Marston's Share Discussion Threads

[jeffian] 26/7/2018 14:38

There seems to be a misunderstanding about "lease arrangements". Certainly MARS have some premises which they hold on normal commercial leases for a term (e.g. the Pitcher & Piano high street bars) but the vast majority under "lease arrangements" arise from a straight financing transaction - sale & leaseback arrangements with the freehold reverting to MARS at the end of the term. This from the AR -

"In recent years, the Group has entered
into lease fnancing arrangements which have a total value of £301 million as at
30 September 2017. This fnancing is a form of sale and leaseback agreement whereby the freehold reverts to the Group at the
end of the term at nil cost, consistent with our preference for predominantly freehold asset tenure. The agreements range from 35 to 40 years and provide the Group with an extended debt maturity profle at attractive rates of interest. Unlike a traditional sale and leaseback, the associated liability is recognised as debt on the balance sheet due to the reversion of the freehold."

[careful] 26/7/2018 14:19

We are forced to trust in the management.
It reassures me that the CEO has been in the company for many years.
He will have witnessed many changes and disasters within this industry.

We shall just have to wait and see how this strategy plays out long term.
right now investors seem shy. But whole sector is unloved.

[careful] 26/7/2018 14:14

I would have thought that this must be an ideal time to drive a good bargain for long term lease arrangements.
So many pubs closed and boarded up.

Similar to the large empty high street shops.
No chance of a buyer.
property companies are facing demands for lower rents.

Long term lease arrangements could be the right strategy.

[tim 3] 26/7/2018 11:39

Good point EI.I also think investors are uncomfortable with the high level of debt and we certainly do not want to see that increase.

[essentialinvestor] 26/7/2018 11:32

MARS better be highly selective on which properties
they enter in to these long lease type arrangements.
What happens if the units concerned become unprofitable/unviable
for any particular readon?, is there flexibility to close that
Pub if needed.

Ralph keeps banging on about the pipeline of new builds etc,
the share price has been savaged, yet the same strategy continues.
I'm tempted to be more forthright, but will keep it polite.

[janekane] 26/7/2018 11:18

Thanks skinny

[spacecake] 26/7/2018 11:13

If there's more value in the shares then the company could stop the build out and buy back the shares until they reach current NAV - would that be sensible or maybe they don't want to upset the developers.

[skinny] 26/7/2018 09:43

Through your broker and its only on food and accommodation - not drink.

[janekane] 26/7/2018 09:41

Have any of you got the share holders "perk card" 20% off all food drink in MARS pubs and how do you get one
Thanks

[7ran5ac710n] 26/7/2018 09:33

25-07-18 Numis Add Target 125.00

[diku] 26/7/2018 09:26

Time for a free pint!...

Bring on 80p?...

[janekane] 26/7/2018 06:18

Securitisation of the free holds and the pension deficit are killing the SP
The city do not like your plans Ralf change course or you will be voted out at the the next AGM

[knowing] 26/7/2018 00:21

What do they say? When everyone says sell that is the time to buy

[11_percent] 26/7/2018 00:08

But there is nothing to make it bounce.....just keeps falling.

[tim 3] 25/7/2018 23:16

And that chart looks awful trading below support making further moves down likely unless it can bounce back towards 100 promto.

[11_percent] 25/7/2018 23:02

This is not good guys,

1 week: -0.66%

1 month: -3.69

3 months: -9.73%

6 months: -13.48

1 year: -18.53%

2 years: -28.99%

3 years: -36.54%

5 years: -40.52%

[diku] 25/7/2018 22:55

Does the CEO get a free pint everyday?...

[hopefuldave] 25/7/2018 22:45

Surely, it's about the management of the company, are they running it well?

[11_percent] 25/7/2018 19:28

How do you mean......."nobbled"

[pherrom] 25/7/2018 19:03

Ralph has a holding of 1,197,678 shares.

I don't think that we will be seeing another rights issue any time soon.

[careful] 25/7/2018 18:15

A rights issue that requires us to stump up 3 x our original stake?
never been tried before, impossible.

Does the CEO have a significant personal holding here?
Scares me when they don't.
Findley has been their many years.
he must be a company man.

hope these are ok
the crash from 160p is for no obvious reason.

[spacecake] 25/7/2018 17:56

JK, he could always tippy toe into the craft segment and takeout the UK's largest Brewdog for £1.8 bn with a rights issue :-)

[hopefuldave] 25/7/2018 17:54

I understand about all the lovely dividends, but isn't it depressing seeing your capital dropping?

[janekane] 25/7/2018 17:36

These old regional brewery's are not there any more they have been taken out by Ralf and his banking friends