Intu Properties Share Discussion Threads

[muffinhead] 29/11/2018 17:52

Market wants blood, so a victim is needed to prove all bricks and mortar has to revalue bigtime with lower rents to compete with online retail. Creative destruction of the free market. As help not coming from any other source, very low rents are needed for high street in the current format to have a future or force reinvention

INTU to fail

[monte1] 29/11/2018 17:15

There is no fool like an old fool as the saying goes.

[strathroyal] 29/11/2018 16:51

JW still has to be the most likely buyer here but he has presumably decided that he can buy this cheaper than £2. What he needs now is someone else to come in with an opener of, say £1.50 and he can then come straight back with a revised, lower bid of £1.80. I don't see him walking away from this with significant losses.

Ashley may well be a chancer but he's also in the stronger position at the moment. Could he form a consortium for an initial bid, then drop away for JW to come in, buy INTU and let MA have his concessions at the lower rents he wants? Wouldn't that make everybody happy?

[escapetohome] 29/11/2018 16:19

I sold my small stake just after the offer, and pleased i did.

Now im looking for a re entry.

Was tempted by the rise to 1.30 to buy, but my finger did not press down on the button.

It is now sub 1.20 and could fall lower, im targeting a nice round number ———;- £1.

Thats my target to buy at £1.

[yump] 29/11/2018 16:01

Oh I thought the word 'decent' might be a freudian slip.

[tsmith2] 29/11/2018 16:00

not really.no position

[yump] 29/11/2018 15:49

That would be nice wouldn't it.

[tsmith2] 29/11/2018 14:20

120 support, if this is breached then could see another decent leg down

[andyj] 29/11/2018 14:12

At first glance an incredibly cheap price, but it is really hard to find a reason to buy them. High debt, a declining business model, two suitors have walked away and now the dividend will bout to who knows what.

[eipgam] 29/11/2018 13:38

He didn't say that, the Sunday Times did...

[ph1ts] 29/11/2018 13:26

montyhedge Ashley has already said that he would do just that to punish INTU for not letting him have HOF rent free!

[profitaker] 29/11/2018 13:23

Watching someone cut off their nose to spite their face is rare, but not unknown I agree. Even if he did, it's 15 units, generating £5m in rent, or 1% of revenue. I think INTU will survive without him.

[montyhedge] 29/11/2018 12:51

Bricks and Mortar shops are finished, warehouse's the place to be. All you need is Ashley to pull Sport Direct and down shareprice goes again, in my view.

[profitaker] 29/11/2018 12:39

The NAV discount here is 57%. The yield is unknown, but even a 50% cut (way too drastic ?) would yield 5.5%

It's never gonna set the world on fire but it's a good solid income stock underpinned by assets at a substantial discount. And you never know, there maybe another bid once Brexit is done.

[essentialinvestor] 29/11/2018 12:14

TRC, this looks on the high end of the risk scale to me,

You can buy LAND on a near 40% NAV discount with a 5% current yield
and LTV around 27%.

I'm not making a case for buying Landsec atm, just mentioned for comparison with Intu.

[trcml] 29/11/2018 11:52

With respect, your dropping your retail rent 30% to keep your tenant is too subjective. In the current market, it is essential to be both objective and location-specific otherwise the wrong conclusion can be drawn. I advise landlords of retail shops and am continuing to achieve rent increases.

[eipgam] 29/11/2018 11:11

Interesting comment, m24... are you a (smaller) retail landlord?

[mike24] 29/11/2018 10:16

commercial/retail prop going to have a tough few yrs
whatever brexit outcome,
dropped my retail rent 30% to keep tenants, the legal battles/fees
can drag on for months, on notification to vacate,
(greggs will y please buy f' freeholds)

[eipgam] 29/11/2018 10:13

On paper, JW would appear to have lost a lot of his wealth in this episode. He owned nearly 30% and made loads of purchases around £3 per share. He may come back in 6 months, or whenever takeover rules allow, with a reduced offer

[catsick] 29/11/2018 09:48

Bought a cheeky clip at 123, things are not great but at these levels there will be another approach...

[dgarvey] 29/11/2018 09:43

Interesting that Intu virtually parrot the same line to justify a dividend reduction, that the bidders used for the decision not to proceed.'However, given the heightened macroeconomic uncertainty and the reduced pool of potential buyers at present for UK shopping centres, asset disposals are expected to be challenging to deliver in the next few months'Internet shopping eats into the economics of expensive shop rents.