Media Square Share Discussion Threads

[rolandbrown2] 09/12/2011 12:25

Peter Reid, the CEO of the new company added: "This is an extremely positive development for our staff, clients and suppliers. An employee-owned structure where the employees take the majority control and can share in the future success of the business is one that we believe will see our agencies realise their full potential."

Not great for shareholders though, is it Peter? Presume Roger Parry shares the same view. Shareholders in all of his other companies might do well to be wary.

[bachellor] 09/12/2011 11:45

another busted dog to add to list

southern cross
charterhouse
the list goes one

[markie7] 08/12/2011 10:56

2011 - The Year of IMPACT

[markie7] 24/11/2011 11:51

not often you see a company suing another for a value around the same as its entire market cap.

[32fred] 23/11/2011 11:42

Anyone else to blame for this profit warning? Surely Berlusconi, the Euro or leaves on the line? desperate!

[kinghorm23] 22/11/2011 19:19

0.4 mil market cap v 20 mill of debts.

[metaphysicalman] 24/5/2011 08:30

Some good results on the operating front... the balance sheet does need to be sorted out, but now they can do this on the back of operating profitability and positive momentum, rather than at the lowest point in the cycle... this should improve the outcome for existing shareholders in the case of anyh rights issue / convertible.

Regards
MM

[rolandspike] 02/5/2011 23:07

Agree Markie. Breakup and MBOs only option. No point in continued listing.

[markie7] 01/5/2011 12:09

not exactly rocket science to work out who is looking at this. but there is no value in either party. two drunks propping each other up.

[equitydealer007] 30/4/2011 09:08

There is a predator sniffing here and not one that i think will be good for the share price.......we shall see in the coming weeks how it pans out! but the debt situation here of 20million is not going to go away unless someone comes in here, thus i expect msq to probs get broken up further so as to reduce their debt!

whom is in the market now for acquisitions??? they are listed on the AIM!! dyor...gla

[julcester] 01/3/2011 12:09

Gradual process is the right direction is about right. Given time, it should be a solid business once more.

[metaphysicalman] 01/3/2011 08:50

Solid trading update, shame the revenues aren't growing faster, but crucially profits (and hopefully cash alongside) are growing, enabling paydown of debt and improving covenant ratios.

The news on the property is also good as even if no sale is achieved, they will be getting in more than enough rent to cover both cash and P&L cost of the equivalent debt.

In summary, more gradual progress in the right direction.

[metaphysicalman] 25/2/2011 12:32

Markie7

The freehold was in the balance sheet, at £3.2m last balance sheet daet, so no big accounting profit, but the point is that it didn't bring in any income. If they do rent it out, that's good, but when they sell it, the first £1.89m is set off against the property loan, the remaining £1.36m against the mezzanine facility.

The former facility is at LIBOR + 3%, the latter at LIBOR + 7% but initial cash payments at LIBOR + 1.5%.

LIBOR is currently 0.56% so this equates to annual initial cash savings of £95k and P&L savings of £170k. Will improve reported results considerably, and the capital repayment should help improve debt/EBITDA ratios considerably.

All round good news I'd say.

Regards
MetaphysicalMan

[julcester] 23/2/2011 10:50

In the meantime, I guess MSQ will be getting rental payments from whittle (if they are staying in the building).

[markie7] 23/2/2011 10:21

that freehold was always in the balance sheet though - probably the only reason HBOS haven't pulled the plug

[metaphysicalman] 22/2/2011 22:26

The property part is the true good news - even if Whittle don't exercise the option, MSQ should be able to sell the property to another party, and there's no reason why this should be for a materially different figure... so this means a total of £4m off the debt by, say, a year's time. Still a long way to go, but a reason for optimism.

[julcester] 22/2/2011 07:15

Great that the debt position is being reduced and there is the possibility for another £3.5m during the year.

[julcester] 20/2/2011 12:31

As long as the debt is sustainable, then that is half the battle won. Hopefully they can then start paying down debt on increased profits (due to restructuring).

[davray8] 19/2/2011 23:24

Interested in your reasons for optimism here. Interims showed continuing massive debt and despite some improvement surely not enough cash being generated to make this fly?

[metaphysicalman] 18/2/2011 16:27

I've also started building a stake.

The restructuring was obviously massive and painful but they seem to have come out robust and with great growth potential.

Obviously the debt remains the key to the re-rating of this company - if they can manage/reduce this without a discounted rights issue, shareholders should see fantastic returns from this level.

[julcester] 18/2/2011 14:09

I've bought a few of these after the Publicis buyout of Holler the other day. Think they nipped the opex issues in the bud quick enough to avoid disaster here. Time will tell.