zulu principle2
30 Jan 2015
Slater Investments increase holding Slater Investments increase holding[link]
janebolacha
30 Jan 2015
Change of broker The use of the words "with immediate effect" in yesterday afternoon's RNS may have contributed to the share price fall yesterday. However, the RNS early last year informing of the appointment of Cenkos as joint brokers used the same phrase (admittedly, not the best of wording) so there wouldn't appear to be anything amiss there. Besides, Cenkos are under a bit of a cloud in connection with Quindell. There was a large sale yesterday, of 118,791 shares, put up on L2 about 45 minutes before the issue of the RNS. Connection?
Willow67
25 Dec 2014
2015 Avation is one of my biggest hopes for 2015. Looking back through the RNS's of 2014 and my own notes from speaking to them, its hard not to end up feeling hugely optimistic. They are trading on a June 2015 PER of just 7 and PEG of 0.4. The pipeline is strong and they have been delivering around 1 new aircraft every moth for the last half year. Their net financing cost is steadily falling and they are clearly diversifying the business. They have a tax rate cut coming from 17% to 10% mid year this year which will add a few $m to the bottom line. The shares have been volatile as we know, gapping up and down 10-20% quite regularly but next year I hope will be the year they go through and well beyond £2.
janebolacha
24 Dec 2014
Today's RNS: More to come? Air India Regional seems to be the same set-up as Alliance Air. They are talking of adding eight ATR aircraft to their fleet by the end of 2015. I wonder if they will be leased from AVAP.[link]
IOMINVESTCOM
24 Dec 2014
Delivers good news this morning Nice to see new clients in new markets
IOMINVESTCOM
11 Dec 2014
T1ps - Avation - Refinancing Update Avation - Refinancing UpdateToday (2014-12-11 15:49:36)Print this Articleby James FaulknerAircraft leasing company Avation (AVAP) notes that its subsidiary, Capital Lease Aviation PLC (CLA), has successfully refinanced two A321-200 aircraft currently on lease to Thomas Cook Airlines. The new loan facility of $31 million (with a "major European bank"
reduces the group's overall interest rate cost of debt and releases approximately $10 million in cash. The new facility reduces the cost of debt on the two aircraft by 30% (compared with the cost of the old facility) and reduces the weighted average cost of debt for the Avation group by 14 basis points from 4.78% to 4.64%.Assessment & valuationAs the company grows it is possible that it will be able to gradually refinance all of its debt at more favourable interest rates, which could entail a significant uplift to earnings. Broker WH Ireland points out that Avation's largest peers have recently demonstrated an ability to borrow at rates in the region of 3%. If the company could refinance all of its debt at half its current rate, this would add c.50% to pre-tax profits, according to the broker.Avation continues to make good progress on all fronts in our view, including fleet expansion, customer and geographic diversification, and cost of capital. All told, this sets the scene for further growth in revenues, profits and earnings per share in FY15. Growth looks well underpinned by agreements currently in place, and purchase orders/options with manufacturer ATR leave Avation looking set to more than double its fleet over the next 3 years.At the current price of 149.5p, Avation trades on a current P/E of c.6.8 times (using broker WH Ireland forecasts). With the last stated net asset value at c.£67.4 million, Avation currently trades at a c.28% premium to (mostly tangible) net asset value. Although the firm is currently in growth mode, we see scope for increasing levels of returns to investors over time and as the business matures, especially given the cash generative nature of the business.We also note that Avation currently has options over a further >20 new ATR aircraft taking fleet growth potentially to over 60 aircraft. While these are currently shown as having nil value on the balance sheet, it is worth bearing in mind that two planes were sold during the last financial year for an estimated profit in excess of $1.4 million each, implying assets could be understated by around $38 million, according to WH Ireland.Risks are mainly industry-specific and we again point out the reliance on one customer (Virgin Australia) as a particular weakness in the business model, albeit one the company is clearly seeking to address. 'Strong hold', at 149.5p.[link]
janebolacha
11 Dec 2014
Excellent RNS [link]
