With the new directors in place, looks like JJB might recover?

fantastic news from the telegraph tonight - feeling real good about me recent buys & top ups here, could be a mega kerrrchinnnggggggggg pretty soon (for me anyhow! & anyone else who has bought recently! he who dares .... lol) and not too late for more --- cricial key support received - this would have been a deal breaker had the landlords not been agreeable - yeeeeeeeeeeeeeeeeehaaaaaaaaaaaaaaaaaaaaaaaaa!!

http://www.telegraph.co.uk/finance/newsbysector/retailandconsumer/8334822/JJB-Sports-gains-support-for-CVA-proposal.html

JJB Sports gains support for CVA proposal
Leading property companies are warming towards JJB's proposals to close loss-making shops through a company voluntary arrangement (CVA), despite an initial backlash.

JJB Sports gains support for CVA proposal Photo: AFPBy Graham Ruddick 7:50PM GMT 18 Feb 2011
Comment
The sports retailer has held a series of meetings with its landlords ahead of the full publication of its plans in the next two weeks, and is understood to have received favourable feedback.

According to industry sources, landlords which include Land Securities, British Land and Hammerson are frustrated at the proposals but consider the CVA the best of a bad choice.

JJB claims it could collapse into administration if the CVA is rejected, and landlords fear such proceedings would lead to their retail units being tied up for a long period as the company is unwound.

However, approval of the CVA could provoke fury among rival retailers, many of whom have threatened to try to renegotiate rents.

It is the second time in two years JJB has used a CVA to seek to withdraw from leases on loss-making shops. The company is proposing to close 45 "significantly underperforming" stores over the next year, as well as putting a further 50 units "under review". At least 75pc of unsecured creditors must support the CVA for it to go ahead.


easy dough imo dudes - remember ray not too long ago...

in fact should see some northerly moves next week - more news before end of february!!

'Full details of the CVA proposal, which needs the backing of the holders of more than 50 per cent of shares and 75 per cent of creditors, will be published in late February.'


First phase of JJB rescue plan approved by shareholders

February 18, 2011

JJB Sports secured its short term future as a business today after shareholders voted to approve plans for a 31.5m share offer.

Despite ongoing takeover talks with JD Sports Fashion, JJB held the emergency fund-raising after struggling sales forced it to warn investors it would not be able to make repayments on a 25m loan.

A company statement read: "The board is pleased to announce that each of the resolutions proposed at the general teeting held today to approve the proposed firm placing and placing and ien ofer of, in aggregate, 630,000,000 nw odinary sares and other related matters was duly passed without amendment by the required majority on a vote conducted by way of a poll."

The company, which currently operates 250 stores, is now able to finalise its long-term restructuring and refinancing plans.

They include a company voluntary arrangement which will allow it to terminate leases and shut 45 under-performing stores and negotiate reduced rents on other branches.

Full details of the CVA proposal, which needs the backing of the holders of more than 50 per cent of shares and 75 per cent of creditors, will be published in late February.

i would not wanna be outta jjb right now!! only after i've made me dough here - lol!

What the hells going on here.

There wasn't a consolidation was there?

Sp seems to have opened around 30p

So,what exactly is the story here??

from proactive investors....

Shares in JJB Sports (LON:JJB) shot up more than 800 per cent in a frenetic early start to trade after investors agreed to back a £31.5 million share sale that offers the company a financial lifeline.

The stock was mainly placed with City investors including existing shareholders Harris Associates and the Crystal Amber fund at 5 pence a share. Bizarrely, Bill Gates is also an investor with more than 5 per cent of the beleaguered retailer.

The much needed cash injection staves off the immediate prospect of administration, which could have signalled the end for this fixture of the high street.

However, JJB will need further investor and creditor support for a second company voluntary arrangement (CVA) in as many years if it is to avoid going into administration.

The second CVA proposes the closure of up to 95 JJB stores and the retention of a core group of 150 stores.

The firm, which employs about 6,300 staff, is also in takeover talks with thriving rival JD Sports Fashion.

In early trade the shares were changing hands at 33.5 pence each, up 29.69 pence.

Consolidation!!!!!!!!

Wish they would get there facts right.

P

From the other side on the share consolidation it doesnt look good.

