Eros Media 26 Discussion Threads

[tsaras] 26/4/2022 04:31

Thanks grahamg8, always very insightful. I don’t trust Eros at all… still they have my money…

[grahamg8] 25/4/2022 19:54

Having merged with STX the divorce has now concluded. Bond debt is £50m appx $72m out of a total of $130m net debt. With adjusted EBITDA of $30m for 2023 there is no chance in hell that these can be repaid in April 2023. The best we can hope for is to roll over for a few more years, so the interest should be secure - failing to pay the interest would guarantee any rollover proposal would fail. Except two good hints: XET Utility tokens are said to be worth $8-80m and are in the books at zero. Second an interesting steer on 'strategic opportunities' which I take to be mergers or asset sales. Eros is certainly not in a position to be buying anything.

Hang in there, we may just get our money back. DYOR

[tsaras] 25/4/2022 17:20

Any view on Eros and bonds now? What do people think of the headlines wrt the retail bonds?

[my retirement fund] 25/4/2022 14:07

Incidentally my broker confirms there are 12 days accrued interest payable and that they still trade clean, so those awaiting their coupon should defiantly get it.

[my retirement fund] 25/4/2022 14:04

This sounds like fantastic news right?
Key Highlights

- Completion of previously announced sale of STX subsidiary

Eros to retain 15% non-voting stake in STX with long-term monetisation potential
Company has fully repaid $152 million of outstanding JP Morgan credit facility and subordinated credit facilities at STX level
- Several strategic additions to Board of Directors and management team

Rishika Lulla Singh as the new Executive Chairperson
Pradeep Dwivedi as the new CEO
Rajesh Chalke as the new CFO
- Company to change corporate name to “Eros Media World PLC” (“Eros Media”)

- Strong near-term revenue growth and significant reduction in net debt

Over $120 million in revenues expected for FYE 2023
Current Net Debt of $130 million as of the end of FYE 2022, expected to decrease to $115 million by the end of FYE 2023
- Deep and valuable content library combined with multiple monetisation channels positioned to drive long-term revenue growth and underpin capital efficient growth strategy

Eros Now to target monetisation of existing content library and new original series through global partnerships and distribution arrangements, with a focus on more profitable direct-to-consumer subscribers
Innovative opportunities such as AVOD, blockchain and non-fungible tokens (NFTs) expected to drive significant incremental upside, as well as renewed focus on growing Eros Now Music

[yate1] 19/4/2022 16:25

anybody received a coupon payment yet?

[grahamg8] 16/4/2022 13:07

Time (today) to pay up or give up. No sell off deal has been announced so we still have a chance of getting part of the action for at least a partial capital repayment.

[pyueck] 07/4/2022 14:25

Yep quite honestly who knows what is going on. Not long before the next interest payment is due, no idea if that will be forthcoming. No idea whether this sale of STX will ever complete and if so what that means for these bonds.

[cc2014] 07/4/2022 13:51

All seems to have gone quiet on here but the bond has slipped back to 26p which is perhaps where it should have been all along?

[grahamg8] 28/1/2022 06:23

ESGC.NY +30.24% on Wednesday, -18.15% on Thursday. The ultimate gambling stock. Bonds sedate in comparison. My price prediction is somewhere between 0 and 100 in the next few months. Perhaps we could manage both.

[scoobysurfer] 27/1/2022 11:46

Somebody actually buying these bonds today !

[ciaranfairmichael] 27/1/2022 11:13

Lionsgate Exploring 11th Hour Deal for ‘Hustlers̵7; Studio STX

hxxps://variety.com/2022/film/news/lionsgate-exploring-stx-acquisition-1235163635/

"In addition to Lionsgate, several other players are said to be bidding on STX though it’s unclear which suitor is in the lead (or if any substantially exceed Najafi’s offer)."

[yate1] 03/1/2022 22:31

I take it that financials will not come until STX is sold and Andy Warren no longer has to put his signature on them. Awesome!

[yate1] 10/12/2021 16:54

I don't think Eros' growth is focused on the Eros Now app anymore. They haven't rolled out an update to the app in 4-5 months.

[grahamg8] 09/12/2021 17:41

With the half year results to 30/9/20 thoroughly discredited and no year end figures we are thrashing about in the dark.

The Indian film production unit should have some value. But ErosNow is where the true potential hopefully lies. A couple of years ago $1bn+ was being bandied about. It might still happen if a bidding war can be encouraged. We were given a glimpse of what might be, in the Metrics Guidance on 25/4/21. 39.9m subscribers, 224m registered users, Global ARPU $0.52, Indian $0.30, International $10.01. I've no idea how much it costs to run a video on demand service, pretty low I would think. Then if you could hazard a profit or EBITDA what multiple would be appropriate?

The fat lady hasn't stopped singing just yet.

[1bonds] 08/12/2021 07:44

Eros still own their own (non-Stx) assets, which including their huge film library and Eros Now platform etc. So the question now is how much their assets, cash, and general value compare to their outstanding debt. We will know more once the results are published.

[tsaras] 07/12/2021 23:19

My read is that they will receive net $25mio… which will eventually go to the revolver. Leaving 0 for retail bonds

[grahamg8] 07/12/2021 18:08

Extract from todays announcement:

"At the closing of the transaction contemplated by the purchase agreement, an affiliate of Najafi will acquire STX Entertainment through the purchase of all of the issued and outstanding shares of common stock of a parent entity of STX Entertainment and wholly-owned subsidiary of ESGC. The purchase price at Closing will be $173 million, subject to customary adjustments for transaction expenses and debt, including repayment of the indebtedness of STX Entertainment, which is currently approximately $148 million."

As in many RNS announcements the words and punctuation used leave a lot to be desired. Does the purchase price include repayment of the debt, or do the adjustments to the price paid include the debt? It's the difference between ESTX receiving $25m and $173m and crucial as to whether the remaining company with bond holders in tow has a future or not.

[my retirement fund] 02/12/2021 19:17

Indian chap gave me full share price on this fraud today. Apparently some US outfit hired someone in India in about 08. Tasked to assemble a team to translate film from 2D to 3D. Very labour intensive apparently at time. Anyways it never took off and rather than all be faced with redundancy they went on to create eros which was basically an accounting scam from day 1.

[grahamg8] 01/12/2021 17:02

Shares up 5%. Someone knows something?

[1bonds] 01/12/2021 16:39

The bonds were up half point today.

[tangledupinblu] 01/12/2021 15:14

Does anyone know what’s going on with the bonds??

[tangledupinblu] 01/12/2021 15:11

Does anyone know what’s going on with the bonds??