Eros Share Discussion Threads

[speedsgh] 16/10/2014 13:23

riv - I'm not overly impressed by the results of the retail bond which closed before the recent panic in the wider markets had set in. It should be remembered that they raised nowhere near as much as they were hoping for upon re-listing in US + now appear to have raised just 50% of the amount they were seeking via the retail bond. And it's hardly surprising that the RNS was positive. Words are cheap, especially when they've been drafted by a PR consultant for issue by the CEO.

Despite the above I am enjoying the current swim against the tide of the share price. Long may it continue... or at least as long as I remain a holder ;o)

[rivaldo] 16/10/2014 12:16

The initial size of the bond was going to be up to £100m and it ended up at £50m, which perhaps in the current markets can be deemed a success! The RNS was certainly positive:

[smurfy2001] 16/10/2014 10:31

Do we know the success of the retail bond, l guess it went well then?

[tightfist] 16/10/2014 10:07

All the excitement here is in the shares. Meanwhile, after a bit of a sell-off on Tuesday the 6.5% coupon bonds are actually trading at a slight discount..... Seem interesting to me as income bedrock.

[rivaldo] 16/10/2014 07:45

Nice to see EROS mentioned in the same breath as Disney in terms of sector stocks to consider :o))



And interesting to see English Vinglish continuing its global success, even opening across Romania!



Foot in mouth, you simply have to report the CGT gain in the same way as UK gains. There's no difference at all in my experience of reporting gains on overseas markets.

[royaloak] 15/10/2014 23:41

foot in mouth,

Pretty certain you would just report it as a UK gain on your tax return. Assume your broker got you to fill in a US form W8-BEN. For example mine are in an ISA, doubt if Broker would allow this if any fear of US tax.
Think u would only pay US tax if you are a resident there.

[smurfy2001] 15/10/2014 23:24

Wow what a pop at the end.

So glad I've held this so long!

[rivaldo] 15/10/2014 22:57

New highs :o))

Fantastic finish - and on decent volumes too.

In the current market it's particularly noteworthy....

[speedsgh] 15/10/2014 21:26

Break out!

[foot in mouth] 15/10/2014 21:25

Wow! we finished at $17.26 tonight!

[foot in mouth] 15/10/2014 18:30

Does anyone know the tax implications for UK residents on selling shares (and making a capital gain) from trading EROS since they are listed on the NYSE?

Specifically, does anyone know if there is paperwork to be completed after selling??

[bigdazzler] 14/10/2014 20:57

Yes my thoughts are something is driving this recent price rise in these oh so weak general markets.

[smurfy2001] 14/10/2014 19:24

Well this is up again,

Inst. own 26%



Last time l posted this it was 23%

[speedsgh] 14/10/2014 16:00

Nice start. Currently trading c$16.40. Somebody building a stake? Would be nice to make a decisive break out of the trading range into blue sky above.

[monkeymagic3] 14/10/2014 15:55

Who would have thought a year or so ago that this would be one of the best growth/stable stocks in my portfolio!!

[czar] 14/10/2014 08:32

Eros is the superstar in my portfolio which is generally looking a bit ragged after the big sell off over the last three weeks. It feels like there is something going on here?

[smurfy2001] 13/10/2014 23:07

It's very volatile.

[bigdazzler] 13/10/2014 22:25

Nice to see Eros is moving positively upwards whilst many other shares are being hammered. Just hope we can get past that magical $17.

[rivaldo] 29/9/2014 12:12

A good review in the IC too:



"Eros woos bond investors

Bollywood film specialist Eros International (US:EROS) wants investors to dance to its tune. The group, which boasts an Indian film library of over 2,300 titles, has launched a retail bond on the London Stock Exchange's ORB trading platform which offers a 6.5 per cent yield and expires in 2021.

Eros, which used to be listed on Aim but floated on the New York Stock Exchange in November, is one of the first media companies to raise money in this fashion. But it’s no stranger to fundraising – it raised $92m in net proceeds from a share placing in July.

Investors should feel confident buying the bonds. Eros’s net debt stood at $126m at the end of June, or 22 per cent of its equity, so it isn’t drowning in debt by any means. It may simply wish to diversify its sources of funding.

Eros is also performing strongly. Its constant-currency sales rose 15 per cent in the quarter ended June 30, while its adjusted full-year cash profits leapt 43 per cent to $80m last year. That reflects strong demand for Indian films worldwide – Eros produces more than 70 films annually that are shown in over 50 countries.

Buying the bonds requires an initial payment of £2,000 and further subscription amounts can be paid in multiples of £100. The offer opens on 25 September and is scheduled to end on 9 October, although it may close earlier. Investors in the bonds will receive a payment twice a year, on 15 April and 15 October, starting from next April. They may also sell the bonds at any time.

IC view:

Retail bond investors can gain exposure to both the media sector and the booming Indian film market by buying Eros’s bonds. The yield is also a major draw. And Eros's shares have surged 45 per cent since May, suggesting other investors are bullish on the company’s prospects."

[rivaldo] 28/9/2014 07:58

EROS's retail bond has been tipped in today's Mail on Sunday - and they're pretty effusive about the shares! Nice to see a US-listed share get such attention over here...



"MIDAS SHARE TIPS: Bond issue by film maker Eros International offers a Bolly good income

By Joanne Hart, Financial Mail on Sunday
Published: 22:07, 27 September 2014 | Updated: 22:33, 27 September 2014

Eros International is the biggest film company in India. Every year, it makes 60 to 70 movies and its library of old titles runs to more than 2,000 Bollywood classics.