Yes, you had 100 shares but now only 10
BUT, and the big BUT is for you to have stood still the share
should show up 1000% today not 750% !!!

You are down 25% overnight and falling

A Russian Roulette type share,you might say.!

what a mare! lol

effectively about 17% ish down today unless my maths wrong - so many rumours flying around right now - from the iis wanting to privatise on the cheap?! (doubt it imo - WHY?), t/o talk continues, offer to landlords of share of future profits if accept cva, landlords apparently ok with cva as unlikely to have clients to fill shops for an age (look at your local shopping centres and the amount of closed shops), sd want jjb as do jd for their internet offering et cetera!! personally now on a little loss here thanks to today - but i think that maybe due to all the uncertainty and other issues similar around the 10/1 consolidation - i am gonna sit tight - i expect to exit 10 to 15p i hope by end april or sooner - basically i am in 100% to the end - s h one t or bust or as chessplayer aptly describes as 'Russian Roulette' - it certainly is but fun! lol! and gl to any in here or considering jjb - i am quietly confident now landlords (imo) are on board, the 5 iis, a restructered jjb i.e. crap loss making shops dumped, jd keen because of sp, sp considering options due to competition rules et cetera! lol

lol lol lol - boy jjb are making it hard to earn an honest crust here guv! lol

well i topped up today - what a bargain - yep fully aware of the risk but do not expect the bank to not support - also understand why people might not want to buy right now - i expect an rns tomorrow and north movement quick!! the sells today were mainly auto which is most likely the residue of the pru sell off who want out for whatever reason - heard rumour that could not reach agreement with other 5 iis - but hey ho!

tomorrow one of the big days - kerrrrrrrrrchinnnnnnnnnnnnnnngggggggggggggggggggggggggggggggg!!!!

there is more than one key paragraph in the cva proposal - but the bank prior to day it is rumoured already agree on this:

'The directors of each of JJB and Blane believe that the CVA proposals and the CVA process will facilitate a better outcome for creditors than would occur if JJB and/or Blane were placed into administration or liquidation and therefore that the CVA proposals and the CVA process are in the best
interests of the Company and its shareholders.'

only one landlord known to oppose - so what - affects only 3 shops - once approved officially that landlord may regret that me thinks!

gla still in - remember those sells today were mainly auto - which is why i smapped me up more at a bargain price!!! lol

btw - ever get the feeling jjb have painted a worse picture than it actually is! :-;

yeeeeeeeeeeeeeeeeeeehaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa - glad to have topped up yesterday
kerrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrchinnnnnnnnnnnnnnnnnnnnngggggggggggggggggggggggg


more to come here imo!

http://www.investegate.co.uk/Article.aspx?id=201102251255288923B


JJB Sports PLC
Update re Proposed Company Voluntary Arrangements
RNS Number : 8923B
JJB Sports PLC
25 February 2011







25 February 2011



JJB Sports plc



Update re Proposed Company Voluntary Arrangements



Further to the announcement by JJB Sports plc ("JJB" or the "Company") on 11 February 2011 of the key details of the proposed restructuring of its property portfolio through the CVA proposals, the Company is pleased to confirm that it has delivered a final draft of its revised business plan to Bank of Scotland ("BoS"). The Company will announce further details of the revised business plan in due course following completion of the independent review of the plan and its funding requirements by advisers.



Full details of the CVA proposals (including details of creditor and shareholder meetings) will be set out in the CVA proposal document that the Company intends to despatch to unsecured creditors and shareholders by no later than 4 March 2011. The Company has maintained its open and constructive dialogue with key creditors. To date, JJB has actively engaged with landlords accounting for 47% of the Company's annual rental payments regarding the future shape of the Group's property portfolio.



Commenting on the restructuring, Mike McTighe, JJB Chairman said: "We are delighted to have achieved two further milestones this week - successful completion of the first capital raising and delivery of our revised business plan to BoS. With publication of our CVA document scheduled for next week, the Board and management team continue to work extremely hard to rebuild JJB. With the continued support of all the Company's stakeholders, we remain confident that we can deliver a successful turnaround."





