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Kenya Airways...why ignore..
Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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Who exactly are these people who have been buying KQ today.. It beats logic
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Member Joined: 4/14/2010 Posts: 806 Location: Nairobi
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obiero wrote:winston wrote:obiero wrote:winston wrote:After conversion of debt into equity for the banks (was it to be at 2.13/-?)...is there a lock in period for the banks or are they free to offload their stakes immediately in the stock market (at say 1/-)? @winston the stake was considered too large in terms of liquidity and hence would be consolidated at a ratio of 4:1.. Implying 2.13 times 4.. The new price would therefore be KES 8.52 @Obiero - Thanks. So conversion followed by consolidation...but still no lock in period. Ten years deep, for the equity to revert back to debt which ideally would be settled in full.. But there's an option to cash out as early as day one. Intelligent banks should sell only upon a profit announcement. Wise banks will wait for the dividend @Obiero - Thanks
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Rank: Member Joined: 5/21/2014 Posts: 184
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@Obiero... sub 4 before 08/08  There are too many opportunities all around. Open your eyes and maybe you'll spot one
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Rank: Elder Joined: 9/23/2009 Posts: 8,083 Location: Enk are Nyirobi
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obiero wrote:sparkly wrote:obiero wrote:VituVingiSana wrote:obiero wrote:winston wrote:After conversion of debt into equity for the banks (was it to be at 2.13/-?)...is there a lock in period for the banks or are they free to offload their stakes immediately in the stock market (at say 1/-)? @winston the stake was considered too large in terms of liquidity and hence would be consolidated at a ratio of 4:1.. Implying 2.13 times 4.. The new price would therefore be KES 8.52 In other words, a Reverse Split which adds no real value. All it does is reduce the number of shares... Example: 10mn shares at 2/- = KES 20mn. a 4:1 "conversion" = 2.5mn shares at 8/- = KES 20mn. In the meantime, I received a nice dividend from KenRe [which has paid an annual dividend since 2012 unlike KQ] and during 1Q 2017 a dividend from KK and an interim dividend expected in 3Q 2017. Even @Obiero's "bank he hates" aka I&M paid a dividend. Equity did too. Ahhh! So did DTB juzi juzi! I don't expect a dividend from Unga [2016-17 was rough] but I look forward to 2017-18 if the country remains calm post-elections. I doubt KQ will pay a dividend for the next 2 years even after the restructuring as financiers, etc will want a "stronger" KQ that has cash on hand. Capital gains will outstrip measly dividend.. I actually rarely go for dividend stocks. Our investment strategies are world's apart Incesting on hope. Hehe. It would be ideal to learn English before posting on such weighty matters Correct me great Okqiero Life is short. Live passionately.
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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actuarywahisa wrote:@Obiero... sub 4 before 08/08 Immaterial drop, on the back of a cautionary statement. Only after EGM and elections day will the true value be revealed.. Meanwhile check out the volume
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Veteran Joined: 2/2/2012 Posts: 1,134 Location: Nairobi
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obiero wrote:VituVingiSana wrote:obiero wrote:winston wrote:After conversion of debt into equity for the banks (was it to be at 2.13/-?)...is there a lock in period for the banks or are they free to offload their stakes immediately in the stock market (at say 1/-)? @winston the stake was considered too large in terms of liquidity and hence would be consolidated at a ratio of 4:1.. Implying 2.13 times 4.. The new price would therefore be KES 8.52 In other words, a Reverse Split which adds no real value. All it does is reduce the number of shares... Example: 10mn shares at 2/- = KES 20mn. a 4:1 "conversion" = 2.5mn shares at 8/- = KES 20mn. In the meantime, I received a nice dividend from KenRe [which has paid an annual dividend since 2012 unlike KQ] and during 1Q 2017 a dividend from KK and an interim dividend expected in 3Q 2017. Even @Obiero's "bank he hates" aka I&M paid a dividend. Equity did too. Ahhh! So did DTB juzi juzi! I don't expect a dividend from Unga [2016-17 was rough] but I look forward to 2017-18 if the country remains calm post-elections. I doubt KQ will pay a dividend for the next 2 years even after the restructuring as financiers, etc will want a "stronger" KQ that has cash on hand. Capital gains will outstrip measly dividend.. I actually rarely go for dividend stocks. Our investment strategies are world's apart 2 years? You're so optimistic! % years as a minimum by my estimation. Most like 7 years. Only some one with a strategic objectives would buy this monkey! Meanwhile, I'm still wondering why CMA and NSE have never seen it fit to suspend KQ. Others have been suspended for far less "crimes".
