Hammerson Share Discussion Threads

[researchcentre123] 19/5/2020 15:07

hxxps://www.moneyweb.co.za/mny_sens/lighthouse-capital-limited-equity-raise-in-consideration-for-cash-or-specified-listed-shares/
Lighthouse are raising another 90 million which they can use to buy hmso shares. Given their shareholders I think they know exactly where the money is coming from

[ranji] 19/5/2020 13:59

Hammerson shares a buy the lockdown is going to finish a hammerson are a buy

[researchcentre123] 19/5/2020 12:50

I can't quite understand the idea of shorting these other than hoping people have lost their reason. The last time there was a recession the cash that was printed fed thru into a doubling of property prices. This time they are printing more cash. If that happens then you've got assets of £14bn against liabilities of 3bn....£11bn net assets and you can buy the lot now for £475m or 1/22nd the net asset value. Ironically you can buy the entire company now for what Orion were going to pay for 6% of it 2 months ago.... And all because people have stopped shopping for a few months.

[whites123] 19/5/2020 12:36

The rise during the past few days despite increase of short positions suggests that either those increasing the shorts are exceedingly confident of downgrades, or are mitigating reduced profits and stalling the inevitable runaway share price

Lighthouse role in this is what is interesting...

All we need is Chuck Rhoades and Bobby Axlerod and we could make a film out of the events here.

Market is determined buyers vs sellers, on a simplistic playing ground it was easy to determine what was going on.

Now add to that short sales and it distorts and confuses.

Funds always flock en-mass to short stocks, but alas never rally together when a stock is rising by buying long positions.

Its the vulture mentality and I hope very much that the share price carries on rising, reducing the profits made by short sellers and if the stars align as I hope there will be a short squeeze on.

[okosling] 19/5/2020 12:19

The last time I looked at the short interest on HMSO one week ago, it was 11.14%, and has gone up even further, now 12.79%. That's 98 million shares which must be bought at some point to close these positions.

[whites123] 19/5/2020 12:01

Not all rental is going to be missed.
Government grants were given not so these outlets could forgo paying but to mitigate the impact of them not opening. So they could still pay their bills.

Certainly some will not pay, but many will use the grants for what they were intended. To pay their rates.

I have a couple of units which I received grants on. The very first thing I did was to pay my bills.

The core value here is compounding. I do wonder somewhat whether the shorts were over zealous, and now the world economies are unlocking and Boris wants retail to open up could they have got it wrong?

I for one thought 2020 was going to be wiped out.
Who would have thought that just 7 weeks later I would be up and opening a couple of my enterprises.

I also believe that there is an army of people with cash burning holes in their pockets. Many furloughed on 80% pay yet with no expenses such as fuel, travelling costs, child minders, eating out and the list goes on..

Certainly I would near as damn it say that 100% (Very close to) of friends, relatives and associates I mix with all are financially better off.

I think we could see a retail boom, although the ANALysts will not want to predict this in the same way as main Stream Media do not wish to report on anything positive.

I can see a very quick rebound to + £1.50 to be frank and honest. I hope I am correct as I have now taken a position here.

[researchcentre123] 19/5/2020 11:31

So what have you got? With this virus they've lost their income for the year, but the govt have loosened up planning which should help them no end with all their sites - like converting that 1.4m sq ft office building they are developing into residential at 3 times the price. This share was underpriced before the virus and now hugely so. Given the distribution of shares out there with big chunks in institutions, if someone comes along with a viable plan to unlock value, I don't think they'll have any problem getting support on how to implement it. Perhaps Lighthouse have some plans along these lines? There's NAV of 600p so the key is how to unlock it. I would have thought it was an attractive proposition to quite a few large funds.

[ny boy] 19/5/2020 10:39

Markets waking up to how under valued this one is! Back over 100p in short/medium term, accumulate on dips imo

[letmepass] 19/5/2020 10:38

Get ready for the 11am drop

[bolador] 19/5/2020 10:32

Whites123
Very interesting, share price looks better today, hopefully short covering will gather speed as it usually does when bears have gone too far.

