Hammerson Share Discussion Threads

[researchcentre123] 11/4/2021 07:12

Do you have a copy of the article you could post please?

[pdosullivan] 11/4/2021 02:18

Indeed. Retail parks have been a relative out-performer. As I see it, the main thing for HMSO is that, if confirmed, this will pare net debt to below £2bn.

[williamcooper104] 11/4/2021 02:01

The retail parks haven't tanked as badly as shopping centres A minority interest in bluewater is hitting the market soon at an 8 percent asking price

[pdosullivan] 11/4/2021 01:58

Sunday Times reporting that HMSO has agreed a sale of its retail parks to Brookfield for around £350m. That's a good outcome. Before the pandemic it had agreed a £400m sale which fell through, although HMSO trousered a £21m non refundable deposit. If confirmed, to get a total of c. £371m versus a pre-Covid £400m surely has to be seen as a satisfactory outcome.

[researchcentre123] 10/4/2021 19:46

https://www.fool.co.uk/investing/2021/04/10/2-penny-stocks-id-buy-right-now/

[return_of_the_apeman] 10/4/2021 15:36

Brace yourselves :-)





Trading tracker



High consumer confidence + pent up demand + money to burn from lockdown meets longer opening hours and sales

The excuses to not pay rent will evaporate imo

We shall see

Gla

[davvero] 07/4/2021 12:17

TODAY'S HARGREAVES AND LANSDOWN MESSAGE (RELEVANT EXYRACT BELOW)

"Why are Hammerson offering an enhanced stock dividend?

“The Enhanced Scrip Dividend Alternative assists the Company in meeting its REIT PID and SIIC distribution obligations whilst retaining cash for future operating and capital expenses. In light of the ongoing COVID-19 pandemic and its effects on the retail sector, the Board considers that the Enhanced Scrip Dividend Alternative is the most prudent way for the Company to seek to meet its REIT PID and SIIC distribution obligations.” (Source: Announcement to London Stock Exchange, 12 March 2021)

Do I need to take any action?

No. Hargreaves Lansdown will automatically make this application on your behalf

================================

I am expecting a similar message from IWEB.

FIDELITY still refuse to do a similar action even though they said as a nominee they operate no different than the above brokers. FIDELITY customers, like me, are paying a very costly punishment, for being FIDELITY customers

[return_of_the_apeman] 07/4/2021 10:25

Vaccine passports for shops not going to be required now apparently :-)

[flyfisher] 07/4/2021 09:07

Re - debt, their is no stress in hammerson bonds, prices for which have been firm this year.

[return_of_the_apeman] 07/4/2021 08:53

Still very quiet here, perhaps as the daily rises are not enough to get noticed
At the start of June last year the share price rose from around 37p to 68p in just 5 days
Shops open in 3 trading days time

[return_of_the_apeman] 05/4/2021 22:19

French assets are beinģ disposed of - this will bring in some cash

[pdosullivan] 05/4/2021 20:57

There is £150m of debt maturing in H1 which is easily covered by cash at hand, which stood at £400m at the end of 2020. If the retail parks disposal is revived they might fetch £350m in this market. That and remaining cash at hand takes care of maturities up to 2023. In this scenario, and assuming end-markets recover strongly post-Covid, refinancing the debt should be very manageable.

[hopan] 05/4/2021 20:07

What worries me that if assets values go south further, the rating of the company will suffer which will make it harder to refinance the debt. Even it is refinanced, the interest cost will be high and there is a chance that rent income is not enough to cover (at least during Covid times) interest payment...
And all the cash (or most of it) looks like they are restricted due to the renegotiation of debt caveats.
All in all, the market is not pricing by looking at 82p (or 78p diluted) NAV. They are focusing on the debt and default risk. That's why CEO keeps telling about the debt and stabilisation the ship.
I don't think e-commerce is a threat in the long term (we peaked around 35% of all retail sales). They have changed the rent model to revenue sharing one. They have plans for mixed use. All positive. There might be a further potential decrease in NAV but not much in my opinion with all the quantitative easing putting floor.

It is a great business and has a future if the CEO:
- can renegotiate the debt for longer term and lower interest rate
- raise more capital from shareholders (maybe around £300-500mio) to stabilise the ship.

If these things happen, then the future is bright for Hammerson.

[pdosullivan] 05/4/2021 18:53

I am arguing against myself here as I am a shareholder in HMSO but the risks to the NAV are skewed to the downside. Specifically: nearly everyone will take a NAV dilutive scrip dividend; further disposals may be at a discount to book value; operating performance is still wooly; property values are unlikely to stabilise in 2021 from last year's double digit decline; and the yield outlook is real estate negative.