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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chiaroscuro wrote:obiero wrote:VituVingiSana wrote:obiero wrote:winston wrote:After conversion of debt into equity for the banks (was it to be at 2.13/-?)...is there a lock in period for the banks or are they free to offload their stakes immediately in the stock market (at say 1/-)? @winston the stake was considered too large in terms of liquidity and hence would be consolidated at a ratio of 4:1.. Implying 2.13 times 4.. The new price would therefore be KES 8.52 In other words, a Reverse Split which adds no real value. All it does is reduce the number of shares... Example: 10mn shares at 2/- = KES 20mn. a 4:1 "conversion" = 2.5mn shares at 8/- = KES 20mn. In the meantime, I received a nice dividend from KenRe [which has paid an annual dividend since 2012 unlike KQ] and during 1Q 2017 a dividend from KK and an interim dividend expected in 3Q 2017. Even @Obiero's "bank he hates" aka I&M paid a dividend. Equity did too. Ahhh! So did DTB juzi juzi! I don't expect a dividend from Unga [2016-17 was rough] but I look forward to 2017-18 if the country remains calm post-elections. I doubt KQ will pay a dividend for the next 2 years even after the restructuring as financiers, etc will want a "stronger" KQ that has cash on hand. Capital gains will outstrip measly dividend.. I actually rarely go for dividend stocks. Our investment strategies are world's apart 2 years? You're so optimistic! % years as a minimum by my estimation. Most like 7 years. Only some one with a strategic objectives would buy this monkey! Meanwhile, I'm still wondering why CMA and NSE have never seen it fit to suspend KQ. Others have been suspended for far less "crimes". 1.4m shares traded as recently as today. Delisting will only happen once Kenya goes the Greece route.. God forbid
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Elder Joined: 9/20/2015 Posts: 2,811 Location: Mombasa
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obiero wrote:actuarywahisa wrote:@Obiero... sub 4 before 08/08 Immaterial drop, on the back of a cautionary statement. Only after EGM and elections day will the true value be revealed.. Meanwhile check out the volume Volume is mere speculation  Nothing tangible! John 5:17 But Jesus replied, “My Father is always working, and so am I.”
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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Spikes wrote:obiero wrote:actuarywahisa wrote:@Obiero... sub 4 before 08/08 Immaterial drop, on the back of a cautionary statement. Only after EGM and elections day will the true value be revealed.. Meanwhile check out the volume Volume is mere speculation Nothing tangible! You would not have posted such if you were at the Milimani Law Courts today as Sebastian handed in the majority creditors conditional agreement. KLM & GoK hold 56% of the shares and have agreed to the restructuring. Bankers are now at 82% agreement, against a minimum threshold of 75%. All lights are green. Let's do this. 1 trading day to EGM. http://www.businessdaily...43122-770nwoz/index.html
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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Watch and learn.. 
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Veteran Joined: 8/28/2015 Posts: 1,247
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obiero wrote:Watch and learn.. A list of guys in a deep hole. Just because they have agreed to stop digging, does not mean they have a way out of the mess. Just because a driver as realised that a vehicle's brakes have failed does not imply a method to stop it down hill is devised, he may opt to abandon it and jump out as well. ,Behold, a sower went forth to sow;....
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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muandiwambeu wrote:obiero wrote:Watch and learn.. A list of guys in a deep hole. Just because they have agreed to stop digging, does not mean they have a way out of the mess. Just because a driver as realised that a vehicle's brakes have failed does not imply a method to stop it down hill is devised, he may opt to abandon it and jump out as well. That's a very negative attitude. With a peaceful election, expect a phoenix moment
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Elder Joined: 9/23/2009 Posts: 8,083 Location: Enk are Nyirobi
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obiero wrote:muandiwambeu wrote:obiero wrote:Watch and learn.. A list of guys in a deep hole. Just because they have agreed to stop digging, does not mean they have a way out of the mess. Just because a driver as realised that a vehicle's brakes have failed does not imply a method to stop it down hill is devised, he may opt to abandon it and jump out as well. That's a very negative attitude. With a peaceful election, expect a phoenix moment One time you own 9.56% of a company then overnight you have 0.5%! If that is not shafting, i dont know what is. Life is short. Live passionately.
