Entertainment Rights Share Discussion Threads

[rochford6] 20/7/2008 10:17

Lets just hope they start to announce this sort of news by RNS rather than us having to find out in the papers

[53tom] 20/7/2008 10:07

Just seen it in the paper!
Well its nice to have some good news at last.
If Postman Pat becomes popular in China then who knows!
If some of the other expected news flow is released it will sytart building some confidence that the company is on track for a good future.

[rochford6] 20/7/2008 09:12

Postman Pat to deliver TV bonus from Beijing

BRITAIN's postal workers are notoriously strike-happy, so let's hope they don't mind that one of their members could soon be put to work in China.

However, don't fret, lads. It's only Postman Pat, pictured right, the popular children's television character, who could soon be making his Beijing bow.

Entertainment Rights, the group behind Pat, is set to announce a deal with China Central Television, which has snapped up the rights to 106 episodes, a nice win for ER's new boss, Nick Phillips.

Postman Pat is not the only children's favourite who needs to pack a suitcase - Underground Ernie is also heading off for new pastures.

[svendid] 19/7/2008 07:07

All these alerts just go to show how hard
the short position is working to keep the
share price down!!!

Some people want shares very badly
at these prices!!!!

Caveat Emptor!!!

[wodahsnoom] 16/7/2008 21:59

ERT needs to survive this period financially - scaremongering about 107m debt is only relevant if you can't service it. In what was a dire year in 2007 they still produced 16m in free cashflow (after interest charges). Sales are materially the same as last year and reasonably positive projections for 2nd half 2008. Unless you are a shorter, just forget about them for 6 months - you might be pleasantly surprised.

[rochford6] 16/7/2008 16:57

Strange bit of price action at the end of the day today but i cannot find any trades listed after 4 15

[hotips] 16/7/2008 14:29

This share has never been so low in the company's entire history. The directors should hang their heads in shame, especially after such a bullish AGM statement. Their neglect of this company is an utter disgrace and they have no one to blame but themselves for this appauling state of affairs. For starters the non-execs should go. They are worse than useless. When are we going to see some positive news flow? Everyone knows this company needs to regularly inform the market of developements, and when it goes quiet, guess what - the share prices slides. So get off your grossly over-paid backsides and start making this company happen. And yes Bransgrove, I do mean YOU! Leave those Muppets at Hampshire alone and do what we pay you to do.

[joey wilson] 16/7/2008 06:26

53tom.

Thanks for your thoughts. A rights issue is not desirable but is an alternative to going bust. Your write up is a factual/logical account of this company's present position, if they are telling the truth.

Plc's have a way of covering the truth until the sh*t hits the fan. ERT have a recent record of doing the same under Heap. Phillips has shown confidence by buying at a recent price of 7.2p so his investment has crashed also. I am glad the directors will be feeling the pain of a collapsed share price, also.

The directors buying recently shows faith in a company that is hopefully going to turn. BUT, how many times have I been here, which is why I own far too many of these shares, to date.

I would feel much more comfortable with this company at a share price of 10p plus and positive newsflow. I may even decide to stay on board.

This is presently the worst share I own.

JW

[53tom] 15/7/2008 23:24

At the AGM and in recent RNS's the company stated that it was in a healthy financial position, but was looking to accelerate its debt reduction.
They are about to announce the Lone Ranger trio of films with Disney made by the people who wrote and directed the Pirates of Carribean films.
They brought in a resolution at the AGM to allow the company to buy up to 10% of the companies shares (75 million) which, providing they do it, shows confidence in the future.
SVG and Manor Holdings have vigorously bought up millions of shares at around 8 pence during the january, february and march which shows some level of confidence from them.
The costs associated with the purchase and assimilation of Classic Media are out of the way in last years figures and we should see some cost reductions because of it for the future.
The Lassie rights issue has only come to light today but it seems that only a relatively small percentage of the rights (not all, by any means) will be payable to the heirs of the lassie writer.
As someone above said the debt was part of the Classice Media purchase and is covered by a 5 year term loan,its not new but not ideal in these times.
I think it is most unlikely nor desirable to have a rights issue and according to the healthy financial position statement it is unneccessary.
The company has been heavily marked down and down since November, but if you look at other media companies so have they. The current market is a nightmare with some substantial companies being hammered even more than ERT.
Its painful and i am hurting on this one too.
The company has not been the best at PR and Heap was not the best at wooing the city, but I believe (hope) that Phillips will turn this situation around.
I am sure there are certain outfits who would love to get their hands on the ERT properties and who knows if they sense the market bottom is close may make a cheeky offer to get ERT on the cheap!
It will be interesting to see what happens during the next few weeks.
Best of luck.

[joey wilson] 15/7/2008 20:32

RIGHTS TO LASSIE GO BACK TO THE HEIRS OF THE ORIGINAL OWNER?

SCAREY.

DOES THIS MEAN AN RNS WITH A PROFIT WARNING SOON?

JW

Share price 3p

[petepostman] 15/7/2008 18:37

Oh no, another tip in a newspaper, the Times again, perhaps they are trying to recover from the tip at 20p pending the never coming bid..! Get in quick they said last time..!!
However, the share price is at an idiotic level, even for this bear market. The debt hasn't just appeared by suprise, it has always been there, since the last rights issue in Jan07. The share price then was around 30p. Since then there has been the DVD debacle, the dollar ex rate, and a general slide in the UK/world economy. But surely the 85% drop in the share price does not reflect the reality. But maybe a lot of traders know things I don't..!

