Kier Group - Re: KIE Stream Log - Wrong way around; the Kier...

Wrong way around; the Kier Living debt was taken over by the Kier parent group. Nothing has been inflated. That's not even Davies's style; he wrote down more than three hundred million in the end of year accounts. The book value of the division is £163m. Estimates for the sale price are around £150m at the moment. But the sale value is not the most critical value here. The whole point in selling KL is to reduce the size of the group and thereby reduce its working capital needs. Plus over 500 people are removed from the Kier payroll. Re assets sales; no, the update isn't silent. It says it's progressing them. Kier has made lots of asset sales throughout the year including its Australian roads business and property in the UK. The KL sale will probably be the next big asset to go. Bidders are in play. When it happens, the share price will go ballistic because it'll be a clear signal that the group is emerging from its cash-poor position and it'll demonstrate Davies's ability to put his plans into action. Not that there's much doubt of that. Virtually the entire Kier board team has been replaced under Davies's management.