Enquiries:



JJB 01942 221 400

Mike McTighe

Keith Jones



Maitland 020 7379 5151

i wouldnt wanna be outta jjb this weekend - LOL!!!!!

gibby
Yes LOL they are now @ 2.2p in old money.

driver lol :-)) that's why they are so cheap now

it wont be this sp for long!! lol

i will leave you to interpret that :-0

from the other side...............talking about the cva.....:

'If this comes off it will dwarf my RAY profits but I am down 6 figures at present & need the sp to more than double just to break-even. That said I was over 50k up less than a month ago & in these situations the position can change in a flash as you know.

In my view the issuing of the CVA proposal itself will signify that the BoD know that they will get the necessary 75% creditor vote. In view of the fact that their 100% owned subsidiary,Blane Leisure,represents around 50% of the unsecured creditors and the suppliers are unaffected they actually need less than half the landlords to support the proposal. 60% of the stores are only affected by a switch to monthly rentals so on the face of it it should be straightforward provided KPMG are doing their job properly. If I am right in my assumption then around now is a good time to buy in ( I say that often & in my defence I did buy more yesterday) but if I'm wrong & the CVA gets blown away it will be time to switch off the lights and that would be only 3 weeks away. Are you feeling lucky?'

..Exclusive: JJB Sports Boss Poised To Quit

By (c) Sky News 2012 | Sky News – 19 minutes ago


The chief executive of JJB Sports is poised to step down after a string of profit warnings and emergency fundraisings left shareholders in the company facing a bleak future.

I have learned that Keith Jones, who has run JJB (LSE: JJB.L - news) only since March 2010, is expected to leave within days. Directors of the company are understood to be discussing the departure of Mr Jones this evening and an announcement could be made as soon as Friday morning.

JJB has endured a torrid few years during which it has been rescued three times by investors and axed dozens of stores in a desperate survival bid.

JJB’s shares plunged a week ago after it disclosed that the Euro 2012 football tournament had failed to produce the anticipated uplift in sales.

It was the latest in a string of profit warnings and raised fears that the company would not last until the key Christmas trading period without a fresh cash injection.

"In light of the deterioration in trading, the Directors have sought to implement a combination of management initiatives, which were identified in the 2012 Results, and have been successful in mitigating the trading and cash shortfall to a certain extent. However these actions have not fully mitigated the shortfall,” the company said.

"As a consequence, and in light of the continuing poor macroeconomic environment, the level of future headroom on working capital facilities and financial covenants will be significantly reduced in the short and medium term.

"This is likely to accelerate the timing of the additional funding required, which is dependent upon the trading performance of the business and the successful implementation of the management initiatives. Given the potential requirement to accelerate funding to implement the turnaround, the Group is in discussions with its strategic partners."

Earlier this year, JJB struck a deal with Dick’s Sporting Goods, the giant US retailer, to take a stake in the British company that could rise as high as 60%.

Yet while high street trading has been tough, JJB's rival, Sports Direct (Frankfurt: A0MK5S - news) , has enjoyed contrasting fortunes, recently posting a 24.5% surge in pre-tax profits to £151.5m.

JJB also announced this month that Mike McTighe, its chairman of nearly two years, would step down to be replaced by Bob Corliss, a veteran of the US retailer The Athlete's Foot.

Mr Corliss said at the time of his appointment: "JJB has been through some difficult times yet it is clear that there is a real market opportunity for a national authentic sports retailer here in the UK.

"JJB can be that retailer and I'm energized by the prospect of leading the company through the next phase of its turnaround."

It's unclear if Mr Jones will be directly replaced or whether Mr Corliss will take on the running of the business.

Mr Jones joined JJB from Dixons, where he was group retail director, before which he worked at Virgin Retail and B&Q.

JJB declined to comment

JJB Sports chief executive steps down
StockMarketWire.com
JJB Sports chief executive Keith Jones is stepping down from the board with immediate effect but will stay with the business in an advisory capacity until the end of August.

The board is currently in advanced discussions to appoint an interim CEO and a further announcement will be made in due course.

Bob Corliss - who will formally take over as chairman at the beginning of September - said: "On behalf of all the board I would like to thank Keith for his tireless efforts to rescue JJB and return it to commercial health.

"During his time at JJB, Keith helped to secure vital additional funding for the business and significantly strengthened relations with our major supplier partners."

At 1:39pm: (LON:JJB) JJB Sports share price was +0.05p at 5.42p


Story provided by StockMarketWire.com