Oh dear, two large companies combine and, like an intergalactic "event" only negative matter remains....a case of 1 + 1 = 0.2

Let me say - sp a year ago was 10x today's - so this business has earned its place in the 90% club....and maybe more to come, as they will need to go overseas for cash, if the UK is dry.

I doubt there is a UK Builder with enough dosh to bail-out this dullard. They all thought they could expand until the UK burst with immigrants - yet they consistently went for pricier properties and projects where ( even now), there is some doubt whether there are enough jobs to support new-build developments.

EDIT ( Nov 2015 ) - Seven years on and we're at 183p - so anyone that bought at the all-time Low has done very well - but the Market was fearful and that meant few were Buying. 2009/2010 averaged about 40p - that was a good time if you had the LT cash.
With the rise and yield-multiplier effect, this is looking like Buying it was "probably" inspired.... but it has not regained that earlier Value - which will surely take a lot longer.

07 April 2009

Taylor Wimpey plc

Trading and financing discussions update

Taylor Wimpey today announces that the amendment of its debt facilities is now substantially complete. Documentation reflecting the amended terms has been signed by our banking syndicate and US private placement noteholders, subject to formal approval from holders of the Group's Eurobonds at two bondholder meetings to be convened for 30 April 2009. Special Committees of both Eurobond issues with members holding over 75% of each have already approved, and given irrevocable commitments to support, the amendments.

We set out below key details of our unaudited year end results for 2008 in advance of the publication of our Annual Financial Report on 30 April. These show an unaudited loss from continuing operations before tax and exceptional items of 74.7 million and exceptional costs of 1,895.0 million, primarily relating to the previously announced goodwill and other intangible asset impairment and land and work in progress write-downs. Before the impact of previously committed land spend, the Group created 842 million of positive operating cash flow in 2008. Unaudited tangible net assets per share were 158p as at 31 December 2008, with the Group having 106,216 plots in its owned and controlled land bank.

Recent trading has been at the upper end of our expectations, with the Group experiencing stable pricing in the UK since the beginning of 2009, and sales rates ahead of last year. Net debt stood at approximately 1.57 billion on Friday 3 April, significantly below our targeted level.

Commenting on the revised financing package and current trading, Pete Redfern, Group Chief Executive, said:

'Following complex negotiations, this financing package will allow management to run the business for the benefit of all stakeholders and gives the Group flexibility to enable it to trade through the current downturn. Although we remain cautious about market conditions, current trading and the cash generation of the business are both encouraging.'

TW. closed above 50p today which is a fantastic step in the right direction. This is starting to pay back the faith shown in it by holders.

Daily volume is very heavy, so it may just be a momentum driven rise, imo.
May be worth averaging down & taking some profit along the way just in case the whole thing runs out of steam.

"Broker KBC Peel Hunt has been picking through the detail of Taylor Wimpey's debt refinancing deal and believes that the penalties for missing milestone payments are so onerous that issuing equity to raise fresh funds is a 'must'.

KBC believes 350m of new equity is needed and, if the discount is fierce enough, it could be raised through a rights issue.

Notwithstanding the fact that Taylor Wimpey tried and 'failed very publicly' last summer to raise new equity capital, KBC believes that issuing equity should reduce the share price's discount to net asset value (NAV) per share.

KBC has a 'hold' recommendation on Taylor Wimpey with a target price of 24p."

I've been holding at 52p and assumed I'd lost the money when it hit 3p. I can't believe it's rise over the past few weeks and yesterday I was even able to sell and make 10! Just makes you realise, never give up on a company. There may even be hope for SEO one day!

Broker snapshot shows Brokers rate it at a targetSP of between 40p and 80p....

08.04.09 :+0.5, (23) in a review of the European Real Estate sector, Nomura raises Liberty International price target to 430p from 416p; rating neutral , raises British Land price target to 368p from 312p; rating reduce, raises Brixton price target to 40p from 30p; rating buy, raises Derwent London price target to 765p from 749p; rating buy, raises Great Portland price target to 332p from 321p; rating buy, cuts Hammerson price target to 375p from 397p; rating buy, raises Land Securities price target to 567p from 483p; rating buy, raises Shaftesbury price target to 312p from 281p; rating reduce and cuts SEGRO price target to 26p from 28p; rating neutral.
19-03-09 19.03.09 :+4, (22) HSBC raises Brixton PLC to overweight from underweight but cuts its price target to 80p from 110p.

TW. will offer rights issue at 25p which is a big discount to current sp.
Sp is likely to drop from current 46p.

Yes, I agree. Sold last week as graph is now in down trend & broker target of 24p looked probable with more cash raising.
Also final results out on 30th April '09 which will probably depress the sp further.

I'm out - made a 60% profit on a share that few were touching with the proverbial bargepole which makes a nice change.

Well done q1. Worth watching, imo, with a view to get back in again at +/- 24p.

Thanks HARRYCAT.

Results

Up 10% on decent volume today.

What's the medium to long term view on these?

Trading Update

Reasonable volume today.

Results for the six months to 30 June 2009

Being dragged up on the tails of BLND today probably.
However a potentially rewarding recovery stock (along with BDEV, PSN & RDW).

I didn't know this thread was here ,i've been in for a couple of weeks. I said over on the BLND thread that i'm not sure this market isn't getting a little overheated.

I find the best strategy is to buy a fixed amount, depending on your finances, hold a certain percentage & trade the rest. It increases the dealing charges, takes advantage of the mini rises & falls in the stock, but at the same time hedges in the case of a sudden rise by ensuring you are still 'in'.
In a couple of years time we are all going to wish we had bought this kind of stock much earlier, imo.