Carillion Share Discussion Threads

[minerve] 15/1/2018 10:21

RCTurner2

"Minerve, the hedge funds saved my over £20k here. I am grateful to them."

That's it. Got to think of oneself only. Dear me.

[rcturner2] 15/1/2018 10:20

Accountancy firm PwC has issued a statement, confirming that the High Court has appointed the Official Receiver as liquidator for Carillion.

Six senior PwC executives will act as ‘special managers’ to assist in the operation.

PwC says staff affected should keep working while the situation unfolds:

The Official Receiver’s priority is to ensure the continuity of public services while securing the best outcome for creditors.

Unless told otherwise, all employees, agents and subcontractors are being asked to continue to work as normal and they will be paid for the work they do during the liquidations.

They also confirm that Carillion’s investors have been wiped out:

Unfortunately, as a result of the liquidation appointments, there is no prospect of any return to shareholders.

[nigelpm] 15/1/2018 10:20

Yes, company demise is principally the responsibility of the directors - any frustration and blame should be put firmly at their door.

[rcturner2] 15/1/2018 10:18

Minerve, the hedge funds saved my over £20k here. I am grateful to them.

[minerve] 15/1/2018 10:14

Wealthy hedge fund owners walk away with another few £100m to buy their next yacht. Innocent employees look forward to increased debt, mortgage arrears, stress, broken relationships etc.. etc..

Rinse, dry, society does FA, repeat....

[nigelpm] 15/1/2018 10:12

hxxps://www.wilsonfield.co.uk/administration-vs-liquidation-whats-difference/

The difference between administration and liquidation and their relevancy to the task at hand is governed by the desired fate of the company. Liquidation is the route to take to wind up and finish the company entirely. If all/some of the business needs rescuing, administration is the mechanism to go for. If the business is large with several sub organisations, it may be a mixture of both.

[minerve] 15/1/2018 10:11

Does anyone here think the hedge funds played a part in this company's downfall?

I have a point of view, I just wonder whether any of you have thought about this?

Afterall, the share may not have been shorted to oblivion making a debt for equity swap at least a small possibility, perhaps?

[rcturner2] 15/1/2018 10:07

Train drivers’ union ASLEF has added its voice to the chorus of calls for a public inquiry.

Mick Whelan, general secretary of ASLEF, says:

"Naturally, we are thinking of all the workers, in the public and private sectors, who have been impacted by the construction company Carillion going into administration today."

If only it was administration.

[chick with 2 dicks] 15/1/2018 10:06

BA guy is offering 0.05p per shs, better than 0p. Furthermore with cross matching you can close you longs with his shorts, pretty straight forward transaction. Get that big loss off your account.


Many shorters do this all the time, even Simon Cawkwell have others to do the same on shares he shorted.

[badger60] 15/1/2018 10:05

You don't need to.... you've already taken one out of your mouth......

[hpcg] 15/1/2018 10:02

Kulvinder this is how it works. You lend me a raffle ticket, for which I pay you a small regular sum. I sell it to someone else. The public draw is held and the raffle ticket doesn't win. I keep the money I already have from selling the ticket. You keep the rental fees I have been paying you. The end.

If you see people offering to buy shares at 0.01 pence to "close their shorts", that is so they can close their contract with a cfd provider and get their cash before the shares are officially declared worthless. In terms of the raffle analogy, all the prices have been won, but every ticket still has to be drawn out of the box.

What happens to each individual depends on the contract they have. With IG spread bets, which is not a true short but a derivative, for both short and long they require the account to cover 100% of the contract margin at the last price. For longs that will be a debt, for shorts that becomes a credit. At some point later they will close the contract. CLLN will be similar to Afren; the situation is so bad that the receiver will report in 6 months or so that there is no value in the shares, and some sort of partial recovery on the various debt types and tranches. At that point the accounts will be swept with longs losing their debit and shorts having their funds released.

[prambigear] 15/1/2018 09:58

In September I retired and being a sensible man cashed all my risky investments and put £10k each in several shares that 'pay good, regular dividends'.

One of which was Carillion. HS2, Hospitals, Schools, Prisons; massive turnover, 40k employees. What could possibly go wrong?.....................

[daveofdevon] 15/1/2018 09:44

When you short a share you borrow it and sell it = cash in the bank. To close the deal you are obliged to buy shares at hopefully a lower price and return them to the lender. I doubt if the lender wants them back now !

[rackers1] 15/1/2018 09:41

no. its valued at zero. may take a few days to register on the account.

[kulvinder] 15/1/2018 09:41

It is just for my better understanding, if someone knows what happens in such a case. I am truely sorry for anyone who has lost money here as I know better anyone how it feels.

[kulvinder] 15/1/2018 09:38

Surely even if you are short on these then you have not made anything as you did not buy back the stock to realise the profit, surely your money is dead as to the one who was long, is that not how it works when a share gets suspended?

[11_percent] 15/1/2018 09:27

tjbird
15 Jan '18 - 09:16 - 11388 of 11389
0 0 0
PTSG Owed money by Carrillion? ;)
================

Yes, it looks like it.

[wallywoo] 15/1/2018 09:27

bulltradept: unfortunately not. If they bailed out, money would all go to the banks and over paid poor management. Administration is much cheaper. The legal entity that held all the poor unprofitable contracts and highly paid employment contracts, and debt ceases to exist. The pain is shared Banks, take a hit, suppliers take a hit, employees take a hit, govt takes a hit.

The contracts can then be renegotiated with a clean slate. It has worked fine in the past with less headache than you would expect (ie Jarvis, Connaught etc)

[bulltradept] 15/1/2018 09:20

"bulltradept: no bail out. The clues were all there. Some large failures in the same sector in the past (Connaught and Jarvis), next time do your homework it was all discussed on here 4 months ago.

The govnt are not there to keep unprofitable poorly managed companies running. That would be a very poor use of public resources."

I am NOT a holder I was just spit balling ole chap, that the work still needs to be completed and as such someone's got to fill the void.

Would it not be cheaper to bail it out?

[tjbird] 15/1/2018 09:16

PTSG Owed money by Carrillion? ;)

[wallywoo] 15/1/2018 09:14

bulltradept: no bail out. The clues were all there. Some large failures in the same sector in the past (Connaught and Jarvis), next time do your homework it was all discussed on here 4 months ago.

The govnt are not there to keep unprofitable poorly managed companies running. That would be a very poor use of public resources.