Hammerson Share Discussion Threads

[riostroy] 12/5/2020 08:17

Disappointing every day.

[researchcentre123] 11/5/2020 21:19

While they're running they're expensive to run. Once they're closed there's no cleaning, wear or tear just mainly security and occasional checks over burst pipes etc- absolute skeleton staff and no rates. Interest is the main expense. If they can come to an arrangement there they are in the clear. If I were them I'd be speaking to the lenders but how proactive they are remains to be seen

[williamcooper104] 11/5/2020 16:17

It really doesn't just stand there still ready to open in a year Shopping centres are operationally geared assets with high maintenance capex requirements

[researchcentre123] 11/5/2020 15:39

I think it's a mistake to compare a property company with a service company and the stock market lumps all companies together. But if a service company closes for a year, its staff leave and there is nothing left. Do the same for a landlord and the buildings are still there.

[researchcentre123] 11/5/2020 15:21

So it seems to me that it's a good company with relatively low debt but one that just doesn't have a lot of cash - but it doesn't need a lot either as staff are furloughed. Property basically stands there if you leave it like when you go on holiday. The share price is low as people are shorting the stock and only looking at this years earnings but over a couple of years it has to be worth 3 or 4 times the share price today as a very minimum. The vaccine will be out by the end of the year....this breaching of covenants is just noise by the shorters

[s34icknote] 11/5/2020 15:09

A company paying 25 p dividends for last five years They only cancelled the doc because of Covid !Hardly a struggling company !Resuming next year on a lowly 14 p!Sicknote

[researchcentre123] 11/5/2020 14:59

Exactly. So they would be better off breaching their covenants as unlike intu they were in reasonable shape before this crisis.If they breach their covenants then they say "Sorry - just give us a few months and we will be back to normal.' it seems odd there should be one rule for the tenants and another for the landlords

[s34icknote] 11/5/2020 13:58

I believe the government has told banks to help not foreclose !!!! On technicality !Sicknote

[researchcentre123] 11/5/2020 13:43

Let's say they have breached their covenants. Is a lender really going to repossess in the current environment? Seems highly unlikely. Then they'd be stuck with the property. Seems more likely they'd give a temporary break on it whilst the pandemic plays out then shopping starts coming back

[riostroy] 11/5/2020 12:42

Disaster -7% almost each day

[williamcooper104] 11/5/2020 12:01

Can't see the CEO being at helm for the rights issue (It wouldn't be his first rescue rights issue :)

[researchcentre123] 11/5/2020 11:50

Well the MD has quite a lot of stock - can't see him wanting to screw himself diluting too much as that's his pension gone

[bolador] 11/5/2020 11:30

If the co has to fund raise then an equity/bond issue might make sense.
The rights issue would strengthen the balance sheet enough to make the issue of a bond viable whilst limiting dilution of equity.

[williamcooper104] 11/5/2020 09:53

Rights issue works at a massive discount to share price Old equity gets totally screwed by new equity

[s34icknote] 11/5/2020 09:02

Orion to come back and bid 1.5 bn ?The French company in 2018 that bid 625p ? Comes back ?Some one will soon if the price stays low !Sicknote

[s34icknote] 11/5/2020 09:00

They have taken 100 million so far from facilities of 1.2 bn available .Saved 113 million on the dividend and 21 million bank from Orion .This covers around six months income with what they probably have taken in .Why would they go for cash call ?Hedge funds betting against the company .Sicknote

[researchcentre123] 11/5/2020 08:41

Can anyone tell me how a rights issue would work here? They need 500 million which is roughly the market cap so do they issue one share for each share out there at the same price or what?

[eater24] 11/5/2020 08:34

FT highlighted funding issues here, rights issue perhaps.

[eater24] 11/5/2020 08:34

FT highlighted funding issues here, rights issue perhaps.

[s34icknote] 11/5/2020 08:20

I cant find anything , and nothing on lse Was hoping lighthouse increased ?Sicknote

[riostroy] 11/5/2020 08:12

There is a news sign - can anyone see what is it about?

[researchcentre123] 11/5/2020 07:31

Lighthouse look like they know what they are doing as they are specialists in this area. If I offered you a million pound house for £80000 would you take it? That's the discount to net asset value offered by hammerson stock and I think Lighthouse can see that.

[sr2day] 10/5/2020 12:10

Lighthouse Capital who has increased their holding to 5% on the 6 May may have other ideas.

[flyfisher] 10/5/2020 11:55

Both JPM and Lazard were appointed a few months ago to sell value retail.
Would private equity see this as a good opportunity to buy from a distressed seller.
What is it worth in the current market?

[williamcooper104] 09/5/2020 02:34

And then Elliot flew in to try and right the ship, put management into special measures - took fright, ran away - leaving HMSO management all with their jobs It's true that the best management in the world would have struggled in retail - but HMSO really have excelled at making the worst of a bad situation