EIFFS
Lets hope so, for the good guys and gals at NAX, and my NAX shares
Having gone through turn arounds, recessions and even a major bankruptcy I think all signs for a takeover is present - rather a takeover than the alternative.
When I say alternative I don’t mean the present shape of NAX, unfortunately.
Is the roumer about a so called Focus2019 plan correct? Saving 3 Bn in one year is to me another indication of preparation for a sale. No company, that I’ve heard off in aviation were able to save or cost reduce the amount post yearly deficit. Sure it sounds nice and the beancounters and their spreadsheets can’t wait for all the savings to materialize - but it won’t...
If a 3 Bn saving or cost reduction program in a LowCost company were legimite what is it silently telling us? NAX has, as a LowCost company done things very very wrong recently ? No they havent! Again, if this roumered saving or cost reduction plan materialzes without union involvement I will be amazed.
Another thing, the guarnteed underwriting from the Norwegian billionaire from Cypres. I would love to see what his terms and conditions were for the guarnteed underwriting. My bet is, if IAG makes another run at NAX the shares rise is a pleasent forthcomming for Mr Fredriksen . On the contrary, should NAX go tits up my bet is Mr Fredriksen owns a bunch of rednosed metal.
He will make money regardless is my bet.
A third thing which is why I think a sale is still a fairly realistic outcome. During 2018 Xmass some analytics were raving on about an imminent NAX collapse. Shockingly they were right . NAX made a statement Xmass day I believe saying the equity were stable - that was correct, stable and dangerously low, nearly breaching the debt covenants. Making money 2-3 out of 12 months won’t do it long run - something, somewhere must be adressed. Let’s see if the magic from last years Q2 will carry over to Q2 2019 - easter falls late this year like in 2017.
After IAG allegedly gave up on NAX the head of the board openly in an interview stated that NAX remained open to consolidation. Makes you think if that recent emission is enough long term.
The positive thing is that it seems the NAX management has finally come to the conclusion that something is up..! Let’s see how it pans out. My bet is still on IAG or atleast a sale........
Either way mate, I will keep buying NAX tickets, love the product and I like the way NAX stirred up the north atlantic market ...
Beers on me
Brgds