Spaceandpeople Share Discussion Threads

[robbothered] 01/5/2020 15:26

Share price increased by nearly 50% on the back of the loan, go figure. It's going to be a long, hard slog before people will start using the spaces that they operate in again. Also brands have slashed their marketing budgets and I wouldn't think that they will be in a rush to increase spend on commercialisation.

As one of the larger players in this industry and with the £1m loan behind them they may be one of the fortunate ones to survive, I suppose it all depends how flexible the venue owners are with some of the large revenue guarantees that are in place.

[boonkoh] 01/5/2020 12:54

They might now have the liquidity to survive until covid ends, with the £1m loan, but profitability was already elusive pre Covid and that £1m is not a grant, but a loan.

[1ax] 18/3/2020 12:25

robbothered still here and for once this is performing better than some of my other shares, not great that a 12.5% fall is seen as good.......
The current situation will pass for the economy it is a question of what businesses are left when this does. The best thing for entire world population is to freeze everything today. Move to a state run system until the pandemic is over and then restart the clock, never thought I would say lets become communists but in the short term it will protect us all. That said poorly run businesses will still be poorly run businesses after the thaw! Stay safe.

[robbothered] 18/3/2020 11:10

Is anybody still out there? So much bad news for this share and I now have no idea as to how low it will go. The environment they work in is incredibly difficult at the moment, as are many others, but it's not core and will be passed over until things return to some form of normality.

[robbothered] 24/2/2020 09:57

Rossco, it won't affect SAL as their MPKs are located in covered shopping centres not retail parks.

[rossco] 22/2/2020 20:47

In the half year results SAL stated that it had 64 MPKs in locations throughout the UK and that the increase was due to the roll-out of MPKs throughout the Hammerson portfolio of shopping centres.
This week Hammerson has exchanged unconditional contracts on the sale of a portfolio of seven retail parks to Orion.
Wonder how the change in ownership will affect SAL?

[1ax] 14/2/2020 16:42

Is that confidence at 9.5p. 1p growth is 10% return, some of us need to see treble digit growth if not quadruple to get back our loses.

[riddlerone] 14/2/2020 07:38

Lets hope they intend to hold a larger position.

[25october1969] 13/2/2020 16:11

Someone has confidence in SAL


New 3.42% interest


Robert & Virginia Millington

hxxps://constancepam.com/index.php/who-we-are/

I wonder if new Director had anything to do with this?

[1ax] 13/2/2020 13:59

Topvest we should care as this is poor corporate governance. What are the non-execs doing, picking up a nice cheque but not looking after shareholder interests? Raises lots of issues and certainly has changed my investment strategy as I cannot afford many SpaceandPeople's! Robbothered seems to have hit the nail on the head with the shareholding, the board will hold on for dear life to these roles as their record here means they would never get to high office again!

[topvest] 11/2/2020 21:06

I don't really care that much to be honest. We have all lost money in this share. All I'm saying is that the business has lost its edge. Whether that is management's fault or the sector they are in is a matter of judgement. We have all learnt a lesson and shouldn't have bought shares in this in the first place!

[1ax] 11/2/2020 16:26

Well said robbothered.

[robbothered] 11/2/2020 16:09

There is an inevitability about how this will end up. I'm not sure at what point it will be that they decide it needs to go private and what pittance of a pence they offer per share but it's going to come.

Topvest you really do seem to have rose tinted glasses on when it comes to the management team here. To take a share and manage the price down from 220p to 11p (95% loss) takes some doing - and the thing is, it is exactly the same senior management team that has presided over this! I'd be interested if you could identify a similar company that has performed so badly yet retained their position.

Also commentators are stating how badly retail has been hit, well yes there are issues out there but the supposed "blue chip" clients S&P represent are meant to be less influenced by what is happening. Also when money is tight retailers, managing agents and landlords are more open to revenue streams - it is just the arrogance of the senior team that prevents this company performing far better than they do.

They should have gone a long time ago and it's only because of their large shareholding that they can keep voting themselves in and losing our money!

[topvest] 07/2/2020 21:09

topvest not topmost!
They are not mad as they are getting paid for their services and creating a small profit. It's just a business in decline.

[1ax] 07/2/2020 10:17

topmost sorry to disagree but the definition of madness is doing the same thing to get the same result. Read the RNS's and since the first signs of decline the policy of reduced costs and empty growth promises has done nothing to rebuild the business. Failure to protect their market and work progressively seem bigger failures than not investing in Tech. All I read is how Branded Experiences are growing in popularity and how the need to provide innovative retail spaces has never been greater but with all their spaces they cannot make it work.

[topvest] 06/2/2020 21:20

Let's face it, SAL has been a poor investment. We have all made a mistake and incurred a permanent loss of capital. The reason is technological obsolescence - it's killing their business model, as was. Management are not necessarily to blame in my view, as good management in a poor business normally get beaten by the poor business. To quote Mr Buffett...

"When management with a reputation for brilliance tackles a business with a reputation for poor fundamental economics, it is the reputation of the business that remains intact."

Management here did build a very good business from nothing, only to see it unravel by technological change and the decline in shopping centres. Whether they can find another successful business model to beat the initial one is doubtful in my view. There is a glimmer of a chance of getting 20-25p back at some stage even without a clear breakthrough, so I will hold on with my small holding. I've already marked this down as a mistake and a permanent loss of capital a couple of years back. There's no point being bitter about it. Management are trying their best, its tough going!

[1ax] 05/2/2020 14:36

riddlerone fingers crossed!

[riddlerone] 05/2/2020 13:45

Don't think they will be able to hide anywhere if their optimism is subdued on 25th March.Also would have thought that their lenders would not take too kindly to them adding significant unnecessary borrowings to their balance sheet by paying a dividend.Lets see what March brings

[1ax] 05/2/2020 12:32

topvest it would be interesting to know but if you feel confident with a business you would back them with a longer commitment.
riddlerone I suspect it is to woo the shareholders and placate them so the board can have another year. Reading the RNS it suggests they got lucky and found some money down the back of the sofa to deliver profit expectations but this does not change the fundementals which are not being addressed.

[riddlerone] 05/2/2020 07:50

I can understand why everyone is so negative here but why would you increase the dividend if you did not think you could deliver on the optimism shown in the interims for 2020.They are not sitting on a huge cash surplus and now have 600k debt so why increase it ,if its that bad you would surely cut it?

[topvest] 04/2/2020 20:59

It's probably nothing to do with whether or not Network Rail have confidence or not, but probably that the contract was let under their procurement rules with a 1 year only extend option at the start. I agree that it's been painful. Shopping centre retail is definitely contracting by several percentage points a year, and so they are in the wrong sector! Management will need to come up with a plan B.

[1ax] 04/2/2020 15:28

Nothing positive here as the dividend yield is a reminder of how far this stock has fallen. Worse it is the same old rhetoric in the outlook as previous years. The glory days of shopping centres appears to have passed as the internet takes over, the one shining light of train stations has extended by only 1 year, not 3 or 5, so NR does not feel confidence in SAL? Time for a change of leaders as this is the perfect demonstration of madness!

[cerrito] 04/2/2020 08:09

While Network Rail is obviously a key relationship-and heaven knows what would happen if not extended-not clear to me how with their products they can work with a train operating company.

[michaelmouse] 04/2/2020 07:24

A few thoughts following yesterday's trading update:-

[robbothered] 31/10/2019 09:16

more painful if you're a shareholder!