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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sparkly wrote:obiero wrote:muandiwambeu wrote:obiero wrote:Watch and learn.. A list of guys in a deep hole. Just because they have agreed to stop digging, does not mean they have a way out of the mess. Just because a driver as realised that a vehicle's brakes have failed does not imply a method to stop it down hill is devised, he may opt to abandon it and jump out as well. That's a very negative attitude. With a peaceful election, expect a phoenix moment One time you own 9.56% of a company then overnight you have 0.5%! If that is not shafting, i dont know what is. I believe that the restructure as explained in this document is the best way out for KQ..
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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muandiwambeu wrote:obiero wrote:Spikes wrote:obiero wrote:Ericsson wrote:obiero wrote:actuarywahisa wrote:obiero wrote:Ericsson wrote:
Kq is still in negative equity. Government loans amounting to $243mn is what will be converted to equity.
$525mn owed to US Exim Bank and $225mn owed to local lenders will have to be repaid with GOK acting as guarantor.
Local lenders/banks will not own any stake in KQ.
You could be right and that would imply less dilution.. Meanwhile, airlines and negative equity go hand in hand.. It's a normal thingy which we have already discussed here. The cash flow is what will be increased via the tenor concessions.. And that is a very good thing... As for bank debt to equity position, soma hii link along with the cautionary statement http://mobile.reuters.com/article/idUSKBN1962OA
The $225m for local banks will be converted to equity and then the deal appears for them to exit through open market. In the event that they are unable to exit and recover their money within the set timelines because of share price not recovering sufficiently then the government has to step in and compensate. And in the unlikely event that KQ folds then the Government wires capital + interest. @actuary seems @Ericsson did not go to school.. Could we team up and send the guy for gumbaru Kweli sikwenda shule. Tafakari haya basi "KQ, as it is known by its international code, secured House approval that will see the Treasury guarantee long-term loans that the airline owes the US Exim Bank ($525 million) and local lenders ($225 million). These guarantees are being made in exchange for “material concessions” that include an extension of debt tenors, which will improve the airline’s repayment obligations." http://www.businessdaily...76768-cxrmd3/index.html
@ericsson learn to listen to people who know what is happening.. KQ Lenders Co. LTD registered on 09.06.2017 shall now be a KQ shareholder. Total shares issued now rises to 29.9B.. Conversion price KES 2.13.. The same occurring via a share split and eventual consolidation with a factor of 1:4, resulting in 7.4B final listed shares. I await the Open Offer of 1.5B whose price the exchange bar notes has been agreed in principle to fall below KES 1.6.. There is no rights option so indeed I will buy to mitigate dilution of 95.5%, noting that the KQ Lenders Co Ltd, GoK & KLM will not participate in the issue. GoK now holds 45% of KQ.. KLM founding agreement of 1995 abolished. KQ now in positive equity of KES 11.5B. Sit tight Which means my prophecy of 2/ bob is already smashed! Please read the circular to understand the basis of arrival at KES 2.13. Its not as simple as you imagine, but definitely tomorrow the share may tank due to similar misunderstanding by Wanjiku. Meanwhile, the EGM will obviously approve the Open Offer on 07.08.2017. Plain calculations show that the fair value post-consolidation in a ratio of 1:4, to be KES 8.5 per KQ share, down from previous fair value of KES 10; still, PJT Partners, MJ, MN & SM have done a splendid job in the capital restructure.. Hats off https://photos.app.goo.gl/wrEb6X1GzBw4V1b93 sincerely it would not be any easy here, held by the steel balls. Somebody must be wondering how it got all the way to this difficult situation.  Tukutane kwa debe EGM
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Elder Joined: 9/23/2009 Posts: 8,083 Location: Enk are Nyirobi
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obiero wrote:sparkly wrote:obiero wrote:muandiwambeu wrote:obiero wrote:Watch and learn.. A list of guys in a deep hole. Just because they have agreed to stop digging, does not mean they have a way out of the mess. Just because a driver as realised that a vehicle's brakes have failed does not imply a method to stop it down hill is devised, he may opt to abandon it and jump out as well. That's a very negative attitude. With a peaceful election, expect a phoenix moment One time you own 9.56% of a company then overnight you have 0.5%! If that is not shafting, i dont know what is. I believe that the restructure as explained in this document is the best way out for KQ.. You own a 10 bedroom palace. Your neighbor takes over the palace but lets you keep the bathroom. The palace is indifferent but Mrs Obiero will not be amused, donge? Life is short. Live passionately.
