Delek Glbl Share Discussion Threads

[rj allen] 12/2/2014 14:55

Further to the special resolution that the Company be summarily wound up, which was passed in the extraordinary general meeting of Company earlier today, the board of DGRE announces that it resolved to declare an interim liquidation distribution of 74 pence per each DGRE share (the "Distribution"). The Distribution is payable to shareholders on the register at 12th February 2014, and is payable on 7th March 2014 (or as soon as practicable thereafter).

[tiltonboy] 11/2/2014 21:49

EGM tomorrow. Hopefully we might get some news!

[kenny] 22/1/2014 18:41

The parent does because they have some rather large loans to meet; otherwise Mr T has to pay them. Hopefully, late February the details and amount per share will be announced.

[tiltonboy] 22/1/2014 16:12

Thanks Kenny. Let's just wait for the cash to roll in. I would guess the parent wants the cash as quickly as we do!

[kenny] 22/1/2014 16:02

No tax payable by the vendor as they are not resident in the UK.

[tiltonboy] 20/1/2014 07:18

I was wondering whether there were any at the company level, and if net cash really was net.

[grollfam] 20/1/2014 04:18

no tax issues as it is a return of capital...

tiltonboy, depends on where your tax jurisdiction is & your original base cost...

[tiltonboy] 19/1/2014 22:50

Looks like we could get a vast majority of the money in pretty short order!

Hopefully there won't be any tax issues.

[grollfam] 18/1/2014 13:07

Yup, glad I never tendered any shares in the 4th buy back at 42P ...

Reckon we will still get at least 85 Pence back from assets disposals

[kenny] 18/1/2014 12:40

Document says "net cash proceeds of circa £100m". So I am guessing we may expect something in the low 70's, say between 72p and 74p.

[flying pig] 18/1/2014 11:48

So shareholders meeting called to approve orderly liquidation recommended in post today, but no real clue as to proceeds, timing etc.
Fairly typical.

[kenny] 17/1/2014 10:47

Hi Grollfam, my mistake. Thanks for finding the information in the first place.

[grollfam] 17/1/2014 05:22

Hi Kenny

£13m lease surrender was not deducted but added to total proceeds......

regards

[kenny] 17/1/2014 01:11

There are two BIG assumptions in what follows a) that the mortgage is £40m (it could well be much lower) and b) that the price of £160m quoted in the press assumes that DGRE pays the freehold option price of £30m.

On the basis of gross consideration estimated at £160m and allowing £4m for sale costs, £30m for the freehold option price and an estimated mortgage of £40m, nets to £86m or 63p per share.

The above unknowns will have a material effect on the 63p figure but I suspect, an upwards only effect.

[kenny] 17/1/2014 00:46

It appears the sale price was more - estimated at £160m in the article linked below.

Grollfam in your estimate of what we may receive, why do you deduct the £13m lease surrender previously received by DGRE. Also, I am not too sure why the breakage cost is deducted as I think that was already deposited by DGRE? Do you have a link to another article with those figures?

hxxp://costarfinance.com/2014/01/16/candys-omni-capital-kickstarts-1bn-lending-drive-with-127-5m-bridge-loan/

[tiltonboy] 10/1/2014 15:18

From the company. Refused to give any more information.

[kenny] 10/1/2014 14:33

Thanks tilt's. Is that information from the company? Another share buyback?

[tiltonboy] 10/1/2014 13:51

Company confirm they are in the process of preparing a document, and that it would be with shareholders in the next "few" weeks.

[kenny] 08/1/2014 23:59

None of the property loans/swaps are cross guaranteed. Therefore, if any of the remaining properties are under-water, the bank can repossess but only that particular property.

[tiltonboy] 08/1/2014 20:02

Let's just hope they have pulled off a blinder with this deal then!

[kenny] 08/1/2014 19:49

All the interest rate swaps went with the NCP car parks - I think. If there are any left it would be minimal. Also unsure what other property is left - I think there are some but not many.

Company is now only producing annual accounts -and they seem to be issued 6 months after year end.

[tiltonboy] 08/1/2014 19:22

Kenny,

Thanks for having a go anyway. I would happily take the niddle assumption.

What do you believe is the current situation with the interest rate swaps?

[kenny] 08/1/2014 18:50

Any figure I guess at will likely be very far out because it is almost impossible to anticipate the demand from investors for such a long term project albeit it is in an ultra-prime location as well as the fact central London luxury flats have long attracted a premium from the mega rich who will pay almost any price if they like a property.

If we look at net, net to shareholders after paying off the mortgage, freehold cost etc, then I hope we get 98p per share (anything over that would be exceptional, in my view). On the other hand, my minimum estimate is 40p and another estimate was 71p. All of these figures are on the basis of a full exit e.g. not on the basis of a deferred profit deal if the project achieves a high water mark. A deferred profit deal would mean we get much less upfront. The 71p estimate is based on the amount of a distribution the holding company needs to receive in order to fully pay its bondholders – otherwise Mr T has to put his hand in his pocket.

As you will see from the three figures I have given above, I really have no clear idea!! Perhaps, not long to wait until we have a clearer idea.