Marston's to operate 150 Brain's pubs in Wales

[MDW1954]

Fellow shareholders will doubtless welcome CEO Ralph Findlay's latest canny move:

https://www.bbc.co.uk/news/uk-wales-55421848

MDW1954

Moderator Message:
Sloppily-worded title edited to make the nature of the transaction clearer. Apologies. --MDW1954

[barchid]

MDW
Well let us hope that it is a "cannier" move than loading up the company with a debt mountain, much of it securitised, capped & collared at rather higher rates than at present for quite a long time too. Then having to lose control of the brewery to help it through covid.
Out of interest, now this pays no divi, should it still be in HYP thread, not sure of the protocol on that ?

[scrumpyjack]

They haven't bought the pubs. They are going to operate them on a leasehold basis paying rent.

https://www.investegate.co.uk/marston-- ... 00036503J/

[dealtn]

MDW
Well let us hope that it is a "cannier" move than loading up the company with a debt mountain, much of it securitised, capped & collared at rather higher rates than at present for quite a long time too. Then having to lose control of the brewery to help it through covid.
Out of interest, now this pays no divi, should it still be in HYP thread, not sure of the protocol on that ?

You (and anyone else) can discuss it freely on the Company Share news Board, where a conversation also exists, without any caveats/baggage with respect to whether it is HYP relevant or not.

viewtopic.php?f=94&p=369143#p369143

[dealtn]

They haven't bought the pubs. They are going to operate them on a leasehold basis paying rent.

https://www.investegate.co.uk/marston-- ... 00036503J/

Nearly. That's how they are operating the freehold estate of Brain's. The leasehold estate will be operated on a management contract basis, with Brains presumably responsible for the rent arrangement with the freeholder.

(Not really HYP Practical so further discussion better on the other thread?)

[Gengulphus]

Out of interest, now this pays no divi, should it still be in HYP thread, not sure of the protocol on that ?

The requirement about yield in this board's guidance is that shares should "When initially bought, have yields greater than the yield of the FTSE 100 index." So discussing Marston's here from the point of view of a HYPer who bought it when it was a high-yielder and still holds it is fine. (I intend this just as a pointer to the relevant 'protocol'. I won't discuss it here, and would discourage others from discussing it here, because that guidance also says "Discussion of these rules is NOT permitted here, but can be raised in the Biscuit Bar.".)

Gengulphus

[barchid]

Gengulphus
Thanks, I did wonder, I now understand.
Appreciated

[TUK020]

Out of interest, now this pays no divi, should it still be in HYP thread, not sure of the protocol on that ?

The requirement about yield in this board's guidance is that shares should "When initially bought, have yields greater than the yield of the FTSE 100 index." So discussing Marston's here from the point of view of a HYPer who bought it when it was a high-yielder and still holds it is fine. (I intend this just as a pointer to the relevant 'protocol'. I won't discuss it here, and would discourage others from discussing it here, because that guidance also says "Discussion of these rules is NOT permitted here, but can be raised in the Biscuit Bar.".)

Gengulphus

And so the purpose of cross posting this item here is??

Moderator Message:
Let's have no more discussion of this, please. While readers shouldn't need reminding of the guidelines, some clearly do, and so Gengulphus's further reminder is to be appreciated. --MDW1954