Carpetright Share Discussion Threads

[phil hennigan] 05/9/2019 10:00

Should bottom out shortly then just about hang on through its golden quarter before ceasing to exist next summer,when loan due for payment or refinancing which will drag it to new lows, possibly a buy now as long as your out before February, as wouldn't surprise me if it kissed 20p post Xmas like last year.
Safest play though obviously to leave well alone.

[butterflycollector] 03/9/2019 14:59

I offloaded all CR shares, this thread keeps popping up,so I share my tuppenceworth. I know for a fact a senior manager has left taking one of their top sales guys with him, I also know that CR were hours from foreclosure by banks last week, this is why Hedge fund bought the debt, protecting their money, CR assets circa £50-60 million, they get first dibs as preferred debtor. And I liked the muppets, I’d guess I’m one of the ones in the balcony

[clocktower] 02/9/2019 17:27

I agree with you in respect of the retail sector philobeddoe but there are other sectors that are unlikely to be effected in any way. In fact some may benefit - advertisers - media - IT - for example. That said there are always one or two retailer businesses that will outperform the market by a mile, not because the market is growing but because they are smart enough to take a bigger slice of the remaining market.

However, Carpet Right is not one of those as far as I am concerned, in fact I think they could well be on the brink of another disaster.

[philobeddoe] 02/9/2019 16:58

Borakl - i admire your optimism but with all that's going on I don't honestly think there's a hope in hell any UK shares will buck the trend over the coming weeks and months. I'm not sure you can classify Brexit as a black swan event but we're clearly talking a very negative and very volatile period that we're about to enter. And it could go on for months even after we've left. Many shares will be hit hard imo and I honestly don't think any retailers will buck the trend going forward, some sectors might but definitely not retail (in my opinion).

[butterflycollector] 02/9/2019 15:58

Latest I’ve heard is a Top manager and top salesperson with over a decade of service have resigned, forfeiting commissions and bonuses to get out, don’t blame them TBH.

[boraki] 02/9/2019 15:16

I think you are probably right, however, I have a gut instinct this share will buck the trend, very shortly.

Here's hoping

[philobeddoe] 02/9/2019 14:46

The last RNS was positive but with Brexit looming, many people will just be hoping their jobs are safe. Not many will be rushing to get new carpets fitted I don't think. We're entering what will almost certainly be a very rough and very volatile period that could go on for quite some time even after we've left. In short, no amount of positivity is going to lift the share price with the shadow of Brexit looming. And I think that goes for just about any UK company right now. The best place to be, and the safest place to be, is waiting in cash on the sidelines ready to take advantage of the many bargains that are sure to be had over the coming weeks and months.

[aim11] 01/9/2019 12:36

Brexit. Anything touching Brexit has been a disaster, investors are scared by the BBC and other doomsayers. Not long to go before that is behind us hopefully.

[boraki] 01/9/2019 11:05

Yes it is very disappointing.

However, I am certain it will be a lot higher by next Friday.

:-)

[ridgway90] 30/8/2019 22:00

What the hell is going on with this share price ...(angry face)

[boraki] 29/8/2019 10:43

Sounds very wise to me

[philobeddoe] 29/8/2019 10:02

I was tempted to buy here the other day but the overriding concern for me was Brexit. I think a sell off is inevitable as we head into October and if we leave with no deal, as looks likely, we could see shares plummet on Thursday October 31st. My guess is there'll be bargains galore come October 31st and those who make the most money will be the ones on the sidelines waiting in a strong cash position ready to take advantage of the situation. In my opinion, it really doesn't matter what the share price is doing right now and it's barely worth debating the pros and cons of investing in a particular company - because Brexit uncertainties are almost certainly going to override all of that in the coming weeks. The only safe place to be is on the sidelines waiting in cash - it's also the smart place to be because it means you can take advantage of any bargains to be had and reap potentially huge rewards once the markets recover, which of course they will eventually, even if it's no deal.

[boraki] 29/8/2019 08:51

I suspect there will be a trading update next Thursday.

