De La Rue Share Discussion Threads

[quepassa] 04/10/2016 10:44

This share is pushing ahead hard.

QP

[quepassa] 12/8/2016 11:02

THE GREAT BANK NOTE MYSTERY


Idling away time on a recent BA flight, I picked up a copy of their July 2016 Business Life magazine to find an article about Bank Notes and De La Rue.

The article says the following : " The value of notes in circulation in the UK has increased threefold in the past 20 years...A similar picture can be seen in other developed economies: The US, canada, Australia and the Eurozone have likewise seen significant growth in circulation over the past decade

But the reason for this remains somewhat of a mystery as cash used for everyday transactions has been in gradual decline since 2000."

Seems that people are hoarding cash both in the UK and likely overseas as well.As well as being used significantly in the shadow economies for both legal and illegal activities.

Looks like cash is not going out of popularity any time soon.


ALL IMO. DYOR.
QP

[quepassa] 08/8/2016 08:38

Re 1003

In an interview, Emperor Akihito confirms that he is reflecting on how apprporiate it is for him to carry on.

ALL IMO. DYOR.
QP

[quepassa] 03/8/2016 13:47

Within Brexit looming, this will undoubtedly strengthen the hand of De La Rue who will be in prime position for re-printing any security documents when had hitherto incorporated Euroland wording.

As the press is now pointing out,a new design and print of Her Majesty's UK passport should alone bring in sales of a fugure mentioned by The Ft of £200 million.

De La Rue should do very well over the coming years after a period in the wilderness.

It should be noted that ten days ago on 22nd July, JPM Cazenove issued a broker note and REITERATED their OVERWEIGHT recommendation on De La Rue and SIGNIFICANTLY INCREASED their Price Target from 580p to 690p

ALL IMO. DYOR.
QP

[quepassa] 02/8/2016 09:19

Very bullish article in the FT's Lex Column (Page 12) today about De La Rue.

Lauding Martin Sutherland's efforts to streamline the business and 1)
pointing out that cash is not a dying technology with 2) demand growing by c. 5% pa throughout Europe , 3)hinting at significant potential fx gains due to sterling weakness and 4) mentioning that a redesign of UK passports may add up to £200m in new sales.


The Lex ends with the words " The shares have risen more than 40% this year. The house of De La Rue is only getting stronger".

Very supportive.

ALL IMO. DYOR.
QP

[redartbmud] 21/7/2016 20:52

I am still under water on my holding, but I am glad that I hung on through the bad times as we slowly inch towards my break even point. Some way to go yet.

[quepassa] 21/7/2016 12:06

Steady as she goes .

ALL IMO. DYOR.
QP

[quepassa] 20/7/2016 11:21

Something going on here?

I wonder if there is any news or update on their talks with a number of other papermakers about a potential Joint Venture, as referred to in the PrintWeek link below:-




ALL IMO. DYOR.
QP

[quepassa] 14/7/2016 10:48

The FT carries an interesting article today on page 6 about the rumoured abdication of ageing Emperor Akihito of Japan.

Shares in Dai Nippon Printing Co added 4.4% yesterday on the rumours.

If Emperor Akihito steps down, there will be a change to the Japanese calendar which will boost demand for printing services according to a report in a Washington Post/Bloomberg report dated 14/7/16.

Last year De La Rue signed an agreement with Dai Nippon Printing.


ALL IMO. DYOR.
QP

[quepassa] 12/7/2016 14:39

UPDATE.


Today Citigroup issues a bullish note on DLAR and UPGRADES to a BUY recommendation with a significantly increase in TARGET PRICE (from 450p) to 630p.


First JPM Caz and now Citi turn bullish. That's good.

ALL IMO. DYOR.
QP

[quepassa] 12/7/2016 10:24

Up 50% to near 600p from the Feb lows of 400p.

On 8th. July, JPM Cazenove UPGRADED DLAR to OVERWEIGHT with increase in TARGET PRICE (from 530p) to 580p.

Another company benefiting perhaps from sterling weakness?


ALL IMO. DYOR.
QP

[randomwalker] 08/7/2016 10:46

I am surprised no-one is playing this share. It has been volatile lately for the day trader type view, with a fair dividend for the rest of us.

Would guess the recent spike is due to increased nervousness over euro break-up.....the Italian bank situation. However, the story is that the Italians kept all the old lira notes when the euro came in just in case.....there are also the perennial rumours about Greece. I am sure the EU will do everything possible to keep the lid on that until we have left. They do not want a rush for the exit..

[grahamite2] 08/7/2016 09:52

Is nobody "in" here?

Up some 7% and no comments?

[ch1ck] 31/5/2016 11:38

Its always nice to call the top just before it rolls over. Im a buyer at 520p or lower.

