International Consolidat... Share Discussion Threads

[m1k3y1] 18/9/2020 16:22

I can't see any point in buying the rights in the market at this stage.

[tornado12] 18/9/2020 16:15

I took a flight from LHR to Moscow this week on BA233 and flight was full. People were well controlled on plane including mask control. I felt reasonably safe, but clear LHR operating at much lower payload than normal. I sold out here several months ago but see a good comeback once he vaccine comes. Need to survive until then that’s the point for all leisure focussed companies today. Just don’t see major recoveries until vaccine here folks .... The world has decided that Covid herd management is not an option and therefore only solid solution is the vaccine .... don’t see Covid disappearing by natural fortunes .... will take a punt here at some point in future GLA

[essentialinvestor] 18/9/2020 16:15

And this is not intended to be alarmist, another equity raise in 2021 can
no longer be ruled out imv, but very much a case of DYOR.

[essentialinvestor] 18/9/2020 16:13

nallen, given what is happening currently with partial lockdowns in multiple
countries again, just can't see that being the case now. RYA cut October capacity by 20% today.

[cashandcard] 18/9/2020 16:13

nallen1,


Interesting. But I wonder how the government quarantine restrictions list of countries has changed things since then? Are they still getting the volume necessary to meet that objective.


Cash

[nallen1] 18/9/2020 16:07

From their July releaseBased on our current capacity planning scenario, IAG would reach breakeven in terms of Net cash flows from operating activities during quarter 4 2020

[cashandcard] 18/9/2020 15:42

Essential Investor;

From flightglobal 2 days ago;

"BA is currently operating around 25-30% of its normal flight schedule, he (Alex Cruz) says, but warns that this figure is unlikely to improve over the winter season. The airline is burning cash at a rate of £20 million ($26 million) per day, he says"


They've bought themselves 3-4months of extra funds with the raise. They are burning through £1bln every 7-8 weeks on average - perhaps even more in the winter.



Cash

[m1k3y1] 18/9/2020 15:41

just had it confirmed if you buy the rights now at circa 43p you then have to also buy the 3 shares at circa 88p each.

example 2 rights at 43p = 86p plus 3 x new shares at 88p = 3.50 divided by 3 new shares = 1.166p

Or you can buy the shares in the market at 1.14

[essentialinvestor] 18/9/2020 15:34

Opportunities ? - how much money is IAG losing per day.

[montyhedge] 18/9/2020 15:31

Survival rights issue, I think are negative.

[soho2] 18/9/2020 15:22

If this price remains for a while, they will also drop off FTSE 100 with the dire consequences ...

[careful] 18/9/2020 15:21

maybe the underwriters want them.
nice little earner placing them at a decent profit in addition to their fee.

Someone trying to massage this share price down.
They may be shady crooks, but they create opportunities.

[waikenchan] 18/9/2020 15:16

hxxps://www.sharesmagazine.co.uk/news/shares/international-consolidated-airlines-shareholders-must-act-fast-if-they-want-cheap-iag-shares

[m1k3y1] 18/9/2020 15:06

If they can't get the rights away it must affect the share price as the underwriters will be left with shares they have to offload.

[careful] 18/9/2020 15:03

seems to be an anomaly unless my cals are wrong.

todays cap £2255m
money raised by rights. £2500m

new cap with extra cash. £4755m.
number shares rises from 1985m to 2978m.
Theoretical ex rights price 4755/2978 = £1.60.

we can buy today for 115p.

I must have overlooked something.

[careful] 18/9/2020 14:51

just checked.
These have been trading ex rights since 14th.

Being hammered.
Bght a few today, will tuck away.

Quite a mess to sort out here, the fog will take 2-3 years to clear.

[watfordhornet] 18/9/2020 14:40

It may do and I can understand if annoying people. Reality is the company is far bigger than one individual(however greedy and wrong he is).Him taking a bonus is not a reason to let the company go under and not take appropriate action

[m1k3y1] 18/9/2020 14:20

bill...agreed a total mess.

[bili1] 18/9/2020 14:11

Hi M1K3yI,
Thank you for your input.......yes you are of course correct but that seems water under the bridge,I am just trying to recover as much as possible.
I have just spoken to my broker and discovered the rights are valued at 44p?(13.00)
Real box here perhaps leave decision until the 22nd.
What a mess.
Thanks again

[m1k3y1] 18/9/2020 14:07

Ham....it was around that for the rights. Between 84 -88 depending on conversion rate and commission on currency exchange.

[careful] 18/9/2020 14:07

if we buy today are we entitled to the rights?

[hamhamham1] 18/9/2020 14:02

I think it will hit the discounted share price, was it 88p?

[cashandcard] 18/9/2020 13:32

loganair14 Sep '20 - 12:30 - 19553 of 19737

How can IAG be a long term buy?

1. BA have already acknowledged that they have permanently lost some of their high margin, high profit corporate passengers.

2. BA have already acknowledged they are going to have to fly more low margin, low profit tourist passengers and take on the likes of Easyjet, Wizz and Jet2 which they are not built to do.

3. This is why IAG are so desperate to get their hands on Air Europa, a low cost carrier to Central and South America.


Therefore it seems to me IAG is a 'I wouldn't touch it with a barge pole' share.

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Agree, they have dithered for too long and are now trying to raise funds at any cost. Shocking management. The others they are trying to compete with in a slimmed, low margin no-frills travel environment have already raised their financing when the market bounced.



Cash