Elegant Hotels Share Discussion Threads

[lbo] 13/1/2017 15:53

Like Warren Buffet did with Tesco? Everybody makes mistakes. But looking forward to hearing Luke's grand plan to turn things around and halt the decline in occupancy. Will that involve stopping the dividend or maybe some sale and leaseback's of the freeholds to himself and a large capital expenditure plan? I do wonder why he did not buy all the shares or even make a bid for the whole company?

[nw99] 13/1/2017 15:44

A lot of buying this afternoon

[salchow] 13/1/2017 15:39

I presume Luke Johnson did some research before investing such a large amount of money! Yes, I know, he didn't buy it all!!!!!

[lbo] 13/1/2017 15:37

Worry is management don't know how to halt the declines in occupancy that they are experiencing which are now forecast to be only circa 60% in 2017 and 2018 and only in June they seemed to say it was all outside of their control;"However, while visitor numbers and airlift to the island have continued to increase, and there is good underlying growth in demand for Barbados, most of that growth has been in the villa rental segment and at the lower-cost end of the hotel market. Recent data from Barbados Tourism Marketing Inc. shows that, for the first quarter of calendar 2016, demand for luxury accommodation decreased by 3.7%, while overall arrivals increased by 7.4%"

[che7win] 13/1/2017 14:57

nw,
yep, it is consistently rated highly by customers.

[nw99] 13/1/2017 13:57

Following EHG on twitter all the clients are happy with the resort bodes well

[che7win] 13/1/2017 11:51

salchow,
maybe it's just egotistical and wanting to be proven right.

[salchow] 13/1/2017 11:25

LBO - maybe you do have a more realistic view and understanding of the risks facing the company but the point made in my last post is even more realistic.

[lbo] 13/1/2017 10:54

Or maybe they just have a more realistic view and understanding of the real negatives and risks that the company and Barbados itself have to deal with.

[salchow] 13/1/2017 10:35

No sane person would want to spend time either ramping or de-ramping a share unless they had some interest in the outcome. No one would do it as an academic exercise. It may be that LBO will turn out to be right. So what? To continue to write such negative comments on a regular basis either means that they have a financial interest in the price falling or are an ex-exployee or other person with a very big grudge.

[lbo] 13/1/2017 09:59

And you clearly can't or don't want to answer the questions but would rather try and deflect from the issues and facts by attacking me. Seems it's ok to continually ramp on here but the minute someone try's to be realistic and discuss the many issues and headwinds which are clearly showing in the Elegant Hotels figures and bookings numbers themselves then they are personally attacked.

[elsa7878] 13/1/2017 09:23

I knew a hotel operator in the Caribbean. Years ago (5/6 years from memory) he said his biggest dread was that Fidel went / died and Cuba opened up. Hey presto.

[bookwormrobert] 13/1/2017 09:20

You've clearly got a grudge. (Ex-employee? Or did you just invest in the initial IPO and sell out at rock bottom?) Anyway, I stick with my original analysis, and I'm not going to discuss this matter further with you. The market will decide the future of this company, and I'm happy to hold my shares.

[lbo] 13/1/2017 08:29

Well if you know him so well then ask him if the shares were so undervalued why he did not buy all the shares off Vision Capital? Or why no other hotel operators bought any shares? Or why since the IPO Sunil and Simon have reduced their holdings by up to half yet never sought to buy as many back as they sold when it's supposedly so undervalued?

[bookwormrobert] 13/1/2017 07:43

FWIW, I'd actually agree with you that the IPO was overvalued, or at least at a very full value. But you can't ever blame the seller for taking the maximum price that he / she can get. Equally, when the price was 60p EHG was ridiculously cheap; which is why the directors dipped in and bought stakes, and then why Luke Johnson and institutional investors bought in (you forgot to mention those SMALL facts, didn't you?).

Zika in Barbados, thankfully, seems to be in the past; despite your best attempts to make out that seven plagues are ravaging the island.

My guess is that the board hold the dividend and the share rerates to 100-110 on next week's results. If not, then EHG will become a very tempting takeover target. It would be a piece of cake for Luke (who I know from college) to raise the necessary finance.

[nw99] 13/1/2017 07:41

No wonder the smart money is in here

[nw99] 13/1/2017 07:40

Reading the research is that Elegant's 553 bedrooms represent 30% of the luxury-bed stock on the small island. Five of the six hotels are along the prestigious west coast, with the calmest waters and nicest beaches. It's clearly a 20+ acre franchise, which you would not be able to replicate.

[masurenguy] 12/1/2017 23:17

"I have been posting on here for over a year"

So what is your agenda here ?

[lbo] 12/1/2017 20:29

I have been posting on here for over a year and since the share price has been falling from over £1. Suppose the overvalued IPO, Zika, Brexit and Vision Capital selling out are all my fault too.

Ps Thompson having to discount flights would not be a sign that Barbados is in demand

[bookwormrobert] 12/1/2017 19:44

LBO = minimum, investor justifiably very nervous about short position; maximum, peddling slanted and twisted information to depress share price to aide mooted takeover. I'll leave others to comment on his / her actions.

[che7win] 12/1/2017 19:29

And flights from £220...return!!! :-)

[lbo] 12/1/2017 18:40

Not as if Barbados has not been trying to sell into other markets for years yet still the UK makes up the majority of its tourists. Also the Air France flights are sadly not direct and you need to connect from either Pointe-a-Pitre in Guadeloupe or Fort-de-France in Martinique on an ATR plane with Air Antilles.

But this highlights another problem for Barbados as direct airlift to the island is also coming under competition.



We must also not ignore the possible impact of the new Argyle International Airport due to open in St. Vincent and the Grenadines next month. The fear is that Barbados’ position as the international gateway to the Eastern Caribbean could be in jeopardy from this new airport.

[che7win] 12/1/2017 17:09

Who cares about an avatar that posts media articles from over 6 months ago.

I'm here for that juicy dividend.

I see they are opening up the French market:


"Similar initiatives will continue to intensify as the island welcomes three flights per week from Paris via Air France from February 2, 2017. “This is the first time that Barbados and a French airline have become partners. We are delighted that this partnership is with a major network carrier like Air France, and we are eager to welcome more French visitors, which has already seen a growth of 11.5%,” said William Griffith, CEO of Barbados Tourism Marketing Inc.

“The European roadshow was a great success for all Barbadian hoteliers and the response from Travel Agents and Tour Operators shows great promise for this new and emerging market. I would like to say a big thank to the BTMI representatives for their continuous hard work and dedication in highlighting Barbados within the global destination market. Accra Beach Hotel & Spa looks forward to being a part of these new and exciting opportunities in 2017,” mentioned General Manager of Accra Beach Hotel & Spa, Suresh Monickaraja."

And the drive for US visitors continues:

[bookwormrobert] 12/1/2017 16:34

Yes, I think LBO - whatever his/her motivations - may have got this one badly wrong.

[che7win] 12/1/2017 15:31

I don't mind the LBO avatar posting, it has had a mildly positive effect on the shareprice, so the market clearly doesn't agree with it's view.

Results are just one week away.