Bowman
28 Jun 2018
AGM Trading Update JD released a AGM trading update this morning for today’s 2018 AGM.
Bowman
28 Jun 2018
Re: US acquisition From my Citywire email this morning. JD Sports shares don’t reflect US potential, says Peel Hunt JD Sports (JD) takeover of US shoe store chain The Finish Line is complete and is a ‘crucial piece’ in the sportswear retailers global growth, says Peel Hunt. Analyst Jonathan Pritchard retained his ‘buy’ recommendation and increased the target price from 500p to 525p on the stock, which added 1.6% or 7p to 434.8p. Pritchard said the deal has two-fold potential to ‘elevate JD to the next level’. ‘Firstly, in a world in which brands are increasing going direct-to-consumer, relationships with Nike and Adidas aren’t just important, they’re life and death,’ he said. ‘Finish Line adds scale and is another crucial piece in JD’s global jigsaw.’ He added that although UK retailers have failed in the US before, JD is ‘bringing financial clout and deeper brand relationships to a workable store portfolio, and will, in our view, succeed stateside’. ‘The shares don’t reflect that.’
bushwhacker
20 Jun 2018
Re: US acquisition Nice gains today now Sports direct have removed any obstacle of completing the purchase of Finish Line.
bushwhacker
16 Jun 2018
Re: US acquisition JD Sports Fashion Plc Result of General Meeting JD Sports Fashion Plc (the “Companyâ€) announces that at its General Meeting held earlier today, the resolution was duly passed. The result of the resolution is set out below: Resolution Name Number of Votes For % of Votes For Number of Votes Against % of Votes Against Number of Votes Withheld % of Votes Withheld To approve the acquisition by the Company of The Finish Line, Inc. by means of a merger of Genesis Merger Sub, Inc. and The Finish Line, Inc. 899,638,816 99.995% 42,700 0.005% 385,841 0.043% As set out in the circular posted to shareholders on 30 May 2018 (the “Shareholder Circularâ€), the acquisition by the Company of The Finish Line, Inc. (the “Acquisitionâ€) also required the approval of the shareholders of The Finish Line, Inc. This was received on 11 June 2018. Accordingly, all conditions to the Acquisition as set out in the Shareholder Circular have now been satisfied and, as such, completion is expected to take place on 18 June 2018. In accordance with Listing Rule 9.6.2R, a copy of the resolution passed at the General Meeting has also been submitted to the UKLA via the National Storage Mechanism and will shortly be available for inspection at www.morningstar.co.uk/uk/NSM . Enquiries :
peddlar
16 May 2018
Any reason for the drop.. Cant see why this shifted down.
II Editor
18 Apr 2018
NEW ARTICLE: Exciting chart potential at JD Sports "JD Sports Fashion (LSE:JD.)We approach that awkward time of the year when fat sports enthusiasts insist on buying their favoured apparel, working on the basis watching sport on TV rather than doing it is good for you. Our thoughts turned to ..."[link]
II Editor
17 Apr 2018
NEW ARTICLE: Trends and Targets for 18/04/2018 " JD SPORTS FASHION (LSE:JD.) We approach that awkward time of the year when fat sports enthusiasts insist on buying their favoured apparel, working on the basis watching sport on TV rather than doing it is good for you. Our thoughts turned to ..."[link]
malj1
17 Apr 2018
Re: fy 18 Another set of v strong results despite the much predicted death of retail etc. Mr Mkt another gallic shrug of indifference. Continued v stg track of track record of buying in marginal companies, consolidating them, whilst still building core sports operating margin. So the US acquisition bodes well. Massive buying leverage there. Even without US economies of scale, a v gd company at a v v fair price. Favourable demographics too.
II Editor
17 Apr 2018
NEW ARTICLE: Why fast-growing JD Sports could be worth a third more "Having stepped up the profits pace from £100 million in 2015 to more than £300 million three years later, LSE:JD.:JD Sports Fashion showed again today why it remains the high street retailer to beat.Its impressive 26% rise in headline profits to ..."[link]
Cashman103
28 Mar 2018
Re: US acquisition The Acquisition is to be funded by way of a new revolving credit facility for JD and a new asset backed lending facility secured against Finish Line's inventory and receivables.[link]
malj1
28 Mar 2018
Re: US acquisition JD v cash generative. At Jul17 they had £220m net cash on the b/s (after the previous acquisitions). Jul18, around when this deal will complete, I think they will have enough cash to fund the acquisition (cost £390m) without recourse to debt. They will need a bigger std debt facility to cover working capital & expanded operational needs.The acquisition has an operating margin of 3%. JD has latterly expanded by international acquisitions, all of which had low operating margins. In the last 2 years for example it has increased by +300 stores (+40%) yet without diluting the sports margin of ca 11%. So it has a good track record in this matter.
Cashman103
27 Mar 2018
Re: US acquisition It's being financed with debt. The profit margin looks low in the acquisition, but like other acquisitions, it's probably bought with a view of improving the business and making economies of scale.
malj1
27 Mar 2018
Re: US acquisition Well that’s an interesting deal. Now we know what is happening to the cash pile. Not an obvious master stroke. But entry to leading global market with major footprint & infrastructure. Massive buying leverage (co t/o jumping ca +45%). Certainly haven’t overpaid. All cash deal indicates mgmt bullish this will work. Acquisition in JD’s main area of strength: sports goods. Co should remain ungeared.As I say not immediately transformational. But I think it changes JD from a v gd co at a fullish price, to a v gd co at a fair price.
Cashman103
16 Jan 2018
Re: IMS I sold too early. I sold over 2 years ago. My decision to buy was taken when I seen it had more cash than debt and it had a high return on equity. It was also on a historic P/E of 6.
malj1
16 Jan 2018
Re: IMS I started loading up in Jul 08 @ 16p ps (adjusting for the subsequent splits). So *24 capital gain before the (very modest) dy. My best ever move (to date!).
