Stv Share Discussion Threads

[che7win] 11/4/2012 10:57

STV cameras in court first:

[che7win] 10/4/2012 12:13

Deutsche Bank AG above 4% again.

[norbert colon] 06/4/2012 10:52

Both ITV and UTV media in the Top 10 performers so far this year. I am happy with my 23% return on STV to-date but am confident there is heaps more to come.



Good luck all

Nobby

[che7win] 05/4/2012 12:37

Annual report here:

[crawford] 29/3/2012 19:17

29 March 2012

BBC Three commissions STV Productions to produce pilot panel show, 'Fake Reaction'

STV Productions has won its first ever commission from BBC Three, which will see the company produce a new panel show pilot for the channel.

'Fake Reaction' will be hosted by Matt Edmondson (Radio 1/ T4 /PocketTV).

It sees six celebrities battle it out over a series of rounds where the aim is to hide their natural reaction as they face an array of unusual situations that test all of their senses. If they can conceal their real reaction and fool the rest of the panel, they win.

The commission follows a successful run-through for the channel which featured comedian Chris Ramsey, musician Skepta and 'Harry Potter' actress Jessie Cave.

'Fake Reaction' was ordered by Zai Bennett Controller, BBC Three and Alan Tyler, Executive Editor, Entertainment Commissioning. It will be filmed at Pacific Quay in Glasgow in April.

Gary Chippington, Head of Entertainment for STV Productions, said: "We're thrilled to be working with the team at BBC Three on this enormously exciting project."

Alan Tyler, Executive Editor, Entertainment Commissioning at BBC said: "Matt is a terrific talent whose rapier sharp wit really brought a funny and inventive format to life. We're delighted to be working with STV on the pilot".

Executive Producer for STV Productions is Gary Chippington. Series Producer is Paul McGettigan (The Sarah Millican Television Programme, Frank Skinner's Opinionated, The Bubble, Room 101).

STV Productions developed the 'Fake Reaction' format with LA-based production company Kinetic Content, with whom they have an established partnership. Fake Reaction is based partly on a Fuji TV game show format.

[crawford] 21/3/2012 16:00

Breaking out, beautiful chart.

Had plenty of time to top up here, this one moves fast!

[crawford] 21/3/2012 12:40

New shareholder declaring above 3%:

Deutsche Bank AG

[crawford] 20/3/2012 07:11

Excellent results from UTV.

[crawford] 16/3/2012 18:46

the offer price is up today.

ITV and UTV are going up virtually everyday. The sector is hot, but STVG has the biggest potential IMHO.

UTV I reckon should see 180p minimum; ITV I wouldn't be buying at the current price but it has turned around well.

STVG is transforming itself and the market hasn't noticed what it has achieved yet (apart from Odey!).

[davydoo] 16/3/2012 16:04

I added at 110.91 too this morning.

I'm no chartist, but I think this is bursting to breakthrough this level.

[crawford] 16/3/2012 08:50

Snaffled a few more at 110p :-)

[crawford] 15/3/2012 16:50

Looking very bullish here.

ODEY ASSET MANAGEMENT is very keen on the stock, they've now crossed 15.02%.
Odey European Inc. has a position of 2,397,069 (6.14%).
Odey UK Absolute Return Fund has a position of 3,468,211 (8.88%).

Seems like they are grabbing as many as they can at this level (not surprised).

Only a few days ago I posted:

"crawford - 12 Mar'12 - 10:10 - 762 of 773 edit
Odey moved from 11.12% to 13.68%, steadily accumulating - they're on the scent chaps."


The wider market obviously hasn't noticed the game changer here.

I reckon another break up of 20p or so is very imminent. I'm happy to let this one rise now as I'm more than overweight - I think the window of opportunity is swiftly closing though.

