International Consolidat... Share Discussion Threads

[neilrich] 08/5/2018 22:07

That's what I thought...sounds like Mr Kjos is not adverse to the idea of a sale, potentially inviting IAG to make a formal bid.

[m1k3y1] 08/5/2018 20:23

Is this a public message to encourage IAG back with a higher offer, or is he hoping to flush out another bid ?
I suspect he has only had the one offer atm.

[m1k3y1] 08/5/2018 16:44

Positive close. Now all we have to wait for is Chumps announcement later today to see how the Dow reacts.

[neilrich] 08/5/2018 16:30

I'm guessing that at least one broker has increased their price target!

[m1k3y1] 08/5/2018 16:22

Let's hope it holds the close

[chiefbrody] 08/5/2018 16:15

Could be 700p by the end of the day at this rate!

[m1k3y1] 08/5/2018 15:46

As long as chump doesn't scupper things later today !

[neilrich] 08/5/2018 15:35

Safe to say 700p before the end of May.

[neilrich] 07/5/2018 09:15

Adjusted net debt to EBITDAR was lower by 0.3 to 1.2 times.

I find this interesting and I'm trying to find the same measure for other airlines.

[m1k3y1] 06/5/2018 15:31

Personally, I would dump the shareholding if Norwegian doesn't accept the bid.
They could be sold at a profit and the shares would subsequently tank.

Any other interested bidder would end up offering substantially less than IAG had .
IAG may even be able to drop back in at a lower price later.

Lastly, Norwegian would continue to increase their losses, placing greater pressure on both Kjos and the existing shareholders to support the ongoing loss.
If walsh has any sense he will give Kjos what he is wishing for, which is a loss making airline.

Nothing new in this industry.

[neilrich] 06/5/2018 14:03

On Friday morning, Norwegian issued a statement to say that IAG had made two formal bids to take control of Norwegian. Norwegian has rejected both of them “on the basis that they undervalued NAS and its prospects”.
This is, of course, a very similar situation to what happened with Aer Lingus. Various initial bids were rejected until IAG made a series of concessions and guarantees that were attractive to the Irish Government.
It is a different game this time. The 72-year CEO of Norwegian, Bjorn Kjos, has a 27% shareholding and it will be virtually impossible for IAG to acquire 50.1% without his consent. This is why the Norwegian share price fell on Friday rather than rising, which is what you would expect to happen if the possibility of a juicy knock-out bid was expected.
IAG is not known for overpaying, and Kjos is clearly – at least in public – determined not to sell unless he achieves what others see as an unrealistic valuation. IAG may have to settle for its existing 4.6% stake and wait to see if Norwegian hits serious financial trouble.

[m1k3y1] 04/5/2018 17:50

Maybe Neilrich.
IAG will already be sitting on a gain from their holding of NWARF, as there has been a 50% uplift in the share price . Less todays 9% drop.

Norwegian will either be bluffing to try and obtain an increased bid (which is normal) , or they will actually have another , higher offer, which I doubt at this stage.

The danger for them , is that IAG say 'thank you but no thank you' and the share price drops which means that the Norwegian Board may well then only get bids from others, which are lower than that previously offered by IAG.

There are plenty of other struggling airlines out there that I am sure walsh is looking at.

Of course, the final coup de grâce, would be if willie let Norwegian go to another airline and then bid for that airline instead of Norwegian LOL.

With 7B in the bank, he has lots of options I suspect.

[neilrich] 04/5/2018 17:27

The very fact that IAG has finished the day up nearly 6% and NWARF down nearly 9% speaks volumes in my opinion.

IAG are unlikely to be finished, I'd expect a further approach from IAG very soon. The uncertainty surrounding NWARF can't be good for business.

[m1k3y1] 04/5/2018 14:16

IAG won't want to get into a bidding war for a loss making airline.
If someone else pays more , IAG will sill benefit from the increase in the value of their shareholding of Norwegian.

[neilrich] 04/5/2018 13:47

No idea, IAG shall be playing their cards close to the chest....anything could happen with regards to further bids for Norwegian!

[m1k3y1] 04/5/2018 12:52

Interesting info Qantas , thank .
So options now are to increase the silent offer, increase the shareholding with an open offer to any Norwegian shareholders, hold your shareholding in the hope of increasing later when Norwegian struggle. or walk away and hope to pick up the pieces later.

Any ideas ?

[neilrich] 04/5/2018 11:21

I'd expect broker upgrades next week. Also, April Traffic stats due Weds 9 May.

I wonder how long before we hear about Norwegian!!

[qantas] 04/5/2018 11:20

Norwegian bid rejected.

Please do your own research.

[philanderer] 04/5/2018 09:24

Flew down to Barcelona from Heathrow yesterday. U-turn back to Heathrow after 20 minutes as front wheels wouldn't retract. Fair pkay to BA , found replacement A320 and had us in Barcelona just over a couple of hours late 😀👍🏼

[chiefbrody] 04/5/2018 09:12

Just hit an all time high. Briefly anyway. Wonder if it will hold this time.....

[broadwood] 04/5/2018 08:01

International Consolidated Airlines Group said passenger revenue grew 3.4% in first three months to March 31, underpinning a 75% jump in operating profit compared to the same period last year.

Passenger revenue rose 3.4% to €4.42bn from €4.27bn in the first quarter of last year, while total revenue rose 2.1% to €5.02bn from €4.92bn.

'Our positive passenger unit revenue trend continued with an increase of 3.5% at constant currency. This trend benefitted partially from the timing of Easter. Non-fuel unit costs before exceptional items were down 0.9% at constant currency,' the firm said.

Operating profit after exceptional items rose 552% to €919m, and profit after tax, after exceptional items, was €794m, up 1,293%.

Available seat kilometres, a measure of the airline's capacity, was up 4.1% to 71.1bn from 68.3bn.

The firm said at current fuel prices and exchange rates, it still expected operating profit for 2018 to show an increase year-on-year, while passenger unit revenue and non-fuel unit costs were also expected to improve at constant currency.

[chiefbrody] 04/5/2018 07:48

Aye not bad at all. The way the market works, should be good for a few % knocked off the SP!

[neilrich] 04/5/2018 07:46

Q1 Operating Profit before exceptional was €280 million, the consensus had been €206 million.

Well ahead of expectations and therefore the potential for broker upgrade.

[hornets89] 04/5/2018 07:31

Good results and nice to see the net debt to ebitdar ratio come down