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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sparkly wrote:obiero wrote:sparkly wrote:obiero wrote:muandiwambeu wrote:obiero wrote:Watch and learn.. A list of guys in a deep hole. Just because they have agreed to stop digging, does not mean they have a way out of the mess. Just because a driver as realised that a vehicle's brakes have failed does not imply a method to stop it down hill is devised, he may opt to abandon it and jump out as well. That's a very negative attitude. With a peaceful election, expect a phoenix moment One time you own 9.56% of a company then overnight you have 0.5%! If that is not shafting, i dont know what is. I believe that the restructure as explained in this document is the best way out for KQ.. You own a 10 bedroom palace. Your neighbor takes over the palace but lets you keep the bathroom. The palace is indifferent but Mrs Obiero will not be amused, donge? Hehe. Omera. That's a nasty example. A better fit would be.. I used to own 24 bottles of wine worth KES 700 each but now I am told that due to other traders price adjustment I should consider that despite several broken bottles during transportation, my 2 remaining wine bottles are now worth KES 450 but that the dealer due to our long business relationship has offered a purchase of each new bottle at a subsidized price of KES 150 each. Further and more shockingly the dealer announces that all the old and next incoming shipment would retail at KES 852 as from 08.08.17. I think it's fair
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Veteran Joined: 8/28/2015 Posts: 1,247
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obiero wrote:sparkly wrote:obiero wrote:sparkly wrote:obiero wrote:muandiwambeu wrote:obiero wrote:Watch and learn.. A list of guys in a deep hole. Just because they have agreed to stop digging, does not mean they have a way out of the mess. Just because a driver as realised that a vehicle's brakes have failed does not imply a method to stop it down hill is devised, he may opt to abandon it and jump out as well. That's a very negative attitude. With a peaceful election, expect a phoenix moment One time you own 9.56% of a company then overnight you have 0.5%! If that is not shafting, i dont know what is. I believe that the restructure as explained in this document is the best way out for KQ.. You own a 10 bedroom palace. Your neighbor takes over the palace but lets you keep the bathroom. The palace is indifferent but Mrs Obiero will not be amused, donge? Hehe. Omera. That's a nasty example. A better fit would be.. I used to own 24 bottles of wine worth KES 700 each but now I am told that due to other traders price adjustment I should consider that despite several broken bottles during transportation, my 2 remaining wine bottles are now worth KES 450 but that the dealer due to our long business relationship has offered a purchase of each new bottle at a subsidized price of KES 150 each. Further and more shockingly the dealer announces that all the old and next incoming shipment would retail at KES 852 as from 08.08.17. I think it's fair You do not hold the market by the balls @Obiero. You may set the price like its already set at kshs 5/= but trade at kshs 4/= bob market price. The market does not work with your EGM mad men's resolutions. The market is independent and very rational to give u adjustments for your crazy decisions. Look already for the Mr markets mood and see if you are catching a flu too ,Behold, a sower went forth to sow;....
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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muandiwambeu wrote:obiero wrote:sparkly wrote:obiero wrote:sparkly wrote:obiero wrote:muandiwambeu wrote:obiero wrote:Watch and learn.. A list of guys in a deep hole. Just because they have agreed to stop digging, does not mean they have a way out of the mess. Just because a driver as realised that a vehicle's brakes have failed does not imply a method to stop it down hill is devised, he may opt to abandon it and jump out as well. That's a very negative attitude. With a peaceful election, expect a phoenix moment One time you own 9.56% of a company then overnight you have 0.5%! If that is not shafting, i dont know what is. I believe that the restructure as explained in this document is the best way out for KQ.. You own a 10 bedroom palace. Your neighbor takes over the palace but lets you keep the bathroom. The palace is indifferent but Mrs Obiero will not be amused, donge? Hehe. Omera. That's a nasty example. A better fit would be.. I used to own 24 bottles of wine worth KES 700 each but now I am told that due to other traders price adjustment I should consider that despite several broken bottles during transportation, my 2 remaining wine bottles are now worth KES 450 but that the dealer due to our long business relationship has offered a purchase of each new bottle at a subsidized price of KES 150 each. Further and more shockingly the dealer announces that all the old and next incoming shipment would retail at KES 852 as from 08.08.17. I think it's fair You do not hold the market by the balls @Obiero. You may set the price like its already set at kshs 5/= but trade at kshs 4/= bob market price. The market does not work with your EGM mad men's resolutions. The market is independent and very rational to give u adjustments for your crazy decisions. Look already for the Mr markets mood and see if you are catching a flu too Hehe. Sasa mad men ni Michael Joseph au nani
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Member Joined: 4/14/2010 Posts: 806 Location: Nairobi
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Is this the longest running thread on Wazua? 8218 Posts and still rolling in...
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