[researchcentre123] 19/5/2020 10:31

Perhaps Lighthouse took the shorts by surprise - a long term investor in a sea of short term investors. Effectively the shorts have very considerately been subsidising Lighthouse's purchases. I suppose it's a short term strategy - try to force a low price by mass selling so price goes down, stop losses kick in and people panic. It does assume though that investors are short term only rather than people who look at the intrinsic value of what they have, and I think new buyers must see that they are buying something at 1/10th the asset value - not a deal you can complain about really.

[bookbroker] 19/5/2020 10:31

Lighthouse more likely to angling for HMSO to raise capital in some sense, when you find a fund coming in at the bottom they will wish to play a part in the re-financing of this company, and to provide some clout with regard to talks with lenders and bond holders.

[whites123] 19/5/2020 10:21

I pondered and spent past 4 days looking at HMSO.

Value of assets is very strong. Holding some very desirable properties and with government being seen to not throw companies to the wall there will 100% be no debt sales.

Lenders are being helped as well as distressed outlets.

HMSO is actually in a remarkably better position than many, and I did wonder about why such a drastic collapse. Of course the Coronavirus and lockdown answered that, but it did appear to be very overdone.

SHORTS.... This day an age one really should look at short positions before anything else.

They have essentially rounded en mass and sought to ensure the destruction of HMSO as best they can.

Now with Lighthouse showing an interest and more savvy investors showing an interest could we be in for a short squeeze?

The simple answer as far as I can see is shorts will start closing, whether there is a rush to protect their gains remains to be seen, but a steady climb back above £1.50 and beyond surely is on the cards.

[researchcentre123] 19/5/2020 10:15

It doesn't seem to be a lot on the scale of things - £143 million and they have some time to sort that out.

[tomboyb] 19/5/2020 10:12

Looks lovely -

Into the 60s -

[ny boy] 19/5/2020 10:11

Short/medium term targets

Resistance1: 119.84p Resistance2: 193.55p

[williamcooper104] 19/5/2020 10:04

It's more likely that lenders will do all they can to get a rights issue They'd far rather that (most of them - buyers at a discount or lenders who've hedged vie cds could take a different view) The 2021 bond maturity is a worry - should have been refinanced in 2019

[researchcentre123] 19/5/2020 10:01

That's true! Actually I never got the whole fuss earlier as this company seems to be in much better shape than many out there. There's a huge margin of safety with the high net asset value and the nice thing is they are tangible assets rather than Goodwill etc which is less certain

[bolador] 19/5/2020 09:41

William C
Maybe so but who said anyone wants to pull the plug on a solvent company ?
Any distressed fund would have to pay a high % of the face value so would not even try at this stage there being no formal breaches.

Lighthouse or others can unlock this nav without any rough stuff.

[researchcentre123] 19/5/2020 09:41

I just don't think it would make sense for anyone to crystalize losses in the current environment when you can avoid by holding. The nature of a creditor tends to be a longer viewpoint

[williamcooper104] 19/5/2020 09:23

Who said their creditors are banks High street lenders absolutely do not want to pull the plug on a high profile Ftse companyBut they can just sell their loans to distressed debt funds who have zero reputional problems with enforcing Unlike 2008 banks have the capital to take their losses on a distressed loan sale

[researchcentre123] 19/5/2020 08:59

I think 2 things in particular will make a big difference to hmso. 1. Good news on the vaccine front (mid to late June on Oxford trial) and 2. any announcement about chats with hammersons bankers that they are not too worried about financial covenants for the moments as has happened (This assumed that hammersons bankers live on the same planet as the rest of the banking community who are working with their clients rather than against them in the current climate). I think any bank would be foolish to take a 1980s approach and go against govt policy after the Tomlinson report after the last recession.

[tomboyb] 19/5/2020 08:33

Up to 60p now -

[sr2day] 19/5/2020 08:33

irrespective shorters must be considering their positions as lockdown being lifted everywhere..another 10p on the share price would be great.

[s34icknote] 19/5/2020 08:24

Light house rns by lunchtime ?Sicknote