Danakali Share Discussion Threads

[forfaiter] 20/5/2002 13:26

Of course the financing is relevant... especially when you take into consideration the repayment schedule.

In the 2004 Fiscal year the company has to pay back a total of $187 in debt payments...$8M at the end of each quarter and the final remaining amount due on the 31st of March....2004

Also due in April 2004 is the zero coupon payment of $47.6m......

Add this to the increasing interest rate scale and the tight covenants concerning performance ratios......and you have very little margin for error...

Hence the negative reaction to the recent results which came in lower than expected....

[jayno] 20/5/2002 13:26

Agree that Million

[lex1000] 20/5/2002 13:25

millionaire, chill.

[millionaire] 20/5/2002 13:21

What really wrangles with me is the British disease;

Knock success and laugh in the face of progress.
Put everything and everybody down as you know you
can never achieve the same level of success - that
is what I HATE about some people in this country.

[blockbuy] 20/5/2002 13:18

order book looking ok in the states.

BUY ORDERS
SHARES PRICE
3,000 3.8200
300 3.7000
SELL ORDERS
SHARES PRICE
1,000 4.1000
2,000 4.3500
5,000 4.3500
498 4.5000
400 4.7400
3,500 6.7500
3,100 6.7500
100 8.2500

[millionaire] 20/5/2002 13:15

Agreed jayno-it could be a sign that shorters are worried.
My only concern is the spiral of negativity that has occurred
since wednesday of last week.
For example:
After our market closed, the US sell off began.
We opened weak and carried on weak through the day.
The US opens, and sees us weak and carries on with the
sell off, and so on.

At what point does the spiral reverse itself. It's almost
as if the UK is saying if you go up, we will go up and
vice versa. This is bread and butter to shorters as they make
easy money. Holders get disillusioned and panic.

[royalexile] 20/5/2002 11:49

this will recover, i'm confident of that

i'm also interested in AQG - looking good for the week

[millionaire] 20/5/2002 11:41

where has everybody gone?

[millionaire] 20/5/2002 11:04

see another 50K buy reported late.
It was traded at 10.59am and was obviously a buy.

sorry pd didn't see your post.

[psychicdoc] 20/5/2002 11:03

peter:
another 50k buy reported late today a few 100k buys last week someone slowly building a stake is it esselte

[chestnuts] 20/5/2002 10:54

Hi Jag
I have every confidence in dnk and boght some more and might even buy some more.

[millionaire] 20/5/2002 10:51

Think the US will be loathed to follow the UK,
and will therefore want to be seen to take the lead.
Wouldn't be suprised if the US dips on opening before
rallying after we close.

[psychicdoc] 20/5/2002 10:41

peter;
can see this recovering even today and would not be surprised at some big buys in the us today at the back of some speculation about big deals with american airlines and takeover/sale of european and australian ops and if oak is going to buy my confidence increases

[ambabe] 20/5/2002 10:40

Thanks guys just a moment of madness been deliberating all morning I think I'll stay for a while now. You're right Lex very shady these mms.

[oaklandsway] 20/5/2002 10:39

News on 19 March 2002:
Danka today announced that its 6.75% convertible subordinated notes due 2002 (the "6.75% Notes") mature on 1 April 2002 and that Danka plans to pay the outstanding principle amount of $15,988,000 of 6.75% Notes in full on maturity, together with the accrued interest thereon, from Danka's available cash resources. The 6.75% Notes are convertible, subject to the terms and conditions of the indenture for the 6.75% Notes, into Danka's American Depositary Shares or, in the limited circumstances set out in the indenture, Danka's ordinary shares, up to 5.00 p.m. (New York City time) on 1 April 2002.

On 1 April 2002 Danka had paid 6.75% convertible subordinated notes using free cash flow of $49.6 million available in the fourth quarter which is also more than enough to pay current maturities of long-term debt and notes payable of $ 36,293,000. No need to scare about this company's financial condition for forseeable future.

How much is the long-term debt:
Long-term debt and notes payables, less current maturities is $268,161
The rest of 6.5% convertible participating shares is $240,520
The total is just around $508 million

Please compare with its peers on the total leverage ratio (total debt divided by total EBITDA) which is approximately 2.8 to 1 for Danka

What is your conclusion? I am sure Danka is undervalue!!

Ebitda should grow again and debt should reduce by
now, great to see the leverage ratio under 2.5 soon.

[ambabe] 20/5/2002 10:29

Have bought back in Be Warned it could now drop!!

[chestnuts] 20/5/2002 10:27

I Think its bouncing

[ambabe] 20/5/2002 10:24

EK
Am gutted!!

[millionaire] 20/5/2002 10:20

surely the markets were expecting earnings growth,
net debt reduction, EBITDA improvement (again)
and future guidance?

Danka hit the mark with all those points above.

[forfaiter] 20/5/2002 10:20

Psychidoc......LOL...even with the retracement anyone following me into the stock last year would still be up over 600%....and if you had sold last week you would be able to able to buy in cheaper today...

The market is for men not boys....

[ambabe] 20/5/2002 10:20

I am concerned as to what may happen when the us opens this afternoon does anybody have any ideas seems to me some of you are expecting it to be positiv e by buying in again????