Young & Co's Brewery Share Discussion Threads

[finkie] 09/7/2020 11:05

new share placement was at 1160p raised £88m no idea why market paid that much to be honest thought it would be at a discount! price now 970p.......

[itsnotmeitsy0u] 26/6/2020 10:05

will be buying but when this gets to 3 digits

[finkie] 25/6/2020 18:34

What is the impact on the capital raise apart from 15% more shares naturally pushing value down by the same level, we don’t know until 29th June at what level people invested at.....

[iomhere] 24/6/2020 11:08

Can't stand plastic glasses. I can take my own for bottled beer but could I use my own for draught?

[waldron] 05/6/2020 05:50

Giulia Bottaro

14:00 Thu 04 Jun 2020
viewYOUNG & CO 'A'
Young's expects to reopen pubs by August

The publican expects weak trading until next year and has modelled various scenarios, including venues remaining shut
YOUNG & CO 'A' - Young & Co.'s expects to reopen pubs by August

Young & Co.'s Brewery PLC (LON:YNGA) said it expects to open its pubs by August 3, though it warned trading activity will be significantly lower until next year.

The publican is also factoring in more severe scenarios where either venues remain closed or reopen and are then forced to close again.
READ: Young & Co suspends dividend payments

The firm, which has 276 pubs mostly located in London, said closures in the last 10 days of its financial year resulted in £13mln of revenue losses and a “disproportionate impact on profits”, estimated to be £7mln, due to limited opportunities for mitigating actions.

In the year to March 30, revenue rose 3% to £311mln while profit before tax tanked 24% to £29mln. It did not recommend a final dividend.

“This positive news may be toasted by patrons but they may choke on their pints when they find out what a trip to their local could be like in a ‘new normal’,”; said AJ Bell’s Russ Mould.

“Will a more sterile setting with staff in masks and gloves, ordering drinks purely through an app and tables set two metres apart really appeal? On the other side of the equation will such measures be sufficient to calm fears over a risk of infection.”
Westminster’s ‘secret blueprint’ to reopen pubs

On Wednesday, breweries announced plans to produce 250mln pints of beers within the next two weeks as the government is reportedly drawing up a ‘secret blueprint’ to help UK pubs open again.

Venues could be asked to use an app to receive orders, like the one already implemented by JD Wetherspoon PLC (LON:JDW).

Last week, The City Pub Group PLC (LON:CTY) said there indications from Westminster that pubs with beer gardens might be able to resume trading in the first week of July.

The England-focused firm, which owns 47 outlets, is planning cashless bars, limited menus in its outlets with beer gardens and plastic glasses, paper plates and wooden cutlery to replace glasses, ceramics and metal knives and forks.

Shares in Young’s dipped 1% to 1,135p on Thursday early afternoon.

Proactiveinvestors

[grahamite2] 12/7/2019 10:46

According to today's Daily Telegraph AIM stocks may soon cease to attract business property relief. I'm not talking about the Labour Party proposals - this is the Office of Tax Simplification acting for the present government.

If this idea gets traction these are likely to fall a great deal more.

[zoolook] 24/5/2019 19:23

Hah. I thought you were alluding to some beneficial tax treatment on the pub estate for the family members.

Many of my investments are AIM listed but it is far from apparent that they are over valued. Take YNGA - most of the market cap is accounted for by their property value.

[grahamite2] 24/5/2019 17:26

It's AIM so effectively passes out of your estate for IHT purposes in 2 years, rather than the 7 years most forms of estate planning take to work.

Now, most AIM stocks would avoid an IHT liability for the very good reason they'd have gone bust and be worthless within 7 years! Young's is that rare beast, an AIM stock that's very solid, with a product people will always want, and that's been going for years.

The downside is that the market always adjusts for artificial benefits like this, and it has in this case. A large part of the potential 40% IHT tax saving is factored in to the price.

But DYOR, as they say.

[zoolook] 24/5/2019 17:06

Hi grahamite2

Would you mind elaborating..?


Cheers! Simon

[grahamite2] 24/5/2019 14:33

Good luck zoolook but this company's essentially about getting assets out of your estate for death duties purposes. Take away the tax benefit and the price wouldn't be nearly so high.

[zoolook] 24/5/2019 12:44

Bought in yesterday on results. Looks good value with property protecting downside. There’s obviously a pension issue. Don’t know anything about them other that Ian Cowie of Sunday Times occasionally mentions them

[porsche911sse] 24/5/2019 07:49

Nice to see a mention in the press

[porsche911sse] 24/5/2019 07:49

Nice to see a mention in the press

[typo56] 03/4/2018 20:31

Thanks coolen.

I see the Takeover Code says a 'comparable offer' must be made to each class. However, a comparable offer need not necessarily be an identical offer.

"In the case of offers involving two or more classes of equity share capital, prices for all of which are published in the Daily Official List, the ratio of the offer values should normally be equal to the average of the ratios of the middle market quotations taken from the Daily Official List over the course of the six months preceding the commencement of the offer period. The Panel will not normally permit the use of any other ratio unless the advisers to the offeror and offeree company are jointly able to justify it."

My interpretation is, you're probably not going to be disadvantaged buying the non-votings rights (apart from not being able to vote) but, in the event of a takeover, you're probably not going to be advantaged either. I assume a benefit of the cheaper, non-voting shares is the higher yield.

[coolen] 03/4/2018 18:46

It has been many moons since The Takeover Panel have had to rule on the amount a bidder may, or may not, have to pay for non-voting shares.

If you want an extreme, look at electrical engineers Dewhurst plc where the voters now trade at a 50% premium to the non-voters.

[typo56] 03/4/2018 16:59

Sorry if this has been answered before, but why do the YNGN non-voting shares trade at a 20% discount to the YNGA voting shares? In fact, a couple of years ago the discount was about 25%. Too much? It's similar with SDR and SDRC.

In the (unlikely?) event of a bid, wouldn't the YNGN shares receive the same as the YNGA shares? After all, they appear to receive the same dividends and have the same share of the assets. I notice REFS shows the NTAV per share for YNGA as 1596p but I think that is wrong and too high. It looks like they are dividing the NTAV by the 29.7m YNGA shares and not including the 19.2m YNGN shares.

The Articles of Association states, "The A Shares and the Non-Voting Shares must be treated equally for all purposes of participation in profits or assets."

[grahamite2] 26/3/2018 09:17

Morning!

This is a bit ridiculous now. But it goes to show, whenever there's an artificial tax break, the market adjusts for it.

[elmfield] 07/2/2018 15:14

Unexpected but comforting!

[elmfield] 28/11/2017 21:49

Very positive write up in the IC this week.

[grahamite2] 08/11/2017 12:59

Unless you're planning to drop dead in more than 2 but less than 7 years, it's hard to see a lot of point in this.

[grahamite2] 21/10/2017 11:15

Someone ought to post something every couple of months, I suppose!

No September retrace worthy of the name. A 1.3% yield.

[jimbowen30] 25/8/2017 13:24

A long term hold...slow and steady wins the race