Amedeo Air Four Plus Share Discussion Threads

[eeza] 03/7/2023 18:09

The offer is 48.50p - not 60p.

[mattjos] 03/7/2023 17:39

me too. Amazing you can still buy these under 60p with the yield offered (1.75p*4)/60p)=11.66%

(We were recenty offered 4.34% on HSBC MM for £250k over 30 days)

[bdbd11] 03/7/2023 17:17

Picked up a few more today in anticipation of the dividend declaration, which has now been declared at 1.75 as expected. Looking good here.

[gary1966] 22/6/2023 08:05

mikealig,

They’ve only just increased it to that level, of course the directors feel it is sustainable as they are a conservative bunch. The aim is to get it back to 8p.

[mikealig] 21/6/2023 11:31

Should get the next dividend announcement in the next couple of weeks. If current level is seen as sustainable, it should give the price a boost.

[andyandyoj] 21/6/2023 11:23

And still >14% yield on buy price.

[lord gnome] 21/6/2023 10:54

Continuing to tick higher on minimal trade in a dull market. No sellers about then and prospects for a profitable sale of old A380s looking brighter. This could yet have a long way to run.

[andyandyoj] 20/6/2023 09:24

I was too quick in posting it and didn’t check (again)

[andyandyoj] 20/6/2023 09:21

I was too quick in posting it and didn’t check (again)

[gary1966] 20/6/2023 09:10

Andy if you replace the two xx in hxxps with TT it will become a clickable

[andyandyoj] 20/6/2023 08:58

hxxps://www.flightradar24.com/blog/airbus-a380-post-covid/

[rimau1] 20/6/2023 07:56

Great article thanks Andy. I have been following the Paris Air Show too. Its very clear that there is a global aircraft shortage for the next 5 years exactly at a time when airlines are trying to meet post pandemic flying demand. It feels like AA4 are now in a sweet spot especially with the A380’s at Emirates. Not at all relevant for AA4 but an interesting fact coming out of the trade show - only 1% of the Indian population has ever flown. Its going to be the next China from an aviation perspective.

[andyandyoj] 16/6/2023 14:55

Oops - sorry for the duff url. Thanks for correcting.

[gary1966] 16/6/2023 14:09

Clickable link:



Thanks for bringing it to our attention.

[andyandyoj] 16/6/2023 12:25

hxxps://simpleflying.com/emirates-a380-fleet-worth-10-times-more-any-other/

[cousinit] 12/6/2023 10:38

@nicholasblake

Agreed. And hopefully some excess over that.

[nicholasblake] 12/6/2023 10:01

@CousinIT The residual value of the planes will broadly cover the junior debt bullets.

[cousinit] 12/6/2023 09:56

Debt not quite that straightforward.

The DNA funds are designed that the final contracted lease payment ensures all debt cleared.

AA4 for each of the Emirates aircraft structured it so that all senior debt is repaid but around $30m junior debt remains at lease end.

The Thai A350s have been complicated by the pandemic/lease restructuring.

[kenmitch] 12/6/2023 09:51

meanreverter

It’s that doubt about the final value of their planes that’s a key reason for the 60% discount.

The dividend has twice been increased, from 1.25p quarterly to 1.5p last October and then from 1.5p to 1.75p in April this year.

That compulsory buying back of a chunk of our holdings at 64p was good for holders, whatever price they paid originally as we could take that cash and reinvest it in the 40s to reduce the book cost.

I bought in the mid 30s so it’s all good so far……230;…but obviously AA4 counts as higher risk, but with the bonus of getting so much back in dividends. 7p a year dividend and 46p share price, so dividend yield about 15% and about 20% for others who’ve held for a while! And much higher still for any brave enough to have bought near the share price low.

[someuwin] 12/6/2023 09:38

July will see the next quarterly dividend pay-out. Should be at least 1.75p (which equates to 7p per year or 14.7%)

[nicholasblake] 12/6/2023 09:03

The debt repayments are cash flow matched against the USD rentals. The two can be treated as netting to zero.

[meanreverter] 12/6/2023 08:19

I'm looking at AA4 as a possible investment. However, my greed for the yield is presently overcome by fear of the gearing. Trying to estimate the gearing is itself problematic: how do you assess the value of an ageing airliner? The latest published NAV per share is 117.23p. That looks good. But why, then, was the compulsory buyback done at 64.5p? Even if we are happy with the published NAV number, the debt level of about three times that amount is scary.

Can anyone here assuage my qualms?