French Connection Share Discussion Threads

[multiplural] 20/9/2016 13:36

Keevo. Actually I don't think it is wishful thinking. Gatemore have suggestions that could turn the co. in the right direction. It obviously demands that Marks will be cooperative, and that might be wishful thinking. A good pro from the trade could turn this company into a 100M market cap in no time imo.

[harebridge] 20/9/2016 13:08

Another horrific statement from the high street. Looks like this will join the other dinosaurs of the high street in the retail graveyard.

[keevo] 20/9/2016 11:39

multiplural, that is wishful thinking. the brand is done and they are burning cash. best is to hope for a buy out at some premium which wont be much more than 40p. better buys out there.

[essentialinvestor] 20/9/2016 10:13

Not sure I see much positive in that statement, cash burn, ugly IMV.

[multiplural] 20/9/2016 09:19

I like reading Gatemore's letter copied in the article in the Guardian. Especially this:
Deep Value. At last week’s closing price of 34.5p, French Connection shares trade at a current EV/Sales
of 0.1 and a Price/Book of 0.6 (source: Bloomberg). By comparison, the FTSE 350 General Retailers
Index, which averages only 4.7% operating margins, trades at EV/Sales of 0.8 and Price/Book of 2.1
(source: Bloomberg). If French Connection is able to bring its profit margins towards sector norms for
2017-18, then we believe a 150p share price should be achievable by the end of 2017. In 2014 when
investors believed FC would be above break-even for the year, the Company’s share price rose above
90p. This demonstrates how quickly investors can respond to positive developments.

[zoolook] 20/9/2016 08:48

Revenue reduction in Wholesale and Licencing a shocker. That was meant to be the reliable part of the business underpinning the shops.

[frazboy] 20/9/2016 08:10

Positive-ish statement but net cash halved

[srpactive] 19/9/2016 15:48

Results in the morning, all good fun.

dyor

regards

active

[multiplural] 18/9/2016 22:15

As I mentioned before. Marks "only" have 41 %, a majority could, and should, be amassed against him.

[smicker] 18/9/2016 21:43

Starting to get nasty?

[srpactive] 11/9/2016 21:26

Just out of interest, why do you think itv will fall in the
morning?

Thank you in advance.

regards

active

[she-ra] 10/9/2016 18:50

zoolook - you turn up before every set of results to talk it down. You do this like clockwork.

We know why you do this.

[zoolook] 09/9/2016 14:39

The share price has held up rather well compared to other retailers. Presumably that is based on bid rumours. Presumably it is also likely to continue to drift down if nothing materialises.

[tmfmayn] 30/8/2016 09:18

multiplural -- I did look at MUL after you mentioned it before (see 793)

I saw from the archives Roger Saul owned 42% beneficial of MUL prior to an investment by Challice in 2000, where the extra shares issued gave Challice 42% and watered down Saul's holding to 24%. Challice then ousted Saul two years later.

Seemed like Challice's investment was used to clear MUL's debts, which I guess were proving problematic with the firm losing money at that time.

Not sure if Marks will be keen to water down his stake in the same way -- unless FCCN runs out of cash and he becomes desperate.

[chrisgail] 30/8/2016 09:12

Only if the price was right and the figures talked about at the moment will not get most investors to sell. Too many have held for so long they will want a proper return.

[multiplural] 29/8/2016 15:51

It is interesting to notice that the next nine large shareholders, after Marks, actually holds around 42,3% of the company.
Everybody thinks you need Marks to get the majority. I just have to mention once again that everybody thought you needed Roger Saul , and his 41%, to get a majority in Mulberry. History proved that was not the case. I think you could experience a majority against Marks here.

[smicker] 29/8/2016 01:01

Much prefer this report.



Far more realistic takeout price (i wish)

[smicker] 28/8/2016 23:04

obviously want to put a lid on the price they may have to pay i'd assume. Information must have come from the (potential) acquirer.

[multiplural] 28/8/2016 22:21

Isn't it a bit pathetic to talk about " a possible 40M£ bid" when the martket cap is 43 and they still have a nice cash position. What am I missing here?

[smicker] 28/8/2016 17:47

potential acquirer

hxxp://www.theindustrylondon.com/potential-buyer-circles-french-connection/?

[srpactive] 19/8/2016 15:19

50p being paid now, bodes well.

[srpactive] 19/8/2016 13:41

Patience is one of the most needed attributes of all.

We shall see.

dyor

regards

active