Connect Share Discussion Threads

[edmundshaw] 22/10/2019 16:52

A profit? Mr. Optimistic!! :-))

Just somewhere near breakeven Would see EPS rocket (and hopefully the share price).

[menthol] 22/10/2019 14:37

Results on 6th of November probably selling before then. Tuffnells being the main problem hope they can show some improvement and report a profit, if not they should call it a day and get rid.

[colonel a] 22/10/2019 10:23

What is going on ?

[neilyb675] 16/10/2019 12:19

FORUM European Smallcaps GmbH

increased to 4.09%

[mitch74] 08/10/2019 17:40

LME website shows some very big trades going through earlier today. Anyone any ideas what is going on?

2,318,058 moved in 3 tranches between 14:44 and 14:45

14:44:17 37p 400,000 £148,000.00
14:45:05 37p 759,027 £280,839.99
13:44:45 37p 1,159,027 £428,839.99

[greyingsurfer] 23/9/2019 16:35

They would be able to sell the leases on, if they no longer needed the sites,

[this_is_me] 23/9/2019 16:08

The whole company is now in hock for £14 million in payments + full repair costs, over 20 years while getting less than £10 million, and having no equity in the buildings. Closing down Tuffnells is now never going to be an option since we will still have to pay these costs.

[profdoc] 23/9/2019 16:02

The risk is in the capital structure and the loan covenants. They are worth investigating.

[fenners66] 23/9/2019 11:19

So they are selling property valued at £3.5m for £9.9m but have to continue to pay full repairing and insuring and £0.7m a year for 20 years.

I guess due to structure of transaction they do not book a profit on sale of £6.4m as really they are just borrowing the £6.4m at a cost of £10.5m.....

Ok so they may save some interest on bank borrowings - but this is just desperate ....

[fenners66] 23/9/2019 11:10

So they should have cut dividends earlier - mismanagement again !

[gfrae] 23/9/2019 11:02

I am not sure how it reduces risk.

[profdoc] 23/9/2019 10:05

IN my view risk reduction is important and worth paying for.

[this_is_me] 23/9/2019 08:57

It means increasing costs rather than reducing them. If the premises are no longer needed during the 20 year term they will still have to be paid for.

The only thing that would have made sense is a mortgage. Then you could sell the premises if no longer needed.

[profdoc] 23/9/2019 08:50

£9.9m cash to pay off bank debt:
Vulnerability of banker's mood change is reduced in return for steady lease payments.
Also, unit managers are made more aware of property costs, allowing them to observe returns on capital employed more clearly.
I like it.

[lord gnome] 23/9/2019 08:12

A very expensive way to raise money. Smacks of desperation.

[this_is_me] 23/9/2019 08:03

I do not think that sale and leaseback is a good longterm idea.

[profdoc] 10/9/2019 09:51

It's good to see Smiths News securing such a high proportion of its future income. If Tuffnells is turned around I'll be pleased, but it's not essential for the investment case here at this low share price.

[turbocharge] 09/9/2019 14:59

Moving Averages
BUY 16
SELL 0
NEUTRAL 1

OSCILLATORS
BUY 2
Sell 1
Neutral 8

Summary
Strong Buy

[hotdawg] 07/9/2019 14:55

Wait and see how much tuffnells have lost this quarter i don't expect it will be pretty

[retsius] 07/9/2019 12:09

I read newspapers on my I pad, but some times takes infuriatingly long to get to the article you want. The Times for example has technical issues at the moment which is exasperating. Wifi issues are always there.

Always buy W/E papers. Luxury!


They need to ditch Tufnell, that has been 'an absolute shambles'
R.

[turbocharge] 06/9/2019 13:25

Connect Secures New Newspaper Distribution Deal With Telegraph
6 September, 2019

Connect Group PLC on Friday said it has agreed a new distribution contract with the Daily Telegraph newspaper, which is worth more than GBP100 million per year in revenue.

The agreement was signed between Connect's Smiths News business and the Telegraph and concerns the distribution of the Daily Telegraph as well as the Sunday Telegraph.

Connect said the new deal includes all of Smiths News' current distribution territories with the newspaper and has secured "annual revenues in excess of GBP100 million at current market values". The deal accounts for 15% of all newspaper sales for Smiths News.

Following the deal, as well as recent agreements - such as the five-year deal with magazine distributor Marketforce announced in August - 80% of Smiths News's overall magazine and newspaper revenue is secured until 2024.

Connect Chief Executive Jos Opdeweegh said: "I'm delighted that we have agreed a new contract with the Telegraph. The accelerated renewal of our publisher contracts has been a strategic priority this year, and since September 2018 we have successfully renewed over GBP900 million of annual revenues, underpinning the long-term sustainability of Smiths News and its contribution to the group as whole."

[hotdawg] 28/8/2019 11:58

Tuffnells will always be the thorn in the side , question it what will they do about it it'll take a brave man to make that decision

[fenners66] 13/8/2019 18:12

So Tuffnells not getting better as fast as they planned.... what else is new ?!

[this_is_me] 13/8/2019 14:58

Back into the trading range that it has been in since February, so the share price action could have been worse.

[mitch74] 13/8/2019 14:36

Yes me too. There is definitely one decent business in there and I have some faith in current management to turn things around but obviously this is going to take a little while. If they could just get the Tuffnells business on track...

Also some interesting large scale purchasing that you've alluded to above. Dare we dream of a bid???!!!