[return_of_the_apeman] 05/4/2021 17:39

82p in written down assets that used to yield circa 25p per annum in divis

Value is apparent here imo and in a weeks time when shops re-open we shall see shoppers return - the path leads us to a return to pay up your rent or fold up your shop. I expect many to pay up.

It's a small amount of patience really for a very decent reward

Gla

[researchcentre123] 05/4/2021 16:57

Well the nature of this share is contrarian - if you just want what everyone thinks is good, you'd buy Amazon. This share is for people who think that the share is relatively unloved in relation to it's assets ie share price 33p assets 82p so it shld move towards net asset value as the economy reopens.

[hopan] 05/4/2021 08:13

Sorry but every time I see this type of articles I feel uncomfortable...it is contrarian view..

[researchcentre123] 03/4/2021 09:18

https://www.fool.co.uk/investing/2021/04/02/should-i-buy-hammerson-shares/Seems positive

[return_of_the_apeman] 02/4/2021 22:12

And Blackrock increased their position a couple of days prior

[1hughb] 01/4/2021 16:15

Morgan Stanley buying again.....

[williamcooper104] 01/4/2021 09:39

Lendlease is considering relaunching the sale of its 25% stake in Bluewater, React News can reveal. The Australian firm is nearing a £90m sale of its Touchwood shopping centre in Solihull to Ardent Companies and is under pressure to return funds to the investors in its Lendlease Retail Partnership fund. The stake in Bluewater is the only other asset remaining in the vehicle, which was due to expire in 2017 but has been extended as a result of the problematic retail investment market in recent years.Eastdil Secured was appointed to advise on a sale of the stake at the start of March last year, just before the pandemic took full grip, but a marketing campaign never truly kicked off in earnest. The firm has been retained to undertake any renewed process.Person, Human, PedestrianOnce the sale of Touchwood completes the stake in Bluewater will be the only asset in the Lendlease Retail PartnershipA year ago Lendlease had been seeking a price of £370m to £400m, which at the time reflected a yield of between 6% and 6.5%, although those close to the 1.8m sq ft mall said that any relaunch would likely see expectations dip to between £250m and £300m. At the end of the first quarter of 2020 the stake was valued at £336.1m.No formal decision to market the stake has yet been taken but it is possible that it will kick off a few weeks after the reopening of non-essential retail on 12 April, prospectively at some point in May, at which point some new footfall data will be available. Lendlease was in exclusive talks to sell the stake to Axa IM Alts – Real Assets in 2018 for around £510m, around double what it is likely to be worth now, but after prolonged negotiations the deal collapsed.Not an easy sellThe ownership of Bluewater is fragmented, meaning that non-controlling stakes that do not come with the management mandate for the centre have been particularly illiquid in recent years.Landsec owns a 30% stake in the mall, as well as managing the asset for the other owners, whilst GIC owns a 17.5% stake which it also attempted to sell for £400m in 2018. The other owners are M&G Real Estate, which owns a 17.5% stake; Royal London Asset Management, which owns a 7.5% stake that it bought in 2017 from Hermes for £155m and Aberdeen Asset Management, which owns 2.5%.Whilst the UK shopping centre market has been under tremendous pressure due to the pandemic, which has exacerbated pre-existing fundamental difficulties caused by the rise of online retailing, there are some signs investment volumes could pick up somewhat off an extremely low base. With banks now starting to take a more proactive approach to distressed situations and owners more willing to cede control, combined with the sale of Touchwood as a benchmark, buyers and sellers are getting closer to understanding pricing and what fair value is.

[kibes] 31/3/2021 17:12

Ex dividend date is tomorrow according to the Hammerson RNS. Those who hold the shares can elect for scrip option until 20th April. Mine are held with ii and they say they will do it. I suppose the price will be down tomorrow to reflect the ex-dividend but we shall see.

[davvero] 31/3/2021 14:38

return_of_the_apeman, catsick....
thanks guys, Yes I am following your wise words...too late for me this time as my shares are in ISA and takes months to transfer BUT I am leaving FIDELITY (can't believe to have been decades with them to be treated like this!)... who are your brokers, please? if they do scrip I might choose to go to yours.

[catsick] 31/3/2021 05:20

The record date is 6 April so can still sell them and buy with a broker who will let you take scrip, only issues are cgt of losses/gains , I would guess as they have done this before this discount on scrip will be a feature so makes sense to sort your holdings to a place where you don't miss out

[return_of_the_apeman] 30/3/2021 18:22

Vote with your feet and move to a broker who provides it

Nice strong finish - back to 43p and beyond? We shall see

Gla - less than 2 weeks until shops open now