Taylor Wimpey Share Discussion Threads

[barf2] 12/7/2010 09:09

Sector trying to life with just the one housebuilder still in the red.
Any guesses?

[barf2] 12/7/2010 08:32

Todays lid is 27p by the looks of it.

[hope67] 12/7/2010 08:28

Posted on iii

Taylor Wimpey seeks refinancing package


Published: July 11 2010 22:37

Taylor Wimpey is negotiating with lenders over a refinancing package that would increase the ability of the UK's second-largest volume housebuilder to buy land.

The company is seeking to refinance its bonds and bank loans after last year completing a £1.55bn debt restructuring that extended the repayments due on its debts to July 2012.

Taylor Wimpey was one of a number of British housebuilders that restructured their borrowings and raised extra capital after the value of land assets collapsed in the wake of the financial crisis.

However, the terms of its current borrowings restrict management's ability to buy new land, essential if the company is to cash in on the nascent recovery in the housing market.

A person close to Taylor Wimpey said there was no danger of the group breaching its borrowing covenants, but the restrictions on spending would "limit its ability to meet returning buyer demand."

The company is in early stage discussions to extend the duration of its debts over four years and secure less constrictive cash flow covenants, according to people close to the process.

The talks were initiated early to give the group the option of turning down a refinancing package that would not give it the operational headroom it sought to expand the business.

The alternative is to reduce dependence on bank finance in favour of bonds.

"If they know the company is desperate they will give them bad terms ...̴1;the company has no issue in changing its lending mix," said one of the people.

Taylor Wimpey last year raised £510m in a rights issue to repay debt. While the company is not planning another equity raising, it has not ruled the option out, one of the people close to the process said.

There has been growing speculation that the company will sell its US housebuilding business, which would allow it to pay down debt and concentrate on its core UK operations.

Its creditors include a consortium of 15 banks, including Barclays, HSBC, Lloyds and Royal Bank of Scotland, about 20 holders of private placement notes and about 25 holders of eurobonds.

Land buying has become an increasingly important issue since the coalition government increased local authorities' remit over planning permission.

Rival housebuilders, including Bellway and Bovis, have, during the past month, publicly stated an intention to buy as much land as possible before the country falls into a "planning hiatus".

Shares in Taylor Wimpey, which have fallen as much 30 per cent during the past three months, closed up 0.16p at 27.2p on Friday.

[barf2] 12/7/2010 08:13

Everything much as we were.
Pressure on share price to come down.Still the regular round figure sells and no RNS about anyone reducing holdings.Graph looking ugly but there's always hope!

Come on TW, give us a bit of a fightback.

[spennysimmo] 12/7/2010 07:34

Perhaps slightly better worded:

Taylor Wimpey is negotiating with lenders over a refinancing package that would increase the ability of the UK's second-largest volume housebuilder to buy land. The company is seeking to refinance its bonds and bank loans after last year completing a £1.55bn debt restructuring that extended the repayments due on its debts to July 2012, the FT reports.

[barf2] 12/7/2010 07:29

I presumed they meant the debt facility but it is probably just the usual very shoddy reporting.

Then again you'd think the best part of a billion would be a fairly big reserve to call on.

[spennysimmo] 12/7/2010 07:25

Taylor Wimpey don't have £1.55bn debt.

[smurfy2001] 11/7/2010 23:10

Taylor Wimpey in £1.55bn debt talks

Taylor Wimpey is negotiating with lenders over a refinancing package that would increase the ability of the UK's second-largest volume housebuilder to buy land.

A person close to Taylor Wimpey said there was no danger of the group breaching its borrowing covenants, but the restrictions on spending would "limit its ability to meet returning buyer demand."

The company is in early stage discussions to extend the duration of its debts over four years and secure less constrictive cash flow covenants, according to people close to the process.

[hope67] 09/7/2010 15:21

Barf2

Thanks for the link

Hope

[spennysimmo] 09/7/2010 13:28

Housing starts in Canada the same as last month at 189k annualised but down on the forecast of an increase to 193k.

[frequentbuyer] 09/7/2010 13:26

Another non-executive directorship, these guys are the real winners when it comes to jobs for the boys, all they have to do is sign up to the Institute and the positions are guaranteed to keep flowing in!

[barf2] 09/7/2010 11:26

Housing activity increases as buyers return to the market
09 July 2010

Housing market transactions rose by 20% in June, from 52,975 in May to an estimated 63,500 in June, reveals the LSL Property Services/ Acadametrics House Price Index.

While still down on the long-term national average, this increase in sold properties sharply reverses the drop in transactions last month.