I also think it will be a good one. ( I keep checking the reviews on trustpilot, and they seem to still be a hit with customers,,, I went back to the 1st of February 2019, and everything seems to be as good now as it was then, i.e their last trading update)

Carpetright plc (“the Company”) has today posted to shareholders the Notice of Annual General
Meeting to be held on 5 September 2019 (“AGM”).

The additional matters required to be published on
the Web site in connection therewith, pursuant to Section 311A of the Companies Act 2006, are:

1. The Notice of the AGM, details of the business of that meeting and the resolutions to be
proposed thereat, and explanatory notes thereon, are set out in the Notice of Meeting which is
accessible at: hxxp://www.carpetright.plc.uk/investors/results-reports-presentations/

2. There is only one class of shares in respect of which members are entitled to exercise voting
rights at the AGM – 1p ordinary shares. The number of such shares currently in issue is
303,787,164.

3. The current total of the voting rights that members are entitled to exercise at the AGM in
respect of the Company’s shares carrying the right to vote at the AGM is 303,787,164.

[davycarpets] 28/8/2019 07:45

https://www.ft.com/content/aaf85a56-c893-11e9-af46-b09e8bfe60c0 Carpetright’s largest shareholder to take on retailer’s debt Meditor deal lessens uncertainty as UK flooring group tries to rebuild Myles McCormick in London 7 hours ago The largest shareholder in Carpetright has agreed to take on the company’s substantial debt pile and open talks over long-term funding, providing a degree of certainty to the troubled UK flooring retailer as it pushes to turn itself round. Carpetright said on Tuesday that Meditor, a private investment vehicle controlled by former hedge fund manager Talal Shakerchi, would purchase its £40.7m revolving credit facility from its current lenders AIB and NatWest. The company was not involved in the talks between Meditor and the lending banks. It will also provide effective funding for the two banks that provide Carpetright’s £6.5m overdrafts, NatWest and Ulster Bank, in the form of “participation agreementsâ€?. Meditor owns a 29.9 per cent stake in Carpetright and was already an unsecured creditor, having played a pivotal role in the financial restructuring that saved the company from likely administration last year. The revolving credit facility is secured against freehold property, giving Meditor a higher ranking in Carpetright’s capital structure. Carpetright’s freehold properties are valued at £50m. Wilf Walsh, chief executive of Carpetright, said Meditor had been “a pretty supportive shareholderâ€? and that the company would be discussing financing options in due course. These could include refinancing the existing unsecured Meditor facility, which is repayable in July 2020 and carries annual interest of 18 per cent. Carpetright has been under pressure in recent years from weak demand, an excess of selling space and stiff competition from Tapi Carpets, a privately owned rival controlled by Martin Harris, the son of Carpetright founder Philip Harris. Lord Harris sold his remaining stake in Carpetright in 2014. After shareholders, including Meditor, stumped up £60m to stabilise Carpetright, it closed more than 90 stores using a company voluntary arrangement, a form of insolvency that allows companies to impose losses on unsecured creditors. The emergency restructuring has begun to bear fruit, with the group this year reporting a return to sales growth and narrowing its losses. But conditions remain difficult in a market that is highly promotional, dominated by big sale events on key bank holidays. Carpetright shares remain down more than 90 per cent since the beginning of 2018, and trade at half the price paid by investors who backed the fundraising. The shares were up 11.5 per cent in afternoon trading on Tuesday. Meditor has not proposed board representation nor asked for any structural changes as a result of acquiring the debt facility. It has said it will now look to “engage with the company with a view to providing a more stable and longer-term funding platformâ€?. John Stevenson, an analyst at Peel Hunt, Carpetright’s house broker, said Tuesday’s debt deal “takes away any uncertainty regarding the group’s refinancing ahead of peakâ€?. “Meditor will now engage with management to provide a stable and longer-term financing solution for the group, which we expect to be agreed over the next two to three months,â€? he added. Greg Lawless, an analyst at Shore Capital, said: “In our view, this is another staging post in the Carpetright recovery following the CVA and rescue rights issue last year, which gave the company a fighting chance to rebuild profits and cash flow to a more sustainable level.â€?

