Gvc Share Discussion Threads

[velod] 06/3/2017 21:13

Looking like everything in place and set up for a nice little bull run.

. . . Is this it? The start of finding it’s feet somewhere above the 700p+ range with some solid purpose and intent?

. . . Where in weeks to come, a possible retrace back to the lower 700p floor (but no lower) becomes blasé and elicits the same collective sigh of despondency as the old 600p support floor once did?

[hubshank] 06/3/2017 16:52

Such a civilized thread with intelligent views, unlike some of the threads I read.

[brownie69] 06/3/2017 16:26

Good to see the move back over 700p. Sounds like the market likes the new financing faciity.

[loganair] 06/3/2017 11:10

There was excited speculation regarding potential the future M&A intentions of GVC late last week when it announced a new debt deal that seemed to offer the company further debt firepower should it spot any potential opportunities.

The price of the debt now on GVC’s books has fallen from the 13 percent high of the Cerberus loan to 3.25 percent above the benchmark interest rate for Euro-denominated transactions.

GVC said the €250m was an ‘accordionR17; facility that could be extended to as much as 2.5 times the EBITDA at the time in order to pursue any acceptable buyout opportunities. Notably the revolving debt facility remains undrawn.

Excitable investors were initially prompted to bid up GVC shares on comments from GVC chief executive Kenny Alexander that “access to a broader debt investor base is important given the ongoing consolidation in the gaming industry, particularly given the Group's proven track record of successful M&A.”

However, the shares fell back again slightly at the end of the week to finish at 684p.

Analysts at Goodbody in Dublin were nevertheless enthused about the potential for GVC to embark on more acquisition activity. “The accordion facility gives the group some additional capacity if further M&A opportunities arise,” the analysts said in a note to clients.

Simon French, analyst at Cenkos, agreed that the debt deal represented a “significant development” and that it further enhances GVC’s claims to be a “major player with a proven track record in the global gaming market which is undergoing rapid consolidation.”;

[woodhawk] 03/3/2017 12:46

Yes, had some more for my ISA at 682p.

[shayadfn] 03/3/2017 12:30

true the whole sector's taking a hit, I'm scheduled to buy on Monday, possibly later today.

[festario] 03/3/2017 12:25

All the sector looks a bit messy today.... WMH, LCL, most others too, and retail is taking a hit too.

[shayadfn] 03/3/2017 12:17

Currently 680 - 680.5 on L2

[jfishy55] 03/3/2017 10:34

Is it miniscule volume because there is a large seller trying to sell to only a few small buyers? Anyone with Level 2?

[woodhawk] 03/3/2017 10:25

Moving it down on miniscule volumes again!

[shayadfn] 03/3/2017 06:40

I'm surprised that hedge fund think they can trade this stock, they may get it right a few times but the long term chart illustrates when it moves up it quite sudden, hence the potential for losses for shorters. I'm always adding, this has continued for the last 3years and been rewarded handsomely in stock value and dividend. Looking to add this morning.

[mylands] 02/3/2017 19:22

Marshall Wace increased their total short position by 0.2% on Feb 20th when the share price was 682p and today they reduced it by 0.3% when the price is 692p. Doesn't seem like very good trading to me.

[festario] 02/3/2017 16:17

I shall refrain from further predictions...

[trentendboy] 02/3/2017 13:10

Would be nice to get to 7.50 so the paper is worth more in any corporate deal.

[diviincomesearch] 02/3/2017 12:41

We had the option to purchase an interest in a Scandinavian company a while back. Due to expire this year- possibly that?

[woodhawk] 02/3/2017 12:01

Very astute reasoning there, Festario! All your own work?

[festario] 02/3/2017 11:49

Today's RNS represents prudent fiscal management and protects shareholders interests.There are NO plans to draw on the loan facility, but IF they move on an acquisition, there are LOW cost funds available on tap, which means they can move swiftly, save on costs, issue less shares as part of the agreement, and also have cash on hand to maintain dividends rather than interrupt them and compromise the share price.What's not to like? Worth 30p on the share price I reckon.

[woodhawk] 02/3/2017 11:28

I'd like to think we'd be at 750p or above prior to the results later this month.

[festario] 02/3/2017 11:25

Shall I try another of my outlandish predictions?Well, we have hung around this level for too long, and we need to leave 700p behind, so I'm saying 712p either by close today, or early Friday.

[mylands] 02/3/2017 09:25

It's shares they would use, after the re-rating that has taken place following the BWIN takeover. So, I don't think this loan is for a major acquisition(s) but for something along the lines of the recent takeover of 32red for £176 million.

[loganair] 02/3/2017 09:19

joey - I think if GVC did go after 888 or any other company they would take a short term loan out like they did when buying Bwin.

[joeywald] 02/3/2017 09:11

srp/div

I think we'd need a much bigger facility for 888 (Mkt Cap £780M)

[srpactive] 02/3/2017 09:00

div

Do you reckon 888 next?

dyor