Doric Nimrod Air Two Share Discussion Threads

[andyandyoj] 18/12/2023 13:46

And I think the dna 1 outcome was +90% v the projection of +35%.

[cousinit] 18/12/2023 13:11

Sure - I think your maths have gone wonky somewhere between that and 57 on here.

Appreciate FX then was more $1.20. But if $7.5m = 25.1p then $35m = 117.1p. There's the 14/5p to add and remaining divs of 14p (which only have 5/7 shares to be divided against now). So more like 145p (making no 5/7 or FX adjustment). So maybe 19% gain rather than loss

[cousinit] 18/12/2023 11:03

Hi Carcosa, please feel free to critique my post 51 on here. FX will have had some impact from that point, but the share consolidation also

[andyandyoj] 14/12/2023 10:52

What is your current forecast for dna2 capital if the remaining aircraft sell for the same? I’m struggling to work out how much cash will be left given the deferred income etc. thanks for your thoughts@carcosa

[1knocker] 13/12/2023 19:17

I bought these 4 years ago at an average of 159, so that puts me in the blue on te shares redeemed. Not the return I was hoping for when I bought, but a LOT better than I feared when the A380 was discontinued and COVID grounded the airline.

I feel I have dodged a bullet. I very nearly sold out and took the capital hit, in case, with passenger flying grounded and no airline interest in A380s, Emirates made the company 'a [lowball] offer it could not refuse' to renegotiate the contract.

It seems to me that Emirates has played very fair by us.


I wonder if Emirates bought the 2 planes sold? They seem to be one of the few airlines which still thinks well of them. It would be ironic if they go on to prove to be evergreens!

[davebowler] 13/12/2023 14:27

Just in case you missed the announcement, DNA2 confirmed on Monday that all the monies from the two A380s have been received. Therefore, the Directors were able to confirm the return of monies to shareholders as previously announced.

There will be a return of £59.23m by way of a partial compulsory redemption of two ordinary preference shares for every seven ordinary preference shares at 120p each. This amounts to some 49.36m ordinary preference shares. Following the redemption, the Company will therefore have 123,392,857 Ordinary preference shares in issue.

The Directors have already announced that they aim to maintain the Company's current dividend policy barring unforeseen circumstances, targeting a distribution of 4.50 pence per share per quarter.

As you are aware, the Company continues to own five A380s leased to Emirates and those leases come to an end next year between 1 October and 30 November 2024.

The timetable for the redemption is below:

Expected timetable:

Redemption Record Date

6.00 p.m. on 15 December 2023

Redemption Date

18 December 2023

Redemption Ex-date

18 December 20232023

Redemption Payment Date (on or around)

27 December 2023

If you have any questions please contact Chris Holland on [e-mail]

[grahamg8] 29/11/2023 17:00

The problem is the cash might get used for admin or help pay for dividends, particularly as the leases come to an end. I would rather have a pleasant uplift from surplus cash than be disappointed if it was lower than expected. Certainly North of 130p capital is perfectly possible.

[cousinit] 29/11/2023 08:39

Graham - are you factoring in the c15p of capitsl cash that is there over and above the plane residuals? I make it around 120 + 15 + divs, so 149

[grahamg8] 28/11/2023 17:06

The share price will presumably level off at a cruising altitude of 120p. A bit more climbing still needed.

[cousinit] 09/10/2023 11:58

The value the two aircraft were sold for is close to the projected residuals estimated by Doric. If the remaining 5 are similar suggests a final capital value of around 130p (with divis on top in the meantime). As these two have been grounded since Covid and are early in the production run, there's a chance that later, operating aircraft might be more valuable to Emirates.

[rambutan2] 19/2/2023 04:55

So:

ASSET UPDATE: REDELIVERY CONDITION SIDE LETTERS

The Company, via its wholly owned subsidiaries MSN105 Limited, MSN106 Limited and MSN107 Limited has received notice from Emirates that the lessee is exercising the option to enable it to redeliver the Airbus A380-861 aircraft bearing manufacturer's serial numbers 105 (registration A6-EDX), 106 (registration A6-EDY) and 107 (registration A6-EDZ) respectively, in the minimum condition equivalent to "half-life" together with a cash sum, as opposed to delivery in full-life condition. In the event that an aircraft is returned to the lessor, Emirates will pay the sum of USD12,000,000 in relation to that aircraft to the respective subsidiary of the Company, in addition to the normal monetary compensation arrangements (per aircraft), on or prior to the lease expiry date for that aircraft. The lease expiry date for the aircraft bearing manufacturer's serial numbers 105 (registration A6-EDX) and 106 (registration A6-EDY) is 1 October 2024. The lease expiry date for the aircraft bearing manufacturer's serial number 107 (registration A6-EDZ) is 12 October 2024.

The Board notes that the above does not preclude the Company from considering lease extensions, sales or re-lease options for the aircraft with Emirates or other counterparties.

[b2baby] 16/2/2023 10:00

Avation announced this morning that they have sold a Boing 737-800. This can only be good news for the resurrection of a proper second hand market in commercial aircraft and therefore only positive for DNA2. Most travel stocks showing major uptake for 2023 indicating that although cost of living is biting on many fronts, many are still putting money aside for holidays. Again, only positive for DNA2.

[rambutan2] 17/10/2022 21:04

Weiss out:

And Elliot in:

Trades made at 91.5p:

[riff1954] 30/6/2022 10:39

More good news on the A380 front hxxps://www.breakingtravelnews.com/news/article/lufthansa-reactivates-airbus-a380/ Lufthansa to bring the ‘permanently retired a380’ back into service in 2023. There is life in the old bird yet!

[sf5] 29/6/2022 13:19

Positive comment from David Stevenson today:

''It is worth adding one note though, to the Doric Nimrod 2 position – there’s been a hint of good news on this from Emirates. Matt Hose at Jefferies reports the following:
“In an interview with Bloomberg TV, Emirates President and CEO Sir Tim Clark was asked about the uncertainty regarding Boeing fulfilling the airline's order for the 777x. In response, he said Emirates would be "retaining all the A380s now, probably until the mid-30s, 118 of those." Conclusions: These comments indicate the airline would either acquire or re-lease the A380s owned by the funds at the end of the current lease terms. This appears to be driven by 777x deliveries not expected until 2025, coupled with the recent strong recovery in flight demand. As such, given a continued lack of other buyers for the super jumbo, this offers a source of comfort that the aircraft are not likely to be returned to the funds over the next few years, but more broadly that other Emirates-leased A380s (of which there are 57 in total) will not enter the market.”''

[robizm] 08/3/2022 19:05

This sounds like good news

[grahamg8] 14/7/2021 19:13

For 'tomorrow' read tomorrow, rather than tomorrow yesterday which would be today. If you get the drift. Got a bit excited, previous 4 updates have all been on Thursday, not Wednesday.

[grahamg8] 13/7/2021 16:08

Last week Insight Investment Management offloaded 9.72% of DNA and 2.69% DNA2 and didn't make a dent in the share price. Someone keen to buy, awaiting RNS to reveal all. Meanwhile by my calculation a quarterly update is due tomorrow.

[riff1954] 22/10/2020 17:04

The aircraft will be sold, the company wound up and the net proceeds returned to shareholders see

[chris8100] 19/10/2020 21:01

Came across this for the portfolio recently. What happens at the end of the lease periods if they make it that far, what would happen to any shares held and the value of them? Thanks in advance