House prices continued to fall in June, down 0.5% on May levels. This is mainly a result of sellers finally coming to terms with buyer demand for greater price discounts . The good news is that the oversupply in the market, prevalent last month, is now reducing.

Annual prices are 7.7% above a year ago, down from a 9.1% annual rise last month.

David Brown, commercial director of LSL Property Services comments:

"June's transaction figures are the highest this year and suggest last month's stalemate between sellers and buyers failing to agree terms is on the wane. We can't discount further house prices falls over the next few months, as the market continues to stabilise and normalise.

"However the demographic age profile of the UK suggests there is an army of over one million would-be first-time buyers delaying purchases, who are ready to enter the market when conditions allow. This suggests the current drop in house prices may well be short lived. The key to recovery is more attractive first-time buyer mortgage deals offered by lenders."

Dr Peter Williams, housing market specialist and Chairman of Acadametrics, comments:

"The average price of a home in England & Wales is now £218,119. At this level, it is down £13,709, or 5.9%, from its peak in February 2008 of £231,828. In terms of annual price changes, the housing market appears to be divided between what is happening to higher value homes and the remainder of properties.

"There has been an upward movement in the prices of properties in the most affluent areas of the country, whilst the remainder of the market is experiencing relatively small changes in price, in either a positive or negative direction. However, this trend has been less marked over the last three months compared with the previous three months, with prices in the lessaffluent areas staging a modest recovery.

"Given the number of policy changes that have impacted to varying degrees upon the housing market in recent months, it remains difficult to tease out what is really happening in terms of underlying trends. Confidence remains weak as does the supply of credit and the Bank of England‟s recent Financial Stability Review (June) points up the funding difficulties being faced by lenders.

"Acadametrics has now reported price falls over the last four months, totalling 2.4% or just over £5,250. Apart from the period March 2008 to April 2009, this is the longest running fall for some years. There has been much debate about a "double dip" recession in the housing market, paralleling what might happen in the wider economy.

"Without doubt those risks exist and the pattern of falls we report is not dissimilar so far to the early months of the last major re-adjustment. Much turns on the economy, unemployment and interest rates where the Bank has been sending "lower for longer" messages in terms of rates, even though inflation has gathered pace (along with what happens in the USA). With the possibility of rate rises later in the year together with the scaling back of support for home owners in difficulty, we could see pressures begin to build in the market that might give further momentum to price falls.

"For the present, the outlook for the housing market remains negative. However, with continued demographic pressures (and at least 1 million first time buyers waiting to enter the market when conditions allow) and much reduced housing supply, there is a real possibility of a strong recovery in prices once conditions allow demand to become effective. So a limited dip might be followed by a sharp rise but much turns on the supply and price of mortgages. That said, it is hard to see how, despite new entrants and government pressure on lenders to increase lending, prices will surge.

"Whilst mortgage supply remains restricted, price competition is dampened and, given the shift to greater reliance on retail funding, mortgages will inevitably cost more anyway, providing a further dampener.

"In conclusion, the outlook remains challenging. In the more affluent parts of the UK, the market will remain more buoyant because higher incomes mean more cash buyers/parental support for deposits and such areas will also attract more of the limited supply of mortgages. All this puts a premium on accurate and independent reporting on the housing market."

[doorway] 09/7/2010 10:39

MILLWALL TO BE BOUGHT OUT BY RUSSIANS

[barf2] 09/7/2010 10:23

No.

Just think for myself and trust my own research.

You crack on and follow the herd musta, don't forget to leave your initiative at the door when you are handing your money over.

[barf2] 09/7/2010 08:56

Here you go.

[hope67] 09/7/2010 08:46

Does anyone know if this trades on plus and what ticker to put in the box to see the plus trades TIA

[barf2] 09/7/2010 08:44

No change coming today folks.

Same as.

Buys either 'o' trades or going through PLUS whereas most of sells 'A' trades coming off the book.

There has been an awful lot of stock handed over to buyers without going near the order book and still no reduced holdings RNS.

[hope67] 09/7/2010 08:42

Doubt any serious investor follows them just a bit of fun to see if they are right or not :-)

[barf2] 09/7/2010 08:31

Now that did put a smile back on my face.A wide grin in fact!

Good old BB.They're like an amusing distraction,almost like a playful puppy that keeps bumping into the furniture.You sort of look and go 'aaahhhh, isn't that sweet'.

Does anybody actually take any notice of what they say?

[hope67] 09/7/2010 08:27

Common think positive (now don't all laugh at once)

[barf2] 09/7/2010 08:20

NY
Thought that a year ago!