[sturmey] 26/5/2016 12:22

If a potential bidder is building a stake, it might make sense for him to pause his buying for a while and let the price settle a little. Potential sellers might then assume no bid and sell out at a decent premium to the price before the recent results.

Today's volume is still higher than usual.

Yesterday's volume was not far short of 1% of market cap.

My money is still on a bid soon.

IIRC one of the European private rivals (French or German?) bid over 900p several years ago.

I hope for a bid in the region of 750p to 800p

[ch1ck] 26/5/2016 11:07

I sold half yesterday will wait and see if the price cuts back

[redips2] 26/5/2016 10:35

Aye, could be something in the wind......sitting tight for the moment just in case .

[sturmey] 25/5/2016 21:56

My money is on a bid. Shares up 18% in three trading sessions on increasing volume.

[randomwalker] 25/5/2016 15:45

Just succumbed to temptation and sold 1/3 of my holding

just too far, too fast.....unless there is a bid in the wings

[quepassa] 24/5/2016 07:50

Bank Note Printing up.

The big Euro500 drug-dealers note is being withdrawn.

Should significantly spur global volumes of Note printing.

Steady results. Good yield


ALL IMO. DYOR.
QP

[randomwalker] 24/5/2016 07:20

Steady numbers and dividend remains unchanged

Nice earnings growth, but less on the profits......but I am holding for the chance of bumper profits if/when the euro breaks up.

The EZ has kicked the Greek can a few metres down the road....but could still come to a crisis (again)in July. The EU really does not want it to happen before our referendum

[ch1ck] 14/4/2016 02:59

Congrats to all holders of this share. This will power forward on the back of good news and the breakout

[ch1ck] 02/12/2015 08:50

Very nice news and move up

[neilyb675] 02/12/2015 07:25

De La Rue plc ("De La Rue" or "the Group") announces the results of its review to optimise the manufacturing footprint. This demonstrates positive early progress on the delivery of the five year strategic plan. The main conclusions are:

· Reduction in banknote print capacity from 8bn banknotes per annum to 6bn and in the number of production lines from eight to four

· Expected savings in excess of £13m per annum from FY18/19 in addition to the Group's existing ongoing cost saving initiatives

· Three centres of excellence for banknote print: Gateshead in the U.K., Kenya and Sri Lanka. Closure of Malta banknote production

· Associated capex of less than £30m, half of which is incremental to normal annual run rate, and exceptional restructuring costs of £8m

· Creation of centre for excellence for Identity and Security Print in Malta as part of Invest and Build strategy



Banknote print:

The Group is seeking to maintain its leading position in the commercial banknote market by optimising its manufacturing footprint to deliver the right capability, capacity and cost base. It plans to invest less than £30m. The majority of the investment will be used to replace and modernise existing print equipment over the next two years and to reduce the number of production lines from eight to four. This will reduce core production capacity from current 8bn to 6bn banknotes a year, with ability to flex up to 7bn through built in flexibility. Volumes in excess of 7bn notes will be achieved through external partnerships.

Banknote production will be consolidated into three centres for excellence: Gateshead in the U.K., Kenya and Sri Lanka. The existing banknote production in Malta will discontinue. As an important part of the Optimise and Flex strategy, the restructuring will bring De La Rue's production capacity in line with current market demand, and greatly enhance the efficiency and flexibility of the Group's leading banknote print business.

Security print:

By leveraging its strong market position as the largest commercial supplier of passports, the Group is seeking to accelerate its growth in the Identity and Security Products markets by improving capabilities and investing in new technologies. A significant portion of the overall £30m of capital investment will be invested in equipment and skills to create a centre for excellence for Identity and Security Print at De La Rue's current site in Malta. This will enhance further the Group's Identity and Security Print capability and give the Group a competitive edge to capture the high growth opportunities in these markets. The current Security Print capability in Gateshead, U.K. will be relocated to Malta.


The restructuring plan will require a total capital investment of less than £30m, half of which is incremental to the normal annual run rate, with associated restructuring costs of £8m over the next two years. Through improved efficiency and productivity, the restructuring is expected to generate in excess of £13m annual cost savings from FY18/19 in addition to the existing ongoing cost saving initiatives.

The restructuring will impact around 400 jobs, with approximately 300 being at risk of redundancy, mainly in Malta. A formal consultation with the affected employees is now underway. The proposed plan, subject to the consultation, will complete in the first half of FY18/19.

Martin Sutherland, Chief Executive of De La Rue, said:

"As the leading commercial designer and printer of banknotes and passports, our manufacturing footprint review has identified significant opportunities for improvements in capability and efficiency. Today we are announcing plans to achieve a more streamlined De La Rue, in line with the future needs of our global customers, focused on centres for excellence with investment that underpins our future."