Initially listed on AIM, the group transferred to the New York Stock Exchange last November, when chief executive Jyoti Deshpande took the view that American investors were more appreciative of film companies than British ones. So it has proved. The shares have risen almost 30 per cent since.

Now Eros is returning to these shores with a £100million retail bond to be listed on the London Stock Exchange. The bonds will have a coupon – or annual interest rate – of 6.5 per cent and will mature after seven years. Investors will receive interest twice a year and the minimum investment will be £2,000.

In India, films are a national obsession. Cinemas are packed and new releases are eagerly awaited. However, the country has only ten cinema screens per million people compared with 120 per million in the US.

As the Indian population becomes wealthier, cinema groups are trying to bridge the gap, building multiplex sites, where ticket prices are higher and more films can be shown at any one time. Pay TV is another outlet for movies.

There are 140million subscribers now, but this is expected to reach 200 million in five years’ time. Increasingly, too, Indians are turning to their mobile phones to watch films. There are 850million mobile phone subscriptions in India, so the potential for Eros is huge.

It has the largest Indian film library in the world and to provide online access to the movies, Eros recently launched Eros Now, described as the Netflix of India. Interest in Bollywood is extending beyond India.

For example, a recent Eros production, English Vinglish, has been internationally acclaimed and became a box-office hit in Japan. Eros is ideally positioned to benefit from film trends both at home and abroad. Its share price was volatile on AIM, but the group has done well in New York and is now valued at $840million (£515million).

The coupon is reasonably generous, too. Eros is the first media company to access the Stock Exchange retail bond market and probably the most exotic.

Some investors may be unnerved by the fact that the business is based in India, involved in the often volatile world of film-making, listed in America and raising money here. However, the company is growing fast and bonds listed on the Stock Exchange can be traded like shares.

Midas recommended Eros shares in June 2011 at 2031⁄2p and they delisted last year at 2351⁄2p. Investors who kept with the stock have done well. The group gave them one new share for every three held, equivalent to 7061⁄2p. Today the stock is trading at $15.06, equivalent to 927p.

Midas verdict: Holding US shares is a little more complicated than owning UK ones, but investors can still trade the shares here, using brokers at Barclays or Hargreaves Lansdown. Those who are happy holding US shares should stick with the stock. Those who are not could sell now, having made a decent profit. The bonds offer income-seekers a decent annual interest rate and the price should rise after launch. Buy."

[smurfy2001] 27/9/2014 18:20

Getting good press coverage. Telegraph.

~~

Bollywood film company Eros International is offering British savers a yearly return of 6.5pc after launching a seven-year retail bond.
Eros may not be a household name in Britain but the company makes more than 70 films a year and operates in 50 countries. It has a catalogue of more than 2,300 films.

The bonds are tradable, as they will be listed on the London Stock Exchange’s Orb market. This offers investors a degree of comfort as regulation is tighter and the bonds can be sold in the market during their seven-year term.
Savers can invest as little as £2,000. Those who invest this amount will receive £130 gross interest a year. Income will be paid twice a year, in April and October.

The company hopes to raise £100m from the bond issue, which is expected to close on October 9.

Jyoti Deshpande, the chief executive of Eros, said the money raised would repay other borrowings.

The company has ambitions to tap into digital channels to reach India’s huge population, which has 865 million mobile subscribers, she added. Eros recently launched a “Netflix for India” and has a catch-up TV service.
Savers need to bear in mind that retail bonds, unlike deposits with banks, are not covered by the government protection scheme, the Financial Services Compensation Scheme. If the issuer goes bust they are likely to lose their money.

[smurfy2001] 26/9/2014 13:28

Get a 6.5% return from Bollywood blockbusters: Indian-language film maker Eros launches retail bond

Bollywood film company Eros International is looking to raise cash from British savers with a seven-year retail bond paying a 6.5 per cent annual return.

Eros operates in 50 countries, produces around 70 Indian language movies a year and has a library of more than 2,300 films, with past blockbusters including titles such as Ra.One, English Vinglish, Vicky Donor and Dabangg.

The company hopes to raise up to £100million from its retail bond, which will be listed on the London Stock Exchange's Orb market. This means it will be issued under strict criteria and can be bought and sold second-hand before its maturity date.

But cautious savers should tread with care, because if you buy company debt via bonds like this the money you make back depends on the firm not going bust. That makes this an investment only for those willing to take a risk and do their research on Ero's's financial strength.

Unlike with a savings account you are not protected by the UK's Financial Services Compensation Scheme that guards against losses of up to £85,000.

The Eros deal requires a minimum investment of £2,000 and the official closing date is 9 October, but retail bond offers often close early if they prove popular enough to meet firms' fundraising targets quickly.

Eros shares used to be listed on London's AIM market, but the firm moved to the New York Stock Exchange last year - check the chart below to see its recent performance.

Chief executive Jyoti Deshpande said: 'We are delighted to announce the launch of Eros’ debut retail bond in the UK. This bond provides exposure to a new sector for retail bond investors and will also enable Eros to diversify the sources and currency denominations of its funding.'

Eros is among a rush of other businesses seeking to borrow cash from ordinary investors. Some issue retail bonds which, like Eros's, are tradeable on Orb. This means you can make money early if you sell when they trade higher than the offer price, but you can also lose if the price is lower.

[speedsgh] 26/9/2014 10:26

Disappointing share price action the last few days. Back down to bottom of trading range, c$14? Was hoping the various investor conferences that they have been attending might have given them a boost.