[joey wilson] 15/7/2008 15:17

I hope not. I think you got out at the right time. Ever since you sold up, in hind sight I wish had also, the writing has been on the wall.

I truly hope this Company does not go bust as I will be one p*ssed on man.

Over the last 12 months i have averaged down and down in an attempt to get out of this pile of sh*t and the price has continued to go down further. I don't understand it, as in principle this should be a decent share to own.

Have always been baffled with this one.

JW

[simon gordon] 15/7/2008 14:33

Joey - with the economy tanking and a highly leveraged balance sheet ERT has a high chance of going bust.

[rochford6] 15/7/2008 14:10

this wont help the cause

[joey wilson] 15/7/2008 12:35

They are pushing market presence and yet the share price continues to fall. The share price is already dilluted at its present price. Should be at least 11p now. But it isn't. I realise a rights issue dillutes the share value, but that is happening anyway now.

Do you think this share / company will recover soon? without a rights issue...


JW

[hotips] 15/7/2008 12:24

A rights issue is not the answer. They should be exploiting their vast library through their own kids' club, and making a splash in the market. What ER clearly needs is more market presence.

[rochford6] 15/7/2008 09:43

a lot of large buys going through this morning but the price is not changing - if i had a suspicious mind i would say the MM's are holding the price to let thier buddies in before letting the price rise

[svendid] 15/7/2008 08:20

The JUNE short position
GB0008138884 ENTER RIGHT ORD 5P 27052834.90 489201322.23

5.53%

[darlocst] 15/7/2008 08:18

A rights issue.

[joey wilson] 15/7/2008 07:47

Spot on. A Rights Issue is the only way forward for this Company if it is not to be sold, to clear its debt and start again. It is quite obviously going nowhere. The thought of doubling my investment in this company again and again and again does scare me a little. Already overweight with this stock. Can't help but think that we are about to turn the corner, then the share drops every time.

Will this worm ever turn??????????????????

JW

[darlocst] 15/7/2008 07:43

Svendid,

Isn't ERT's a large portion of ERT's debt on a term loan thats only repayable in 5 years+ time? As long as they stay within banking covenents then they have plenty of time to move the company into a much more positive situation on the debt front.

As for asset disposals, I'm in favour of them. Sell off non-core titles and concentrate on extracting maximum value from a smaller, more focused asset base. Plus if decent value can be realised from the sales it might focus attention on the value of the remaining assets.

I don't think the company should be looking to pay a dividend & I don't see why anyone buying/holding the stock over the near term should expect/hope the company to pay one. I see this more as a turnaround situation. It looks to me that the previous management performance was less than stellar and therefore the new CEO has a real chance to improve ERT's performance.

If the new CEO can excute on the new strategy and ERT's business can hold up ok in this current economic environment then the current share price looks tempting.

No position yet.

[svendid] 15/7/2008 06:55

Yes!!! Impressive.....but can I ask....
When is a profits warning not a profits warning?

A PE of 3.2....terrific....but a debt mountain of
100 million......

That means no dividend....profits to be used to pay down debt.....
add to which some titles/assets will be sold to pay down debt....
which means company loses some of it's earning power....
and no one can tell me that there are bidders lined up at the door
to take the lesser titles from ERT at a good price.

It's a good company....but the market is riddled with good
companies who are selling below nav and who have considerably
less debt and who will fight their guts out to put dividend
cash in their curtomers pockets this year.

The Times warns us that ERT will make profits this year but warns us that
they are designated for other peoples' pockets.

And the banks are'nt going to keep debts going for long!!

Why not a rights issue to clear debt down, and keep the ship going
nicely to give us all a divvie?

I guess that would'nt suit some of the predatorial shareholders!!!

Anyone here think I am being too harsh?


Caveat Emptor!!!

[rochford6] 15/7/2008 05:56

from the times

Entertainment Rights

Postman Pat will get a new look this autumn. Greendale's postman has been promoted (well, it has been 25 years) and is off to the City, where he has a new range of equipment, from helicopter to personal organiser, that may help what was once a quintessentially British hero to travel better abroad. Or at least that's the hope at Entertainment Rights, the children's character company behind Pat and Basil Brush – and Caspar the Friendly Ghost, Lassie and The Lone Ranger.

The portfolio is broader than most of its competitors, running from pre-school to the teens, which definitely has some advantages. A Lone Ranger film is coming, apparently, which will help to reenergise the brand. Yet having so many properties and with debts at an uncomfortable £107 million, pruning the portfolio would seem to make sense, introducing some discipline.

Nor is the wider economic climate benign. Merchandising and licensing income tends to get hit in an economic downturn and there is less money around for commissioning new children's shows in the core British market.

At yesterday's bombed-out 4.8p, Entertainment Rights trades at 3.2 times this year's expected earnings. The market may be tough, but that is temptingly cheap. Buy at this level.

[rich2006] 14/7/2008 08:37

oops too late

[hotips] 11/7/2008 13:55

Come on you dozy lot - you promised at the AGM that you'd turn this company around, so get on with it before the share price collapses altogether.