hope the banks let them continue to run the portfolios (for a fee).|
|Some chunky volume in DTR today. I imagine hedgies are squaring up ahead of a winding up of the company. Only one of the spv will be safe from breaking covenants and the intention was to stop funding them any more. That should mean cash held at parent level is returned to shareholders pretty soon. Can't remember the numbers I calculated a while back but should see a fair bit of upside even from here.|
|Is this the breakout?|
|EGM approved, nice uplift.|
|Nice uptrend developing.|
|Strong finish here.|
|I see that; I'm biding my time....|
|buy both :-)
just did a post to ucp board.|
|A good rise today, which is best - this or UCP?|
wasn't the parent level cash around the Eur150m mark until recently? I guess they have paid down some debts with it, but if this remains constant then it should provide some comfort at these prices.|
|Parent level cash is indeed untouchable by the banks but in today's market I am not sure trading near cash is a divine right. There has been some healthy buying in the market. I wouldn't be surprised if some of the activist shareholders get DTR to hand back cash in the short term. Ive had to move up my bid to just over 5c in order to try and get a fill. I imagine I am up against some of the activist shareholders who are looking to bolster their holdings ahead of a potential move.|
so the parent level cash is untouchable by the banks? If that is true, then we should be trading at double the current share price IMHO.
|I sought clarity yesterday on where the costs are charged and I was told that operating costs were taken at each individual SPV level. That way if they go into cash trap the operating expenses (i.e. 3% of rent) can be covered. I was told at parent level the balance sheet is pretty simple. Interest on cash balances probably covers running costs or thereabouts at parent company level. Give the company a call if you want further clarification. Very happy to chat to things through.|
|Nick, useful analysis, but there is the question of paying the parent fees as well - 3% of the E155m rent, for example, plus other central costs - or are you saying that all the fees are stripped at SPV level so the cash pool in the parent can only go one way? that would be a beautiful situation but it is not my understanding of how these funds are usually organised.|
|Following my conversation yesterday there will be no more money put into the SPV's. The operating costs are borne from within the SPV's so winding the lot up won't necessarily cost DTR. They explained that they would try and persuade the banks to let them run the assets for them despite the LTV breaches. It would be a huge hassle under German legislation to take control themselves and they are unlikely to be able to run the operating side any more efficiently that DTR currently do. Hence DTR will likely carry on management activities. The 75m euros excludes over 10m of unencumbered properties and around 5m or so a quarter which will flow in until all the SPV's go into cash trap. When that will be will depend on when lenders ask for next set of valuations. They are also looking to take out 10m from one of their facilities which has modest gearing and won't break its covenants. All in they will have around 100m or so at parent company level. That equates to around 16.6c a share. Left a little room for margin and hence my 13-15c estimate as a potential return.|
This is an interesting situation. Let's assume the SPVs are all worth nothing/in neg equity or whatever. This is prefectly reasonable - at 80% gearing and the fact that all valuations are miles higher than where properties could be sold (there are no buyers). The correct strategy for the company is to walk away from them without a further single Euro of cash put into them. thanks, banks, and good luck.
Then left with E75m cash and a few odds and sods, less termination payments and the costs of running the company internally until major shareholders force out management/windup for the 13-15c. I doubt that figure is achievable, but something like 10c might be after the costs of getting out of this.
Think about it: what DONT the bank want DTR to do? Walk away from the SPVs and hand in the keys. If that happens, the banks blow up their balance sheets and take the writedowns on the properties. the Company (in this hostile environment) should so exactly what the banks dont want them to do.
Weiss Capital & Montpelier, as many on here will know, are exactly the type of investor who will support this. Weiss last slug of shares was bought at 3.2 cents - anything in the 13c range on liquidation is a superb trade.
My guess this takes 6m to cease to exist, and the banks will own E2.2bn (book value) of the property on the SPV books in place of the loan.
If this was a sensible line of argument then I think 5c is cheap. but if they try and play it out, sell properties over time etc, then ultimately the E75m will be bled down by management fees and zero is the right price for this.|
thanks nickcduk. I noticed that they said 3 of the 5 silos were likely to breach.
How accommodating will the banks be, that's my question. Does the cuts in the Euro interest rates/Libor help us?
I think the upside here could be huge but it has it's risks. It's not in the banks interests to call in these debts.|
|When I say winding it up I mean if they just walked away from their investments in the SPV's. 4 out of the 5 are likely to breach or have already breached LTV covenants. At that point the banks can call in their loans. Very little chance of DTR being able to sell their portfolios at around current market value and hence no return is likely from the SPV in the event of the company being wound up. Think of the 13-15c as the worst case scenario. That makes the current share price very attractive and hence why I am looking to load up on them.|
did I get this right - winding the company up would result in only 13-15cents cash? The NAV in June was 90c + 10cents hedging = 100c.
Surely a third of this would be more appropriate for winding up? I don't think that would be in the best interests of anyone presently. It looks like the big shareholders were already consulted and they didn't want a cash injection.
Thanks for your post BTW.|
|Had a chat with the company earlier today. The view from the top is quite clear. No more cash from the parent company will be invested into the SPV's to shore up the LTV covenants. They have approx. 75m cash, about 10m unencumbered properties, about 10m or so they are looking to draw from the JP Morgan SPV and about 5m from those SPV's which are not in cash trap yet. They hope to persuade banks to let them continue running the SPV's and waive covenants. If they do they then could possibly end up with most of the portfolio in tact and an outside chance the company will recover back towards NAV. Thats the best case scenario but at the same time pretty unlikely. On the flipside they have cash and assets. That equates to substantially more current price. Activist shareholders may push them to wind the company up and return cash. A figure of around 13-15c wouldn't be an unreasonable guess. Am looking to buy an aggressive position if we spike lower. Company considering share buybacks again as well.|