White Young Share Discussion Threads

[rennes] 29/7/2009 11:11

This is going to be a long wait until 8th September when the results are out!

[neilrr] 28/7/2009 17:02

Ran out of steam.

[rennes] 27/7/2009 09:27

Now looking a bit fishy?- cannot see any info on outcome? - what is happening??

[rennes] 22/7/2009 16:00

Went up to 28 today and then came off a bit but the RNS on the Employee Share Incentive Scheme at 24 pence (115k shares) is an indication that Management and Employees have confidence in the business model.
This indicates also that the Bankers are likley to be in "support at a price" mode and not a "turnaround" mode.
This means that it is likely that Nustyboy 2) will be in effect shortly, at a sustainable cost.
With £300 million turnover and a very poor performance of only £12 million PBT this year (but in exceptionally difficult market circumstances)....the confidence grows that the share price will soon be back around 40 pence. What happens after that will depend on other factors.

[jotoha2] 22/7/2009 15:17

No way will this tank , £300million turnover and every likelyhood of descent profits again , this is just a short term correction , with only 50m shares lots of scope here!

[nutsyboy] 22/7/2009 15:10

The continuation of this rally hangs on whether they get the re-finance or not and at what price they raise the £40m ....

If they're going to be offering shares at at 25-30% discount to share price then these will tank...

I'd like to see 1) news of a new contract or two, followed by 2) the confirmation of refinancing and then a few days later 3) the equity raising details.

I will bail out between No 2 and 3....

[rennes] 22/7/2009 12:41

27 and climbing --- we are on the way looks like Nutsboy will be a happy man soon!

[rennes] 21/7/2009 12:55

Bankers are not businessmen Nutsyboy and if they lose their managment team focus and start second guessing they risk losing everything themselves too ! that is why it boils down to the CEO and his team remaining strong with them and confident about their own business model and ability to integrate and milk all those aquisitions that have lead to the problem in the first place!

We are still on the knife edge but hold your nerve when the financial platform for the future is resolved you will regret bailing out at 30 pence....

[nutsyboy] 21/7/2009 09:50

I'm afraid it doesn't work like that Rennes.....

The Banks are in the driving seat and can impose conditions on ANY refinance (not just WHY) that companies will have no choice but to go along with.....

We'll see, but I think if there is an RNS this week on new contract(s) I'll bail out around the 30p mark for a very quick 50% profit....

[nutsyboy] 20/7/2009 21:07

Perhaps word of a few lucrative contracts has leaked....

Bought in at 20.5p and happy to sit it out until we hit 35p+

[rennes] 20/7/2009 15:44

Told you so! - this ride is going all the way to 30 pence. yummeee

[bob2011food] 17/7/2009 08:50

i heard from an employee, next week the company shall announce the success of some huge contracts, but on the down side, the companys bankers are being put on the company board,

[rik shaw] 04/7/2009 10:43

Also article in New Civil Engineer:

[tonester30ccfc] 30/6/2009 15:29

Engineering consultant gains more time to refinance £91m debt pile incurred through acquisition spree

Engineering consultant White Young Green has reached an agreement with its banks to defer a covenant test date to the end of July.

The company is trying to refinance an estimated £91m debt pile with Lloyds Banking Group, RBS and Belgian-Dutch bank Fortis over fears it will breach its covenant on net debt to EBITDA (earnings before interest, tax, depreciation and amortisation).

The debt was racked up during a spending spree that saw the company blow £85m buying 18 companies in five years.

A company statement said: "The board expects that a further deferral of the covenant test date will be requested. A further announcement will be made in due course as appropriate."

The margin on the banking facilities has been increased to 3% above LIBOR as a result of the deferral.

As part of a wider financial restructuring, the UK-based company also plans to raise an estimated £40m from investors.

It described trading as "mixed and challenging" but pointed to a number of recent contract wins including a €4.9m (£4.1m) deal to support the European Commission in delivering a three-year programme for regional development in Serbia.

It reiterated that it expected to incur "significant exceptional costs" in the year to 4 July 2009 relating to redundancy and office closure costs, goodwill impairment and the writedown of work in progress and accounts receivable balances.

[jg1882] 30/6/2009 09:14

its unlikely to come down substantially in a short space of time. The interest payments are not overly onerous but as i understand it the covenants are debt/ebitda based so waiving covenants in short term is a nod to the fact that current trading is exceptionally difficult but may normalise at a level in the medium term that is able to support current covenants

[fireplace22] 30/6/2009 09:10

'with restructuring essentially complete' Thereby suggesting any partial sell off is unlikely to happen soon, just how do they get the debt down in such a short space of time?

[dickbush] 30/6/2009 09:00

Today's update suggests the banks are willing to defer testing the company's financial strength wrt breaking its covenants but it looks as though the deferral periods will be quite brief i.e. the company is on a short leash. This should concentrate the Board's mind on a single target, getting the net debt down.

[lawson27] 30/6/2009 07:20

you never know how the market reacts!!!

[rik shaw] 27/6/2009 20:51

Article in the New Civil Engineer this week:



At the bottom of the article apart from the 10% paycut for management apparently strategy for getting out of debt is "getting customers to pay ..".

I suspect they may need to do more than that to get on top of £91M debt.

Another article is promised next week.

rik

[goofball25] 17/6/2009 14:58

doesnt take much to move the sp

[999rp] 16/6/2009 20:58

you could be right it is going down, haven't heard any news but will put a note on this thread