Sports Direct Share Discussion Threads

[ignoble] 22/1/2019 15:26

Have you seen his house
LOL

[terminated] 22/1/2019 11:34

I was concerned about investing when taking into account the HoF purchase but then I noted the hotel interest in many of the sites. They are in prime locations. He won't pour good money after bad, what he can't fix he will convert into something else or sell on. One thing about him he is frugal.

[philanderer] 22/1/2019 00:29

It's a weird one alright ;-)


Retail is tough but bargain purchases, freed of past debts, are enormously attractive to Sports Direct boss Mike Ashley

.... He talks about creating a new Selfridges, but he is as interested in property.

Ashley is not alone in this. Amazon is widely viewed as a destroyer of shops. But having used online to demolish rivals, it is now investing heavily in stores. Amazon book shops, embracing new technology, are popping up all over the US. Having bought up the Whole Foods Market chain, Amazon is planning to add new stores so that every customer in the US is within range of a two-hour delivery.

Retail is tough but bargain purchases, freed of past debts, are enormously attractive to the Sports Direct proprietor.

[opodio] 21/1/2019 22:17

Ashley's interest in HMV comes as a slump in sales at House of Fraser suggested his plan to turn the department store into the 'Harrods of the High Street' was falling flat. Kantar Worldpanel data revealed sales fell 60 per cent in the run-up to Christmas, its first festive period under the ownership of Sports Direct.

[philanderer] 21/1/2019 20:25

Value in property for housing ?

[terminated] 03/1/2019 13:00

At some point he will initiated a share buy back, he always does. As there is a shortage of stock already there is a limit to how low these can go. On that basis I'm back in.

[ltcm1] 17/12/2018 22:29

I think there could be a lot worse to come here.

[bookbroker] 17/12/2018 20:16

Ashley might be a smart cookie, but he has not got a clue what customers want, which is trust and respect, ask Newcastle United fans, he has damaged that club by using it not for the fans but himself. Fair deals, he owns the club, but fail to get ur message across and you will see the back off your customers!

[clocktower] 17/12/2018 18:52

Mikes words will have no effect on the retail market - Joe Blog's in the street has no spare money other than pay their rent/mortgage,rates, food and heating.

The downturn started when there were issues over Diesel engines, people put off buying vehicles and it created a level of fear in numerous sectors.

At least it shows Mike is well informed on the situation and takes steps that will lead to investors (in the companies he controls) benefiting in the longer-term.

So many just had their heads stuck up their backsides for far to long.

[bookbroker] 17/12/2018 09:09

Mike Ashley nearly had a Gerald Ratner last week when he stated November trading abysmal, did he really have to emphasise it, so the price tanks!

[discodave4] 17/12/2018 09:04

Morning Mr T,So just to clarify, you think that tax payers should pay more to help retail billionaires and shareholders like yourself make more profit?.How about bailing out every business that is struggling to make a decent profit? Or only those you are invested in?.

[knigel] 17/12/2018 07:16

WOW - ASOS issues a profit warning after it reported seeing a "singificant deterioration" in trading. So the focus has been on the state of the high street - now even online trading is being hit for six - no one is safe!

[terminated] 17/12/2018 04:50

The high street not only pays tax, it employes hundreds of thousands of people who also pay tax. They also provide a social draw for pubs cafes etc. which also pays tax and employs people. There is a social and business eco system at stake here and the government needs to do something to help them out.

[knigel] 16/12/2018 23:16

High streets pay a tax called business rates.
Online do not pay this tax unless they have warehouses.
Also we all know of internet companies that move their profits offshore to lower tax countries.
If you think this is ok fine. The vast majority in this country do not. It's not a left wing or right wing issue. It's about have a tax system were if you have similar revenue and profits you pay the same tax levels.

[2prsimo] 16/12/2018 14:45

"Something has to change to make it at least a bit fairer between the high street and online."

Why? What makes the high street such a special case that it should have special preferential treatment? Doesn't make any sense. Business is business and if that means getting overtaken by a new form of retail (online) then so be it.

[knigel] 16/12/2018 12:30

The "system* is very wrong if businesses can be acquired with pension liabilities dumped on the taxpayer and creditors left with nothing. Not sure what the answer is but if someone is seen to be working towards getting a competitor to go bust I really don't think they should be allowed to then take that business over

[discodave4] 16/12/2018 12:00

But that doesn't make sense IMO, the 10% at 3p is only £3.6m and he would have to put in a full offer for the entire business. On the other hand if not making an offer was part of the deal then with 40% he is more likely to achieve the required majority vote for a prepack........then he picks it up with zero debt and pension liabilities.

[knigel] 16/12/2018 11:31

I thought he wanted another 10% of the share issue at 3p? Agree at 40% he would have to make a bid. Maybe you are right that at least he is getting a few more retail brands on the cheap - but yes he loves a gamble/punt and it's 50/50 that it will pay off. There are other SPD shareholders who perhaps are not as supportive in this acquisition spending spree - yes noticed the debt rising - great timing with Brexit and interest rates on the rise.
As you know I support some form of online tax but not at 20% - I rather it was on UK based sales maybe at 5%. Something has to change to make it at least a bit fairer between the high street and online.

[discodave4] 16/12/2018 11:22

KNIGELIMO It is the right time to be buying up failed retailers, but MA is taking a very big gamble IMO, the goose that laid the golden egg (SPD) and provides (or did) the cash for acquisitions, is looking very iffy in itself (net debt is sky rocketing)........that said he is building up quite a property portfolio for his future son-in-law.MA does make me laugh though, he spouts on about retailers should pay extra tax if their online income is more than 20% (think he said 20%) of their total revenue - guess what the online sales are for SPD!. Also, MA seems to forget that the SPD transformation came from online sales.Would love to know what the conditions were for his "interest free" (pmsl) £40m loan to DEB was, particularly as his holding is just under the threshold of having to put in a formal offer, and £40m for nothing when their mk cap is only £65m..........and he holds circa £20m of stock!, go figure. I can only imagine that it was a buy out in all but name via MASH rather than SPD.DD

[knigel] 16/12/2018 10:09

What some seem to forget is that the entire market has fallen this year - most sectors are down from 1/1/18. TBH retail is probably one of the worse performing sectors but like building/housing it has a cycle (if past history is anything to go by). Some retailers will go bust while others will survive and eventually see their share prices recover. What I worry about with SPD is that it's the wrong time to be buying other retailers - yes their valuations are cheap but for a reason! SPD debt has increased and MA is still thinking of buying Debenhams - he should sort out his current portfolio first before looking at expanding the brand portfolio. SPD is not too big to fail.

[onjohn] 16/12/2018 09:21

House of Fraser to go bust a second time