Eros Share Discussion Threads

[smurfy2001] 20/9/2017 09:44

Stock has doubled in no time

[spectoacc] 17/8/2017 08:20

"Opaque" at best. Still - the shorters haven't been right so far, & market cap still sufficient to think they can raise yet more cash. Alternative isn't great for bondholders but it'd be catastrophic for shareholders.

[lonrho] 17/8/2017 08:18

In terms of balance sheet value about 2/3 thirds of it appears to be outside the quoted indian subsidiary, roughly $600m.

[spectoacc] 17/8/2017 08:04

Thanks @lonrho, didn't know that - thought they were senior but unsecured.

The other thing I wasn't sure about was where the ownership of the content library resided?

[lonrho] 17/8/2017 07:36

Spectoacc

The bonds moved from unsecured to fully secured in April 17 when they were given security under a negative pledge clause to match the RCF which became secured at the same time. Since then the RCF has been significantly paid down. Haven't a clue what the security is on must be either over some shares in the quoted Indian subsidiary or the program library.Having said that the security better be good because the company appears to be in a severe liquidity crunch and Eros has continued to sell shares in its quoted Indian subsidiary since the recent results announcement.

[spectoacc] 17/8/2017 07:19

Indeed. Obviously heavy dilution the best option for us ERO1 bondholders (though "sale rumours not credible" seems a little harsh - the catalogue has value). But even their worst-case of bankruptcy shouldn't leave the bondholders with nothing.

After years of rumour & counter-rumour, can't rule out more of the same.

[smurfy2001] 16/8/2017 19:31

Eros: Roll The Credits

Summary

We believe Eros is facing a liquidity crisis.

In our opinion, recent sale rumors are not credible.

In a best case scenario, we believe Eros will issue equity and massively dilute shareholders.

A worst case scenario sees the SEC fail to approve Eros’s shelf filing and the company file for bankruptcy.



--

Be interesting to see if the bears are right.

[loglorry1] 08/8/2017 16:16

It's just a ramp to sell new shares they filed a shelf for. If they had a serious buyer on the hook they'd have been daft to have been selling down shares the subsidary company in India (where the IP resides) as late as last week.

[speedsgh] 08/8/2017 16:12

Bollywood production company Eros wants Silicon Valley to buy its $1bn library -

A Bollywood production company is seeking to lure Apple, Amazon and Netflix into bidding for its film and music library amid demand for greater exposure to the world’s fastest growing market for internet services.

Eros is in early talks with the American companies over the sale of its library, which holds more than 3,000 Indian films and could be worth about $1 billion, according to local reports.

The production house is understood to have started a review of its options about six months ago and had sought to strike agreements with leading domestic broadcasters.

The potential sale comes after Netflix and Amazon launched platforms in India last year and amid a power struggle between the two to dominate the Indian market...

[spectoacc] 08/8/2017 06:50

If they actually manage a deal (if), a 44 day, 28% short position would make for a very interesting market.

[smurfy2001] 07/8/2017 17:59

There are a number of shorts on so was no surprise to see this article pop up. I don't believe the poster has no short position.

Short Interest (Shares Short)
10,103,600
Short Interest Ratio (Days To Cover)
44.0
Short Percent of Float
28.68 %
Short % Increase / Decrease
2 %
Short Interest (Shares Short) - Prior
9,915,000

[speedsgh] 07/8/2017 17:45

Eros: Take Rumors With A Grain Of Salt -

[smurfy2001] 07/8/2017 15:13

Very high volume let's see how this pans out.

10.55
+2.35 (28.66%)

[smurfy2001] 07/8/2017 14:45

It's on Macrumours.

[smurfy2001] 07/8/2017 14:39

9.60 +1.40 (17.07%)

Someone trying to offload stock or a little short sqeeze ?

How could a company valued at $500m offload content at $1bn?

"Eros International had said that the company has decided to move away from large-scale acquisitions and focus on co-productions, a move which industry experts say fuelled more from the cash crunch situation and recent big-ticket failures. "

[smurfy2001] 07/8/2017 14:34

"Eros Now, billed as the Netflix of Bollywood. "

LOL!

[spectoacc] 07/8/2017 14:31

I bet this leaked and was the reason it ran up so much pre-results. When no mention of it in results, back down it came. (Ignoring that the results themselves could have caused that - but the run-up was decidedly odd).

[speedsgh] 07/8/2017 14:29

Eros Group in talks with Apple to sell its content library of movies and music for around $1 billion -

Eros Group to sell content library of movies, music to Apple Inc for $1 billion? -

[smurfy2001] 03/8/2017 15:26

Eros claims to be “well-capitalized” yet plans a shelf offering. The company also sold shares of its key Indian operating subsidiary the very day of its earnings release.

The company reiterated a claim from early April that it is in advanced stages of negotiations for a debt refinancing deal, yet it still has no deal in place.

The company is facing spiking financing costs which are +463.6% q/q; Short-term debt and contractual obligations due within one year stand at $262 million.

Past accounting questions appear to have intensified.

Eros announced a near doubling of its content library, yet we find zero CY 2017 movies “Recently Added” to its ErosNow website.

[blusteradjuster] 03/8/2017 06:15

The subscriber growth looks breathtaking at first glance.

However, there's no breakdown of recurring, one-offs, premium users etc.



"Eros Now is on target to achieve 6-8 million paid subscribers at the end of FY2018. Eros Now expects that with encouraging trends in the local markets in the form of crashing data costs and smartphone costs, content consumption through over-the-top (OTT) platforms will benefit tremendously in a growing digital environment."

[smurfy2001] 28/7/2017 17:57

Eros international qtrly loss per share $0.04

[smurfy2001] 28/7/2017 17:55

Terrible results.

As of March 31, 2017, Trade Receivables increased to $226.8 million from $169.43 million as of March 31, 2016 mainly due to significantly higher catalogue sales in fiscal 2017 compared to fiscal 2016 where Eros had held back at least $40 million of catalogue sales in the last two quarters. Catalogue sales have payment terms that sometimes extend up to a year. We have collected over $25 million of fiscal 2017 trade receivables post balance sheet.

[loglorry1] 14/4/2017 19:44

It will cost something to run the streaming service. Since the number of free users vastly outweigh those paying it's not clear how profitable it will be. The pre installed apps are one thing but how much do eros pay for this? How many convert? There us just no visibility.