My breakeven is still 120p but we'll pass that very soon IMHO :-)

[crawford] 12/3/2012 16:30

CB7,
you may well be right, if so, even better :-)

[cb7] 12/3/2012 16:23

Why would an announcement on 5/3 still speak of 10.8m payment, when 1.2m cash should already have been paid in Jan and Feb? The Peel Hunt note also backs this up. In order to agree the new affiliate realationship with ITV, there must have been earlier talks(substantial) over a period of time, these would include the 10.8m owed. I suggest they put on hold those payments, pending the new agreement. As regards awaiting the Ofcom approval, when it comes, it is quite normal to backdate any agreement if mutally acceptable. From ITVs view they get an affiliate, a closer working relationship and sell more programmes.
Anyhow, its certainly a good financial deal for STVG, but perhaps not for their independence.

[crawford] 12/3/2012 15:19

np mike,
yes, that's what I mean.

[mikeelkin] 12/3/2012 14:27

Thanks for all of that crawford. That all makes sense. It is surprising that the market has not reacted to all that positive news but it is below the radar of most. I presume when you refer to license renewal you mean the terrestrial broadcasting franchise for Scotland.

Anyway I have now topped up albeit by a relatively small amount.

Mike

[crawford] 12/3/2012 13:04

mike,
on the programming rights, STVG will have partly paid for ITV programmes upfront, so it's these payments that I assume is the programming rights payment in lieu of cash.

The working capital position also unwinds as STVG reverts to a Pay As You Go scheme.

[crawford] 12/3/2012 12:05

Offer jumped to 112p, I think we're ready to move to that 130p level chaps :-)

[crawford] 12/3/2012 12:03

The £600k payments were due to start Jan 2012 and run for 18 months, ending in June 2013.

The deal with ITV has to be agreed with Ofcom, so unless ITV is feeling very generous, I don't see why STVG wouldn't be paying 600k per month.

IMHO.

[cb7] 12/3/2012 10:30

The various statements suggest to me that they havnt yet parted with 600k cash per month.

[crawford] 12/3/2012 10:14

BTW, my average is around 120p, I bought right up to 170p last year.

Non-exec bought 25k at 111.5p a week or so ago, baffling to see this so cheap so I've taken another nibble.

[crawford] 12/3/2012 10:10

Odey moved from 11.12% to 13.68%, steadily accumulating - they're on the scent chaps.

[crawford] 12/3/2012 08:35

mike,
the money owed will be largely paid through programming rights - thats from the sources below (might actually be one source):

I don't know if you read the following link, to quote:

"Under the deal, STV will become an affiliate of the Channel 3 network, allowing the Scottish company to pay back a legal settlement balance of £10.8 million to ITV in programme stock and cash over the next 18 months. Sources said the payment would mainly be in programmes, thereby strengthening STV's balance sheet."

"Patrick Yau, media analyst at broker Peel Hunt, said the new pay-as-you-go system "substantially reduces the working capital requirement [of STV] as inventory levels fall, ultimately helping to reduce net debt". Analysts estimated that STV's net debt for 2012 may be around £4m lower as a result. Yau added: "We believe this announcement draws a line under the ITV litigation and settlement issues and paves the way for the two to work more closely together as we approach licence renewal.""



The "£4m lower as a result" comment above is actually £4m lower than previous forecasts - Peel Hunt is looking for £43.2m debt end of this year.

Peel Hunts broker note on the matter states:
"The agreement also removes any uncertainty over the company's operating model and significantly reduces working capital requirements going forward, as it allows STV Group to resume its £10.8m settlement with ITV using programming stock, rather than cash. We see the company's model as being further de-risked and underline the lowly value of the shares."

"By any financial metric the shares look substantially undervalued and we reiterate our Buy recommendation"

Do remember that they will have paid £1.6m of this already in the three months already passed.

The risk as I see here is the pension deficit which I'm discussed before. I think they are working on a long term solution.

I've already looked into the licence renewal, I already checked that out with UTV and STVG and think it's largely a formality.

The main risk is of course the wider economy and advertising revenues - the company is running a very tight ship now, margins are increasing - I don't know where they are squeezing costs but I can't think that there would be any 'fat' left in the business.

DYOR as I probably have some confirmation bias here as you might have noticed :-)