Hammerson Share Discussion Threads

[williamcooper104] 16/2/2021 11:22

From 2020 results "The valuation of the Group's property portfolio at 30 June 2020 would have to fall by 19% to breach the newly negotiated unencumbered asset covenant of 125% in the private placement senior notes or by 15% to breach the Group's tightest gearing covenant. Net rental income would need to fall by 42% in order to breach the interest cover covenant in the Group's bank facilities and private placement notes." It's pretty clear that values have easily fallen by 20 percent since June 2020 - even for prime assets - see Trafford - and much more so for anything less than prime However that doesn't mean that our red book friends will reflect that in HMSOs valuations

[williamcooper104] 16/2/2021 11:18

£450m bonds maturing both next year and in 2023 The covid Bank of England facility expires next year too They've drawn a few hundred million from their £1.2bn revolver - hint - that's all they can draw - you draw all you can when up against it

[the original goldbug] 16/2/2021 11:07

Helpful comments WC thank you.

[the original goldbug] 16/2/2021 10:45

What’s the quantum, coupon and time for maturation of the bonds? Are they trading at par?

[williamcooper104] 16/2/2021 10:43

They need funding to execute any business plan - this isn't 2009 where you could just sit and wait for values to recover Don't need the funding today but in the next 12-24 months they will have to do something Don't get excited about undrawn banking facilities, covenants will stop these being drawn Will be very interesting to see next red book valuations On one hand the best thing for a recovery is to radically take the knife to valuations; which would then make raising equity easier - but on other hand writing down aggressively pressurises covenants

[williamcooper104] 16/2/2021 10:38

There's the two Eurobonds maturing in the next few years

[irishmatt] 16/2/2021 10:00

After the rights raise and VIA sale they should not need to raise anything more at all

[the original goldbug] 16/2/2021 09:50

Chart looks poised for a breakout here.

Haven’t had a proper look at the fundamentals. I guess the question is how long can they keep going before needing to do another financing.

Would like to think this will be a good recovery play if we start opening up.

[blure] 16/2/2021 01:34

What's your view? I can only think it will be not so favorable... Whether it has already price in with expectation of bad year.. Or it will go down right after announcement

[nickrl] 15/2/2021 11:58

A date for the diary

"Hammerson will be announcing its full year results for the year ending 31 December 2020 on Friday 12 March 2021"

[nickrl] 12/2/2021 10:50

Retail may get salvation in the budget in the way of changed business rates and some increased tax on online sellers. If the govt doesn't do something bricks & mortar retail in high sts and shopping centres will continue to shrink along with the tax revenues they earn as well leaving 100's thousands of jobs lost and in the unemployment cost line. Online isn't going away but its current onslaught is eroding the tax base so my take is they will do something and that will give some support to the sector.

[williamcooper104] 11/2/2021 22:08

Lot of de grossing over last few weeks after the GME squeeze Prime brokers cutting back leverage on short positions

[researchcentre123] 11/2/2021 22:06

Lowest level of shorts since June 2019 now

[williamcooper104] 11/2/2021 20:11

Some very brutal values on secondary shopping centres coming through £20-30 psf capital values

[finkie] 11/2/2021 19:28

Nope a breakdown to 20p looks more likely! Call the AA!

[finkie] 05/2/2021 18:45

Bit of a breakout coming 25p next week maybe?!

[williamcooper104] 01/2/2021 11:45

Topshop was the only one that had a potential brick and mortar future

[american idiot] 01/2/2021 11:16

Yeah, Green has filled his pockets (and his families) and his reputation is now in tatters.

Disgusting man.

[nickrl] 01/2/2021 11:02

Its only Topshop that has been sold without its 71 stores so they will close the remaining brands of Dorothy Perkins, Wallis and Burton are still with administrator so it remains to be seen what happens there although the omens are clearly not good.

The other negative side to this is the way Greene hoards his cash at the expense of employees and creditors. Even worse is the pension scheme is now short of £350m so that will end up being taken over by PPF and the rest of us bailing that out as well.

[american idiot] 01/2/2021 10:47

Wonder how many millions of lost rent Hammersons will lose each year as a result of todays news ?

Can only see it getting worse over the next few months.

[williamcooper104] 01/2/2021 10:35

And all Debenhams too - can see why Trafford went at 9.5 percent (note at the worst of the credit crunch it wasn't valued at much over 5)

[american idiot] 01/2/2021 10:23

Well, todays news that all Topshop group shops are to close :-(

Will effect HMSO negatively of course.

Another reason to NOT go into a shopping centre.

I await 20p !

[nickrl] 28/1/2021 14:39

The rental moratorium is due to relaxed end of March so HMSO may get it hands on some extra cash however this may also become a catalyst for more retailers/F&B to launch CVAs if they've not secured rental concessions from landlords.

No chance of cash dividend for 18-24mth imo.