[spob] 27/8/2019 23:06

Carpetright’s largest shareholder to take on retailer’s debt
Meditor deal lessens uncertainty as UK flooring group tries to rebuild



Myles McCormick in London 7 hours ago

The largest shareholder in Carpetright has agreed to take on the company’s substantial debt pile and open talks over long-term funding, providing a degree of certainty to the troubled UK flooring retailer as it pushes to turn itself round.

Carpetright said on Tuesday that Meditor, a private investment vehicle controlled by former hedge fund manager Talal Shakerchi, would purchase its £40.7m revolving credit facility from its current lenders AIB and NatWest. The company was not involved in the talks between Meditor and the lending banks.

It will also provide effective funding for the two banks that provide Carpetright’s £6.5m overdrafts, NatWest and Ulster Bank, in the form of “participation agreements”.

Meditor owns a 29.9 per cent stake in Carpetright and was already an unsecured creditor, having played a pivotal role in the financial restructuring that saved the company from likely administration last year.

The revolving credit facility is secured against freehold property, giving Meditor a higher ranking in Carpetright’s capital structure. Carpetright’s freehold properties are valued at £50m.

Wilf Walsh, chief executive of Carpetright, said Meditor had been “a pretty supportive shareholder” and that the company would be discussing financing options in due course.

These could include refinancing the existing unsecured Meditor facility, which is repayable in July 2020 and carries annual interest of 18 per cent.

Carpetright has been under pressure in recent years from weak demand, an excess of selling space and stiff competition from Tapi Carpets, a privately owned rival controlled by Martin Harris, the son of Carpetright founder Philip Harris. Lord Harris sold his remaining stake in Carpetright in 2014.

After shareholders, including Meditor, stumped up £60m to stabilise Carpetright, it closed more than 90 stores using a company voluntary arrangement, a form of insolvency that allows companies to impose losses on unsecured creditors.

The emergency restructuring has begun to bear fruit, with the group this year reporting a return to sales growth and narrowing its losses. But conditions remain difficult in a market that is highly promotional, dominated by big sale events on key bank holidays.

Carpetright shares remain down more than 90 per cent since the beginning of 2018, and trade at half the price paid by investors who backed the fundraising. The shares were up 11.5 per cent in afternoon trading on Tuesday.

Meditor has not proposed board representation nor asked for any structural changes as a result of acquiring the debt facility. It has said it will now look to “engage with the company with a view to providing a more stable and longer-term funding platform”.

John Stevenson, an analyst at Peel Hunt, Carpetright’s house broker, said Tuesday’s debt deal “takes away any uncertainty regarding the group’s refinancing ahead of peak”.

“Meditor will now engage with management to provide a stable and longer-term financing solution for the group, which we expect to be agreed over the next two to three months,” he added.

Greg Lawless, an analyst at Shore Capital, said: “In our view, this is another staging post in the Carpetright recovery following the CVA and rescue rights issue last year, which gave the company a fighting chance to rebuild profits and cash flow to a more sustainable level.”

[leadersoffice] 27/8/2019 22:18

Ask butterfly if he is actually invested in this company or as he mentioned in June, he'd sold "his last lot"??

[mugtoo] 27/8/2019 22:05

hahaha a bloke I know in dubai,what a muppet

[shanur90] 27/8/2019 21:59

Do you want to ask the guy you know in dubai for the lottery numbers too whilst you asking him

[butterflycollector] 27/8/2019 21:00

Spoke with a guy I know in Dubai, money man and he said MEDITOR are protecting their investment, now if CR does hit difficulties, and is forced into liquidation, MEDITOR become the main creditor and they get the assets, he expects a small spike in share price but ultimately the trading between now and Christmas will be key, he also said the Landlords would be seeking full rent payments as the zero/low rent deal was only temporary, he advised buy short term but don’t expect huge return

[mugtoo] 27/8/2019 20:52

he'a a sad shorter haha

[ny boy] 27/8/2019 19:52

He is ...call him Sir Phil from now onwards !

[bc4] 27/8/2019 19:39

With all your knowledge you must be a millionaire