Thats 25% of their fleet based at one airport......................

The company would base 50% of the fleet at LGW if they could get the runway slots for it. It is like a money printing press.

Stelios on the warpath again
 

"If they place such an order now I will be looking to dispose of more of my stake before this happens." (Stelios)

A threat? But what actually would happen if he sold his stake? Most likely a significant drop in stock's value, but a transient one, I assume. Am I wrong?

Stelios is mouthing off. To dump over 25% of a company's shares on the market is a non trivial exercise. By forcing the sale of shares into the market, the price will fall while the market takes a gulp to absorb the shares. Stelios will see a decline on the value of his investment. Within a couple of weeks pension funds and insurers will have all bought up the stock cheaply and the share price will have returned largely to normal. Furthermore Easyjet's board will likely be pleased to see the back of an overbearing shareholder and return to running their business. It is possible that the share price will rise as they will see a board acting in the interests of all shareholders rather than just one.

If Stelios wants to sell, let him go ahead

Shed - no offence taken - always nice when someone has the same sentiment but for slightly different reasoning

If a large block of shares in an otherwise valuable company were to be disposed of in a reckless and hasty manner, the party driving the selling would be exposed as the real loser once the dust settles. In reality, a large shareholder looking to dispose of a significant shareholding needs to sell in accordance with a sensible strategy in order to protect their own interests by achieving the highest possible price for the asset. When a shareholding constitutes some 37% of a successful, profitable company with (arguably) bright prospects, it should be relatively straightforward to broker the sale of large blocs of shares directly to institutional investors without trashing the shareprice on the open market.

However, if a large shareholder actually wishes to disrupt the market in a company's shares as part of a larger agenda (to apply pressure on management, for example), then the rapid disposal of a significant bloc of shares into the mainstream market will achieve the desired effect. Whilst this could only be done as a tactic (the shares sold would achieve well below best price for the seller), a 37% shareholder could sustain such losses for quite some time before eating significantly into his core holding. A disgruntled major shareholder could regard the sum forfeited as a consequence of intentional reckless selling as a worthwhile 'price' for making his point.

The above observations are of course generic. In the specific case of EasyJet, we are not party to the motives and objectives of Stelios and his allies (although we may deduce certain patterns from media reports). IMHO, if Stelios and allies were intent on selling out, I believe that there would be sufficient institutional interest to buy him out at or close to the prevailing shareprice. Of course, if the true motive is to remain a major shareholder for the long term, then a programme of tactical disposals (at a cost) may make sense to the selling party in order to exert influence over company policy.

Having followed this story for a very long time, it is difficult to foresee a joyful reconciliation between Stelios and his allies on one side and EasyJet management on the other. If Stelios could be persuaded to sell up (and reinvest the proceeds realised in companies better aligned with his stated investment objectives), this could be the best outcome for all parties concerned. Stelios could invest elsewhere for dividend income; EasyJet management could plan their fleet procurement as they see fit going forward.

PS. davidjohnson6 - My posting was already in composition before your reply appeared on the thread. No intention to tread on your toes here. Regards.

If Stelios and family sell all shareholding to one party Easyjet would be in a takeover situation. Th enew owner of the shares would have to make a bid for all shares.

Interesting scenario.

Based on last published accounts 4 shareholders control over 50% of the shares.
Easygroup holdings 26.07
Polys Haji-Ioannou 11.11
Prudential 6.24
Standard Life 7.36
(Standard Life have acquired up to another 1% since then)

Even if he didn't sell then all it would need is one Institution to stop supporting management for a substantial Board change to occur.

Being a bit of a cynic wondering if Stelios decided to sell some shares because they are at the highest they have ever been. A nice little profit. Surely not?

On the other hand, if he wants to ensure that his will always prevails, he needs to be buying shares, until he owns 50%+1.

Fairdeal - if Stelios wants to go from his family's current 37% stake to 50%, he'll need to find a minimum of £450m. That's ignoring any possible obligations to make an offer for the remaining 50% of shares. Wealthy though Stelios may be, it's a lot of money to find and I doubt a bank or syndicate of banks would be looking to lend him that kind of cash any time soon even if he puts up the shares as collateral

So Stelios wants no new order in a buying climate where delivery slots are pushing further into the future.......re-equip in 2020+ when dozens of airbus would have been scrapped for sold off and an ageing fleet, with that's expence....
I would take the boards side in getting the delivery slots, MOI. At least they are in the chain before multiple Asian carriers order 200+ from A or B.
The big question is buying from whom and what number of seats 70-200?

Yes Compton,

I think he needs the cash for other ventures (fastJet?)

The rest is just the usual hot air. Disruptive 'passenger' now!

Binder

Somebody's beaten him to it:

Our Airline - Fastjet

Thats his airline and doing well

Apologies, but you can see why I was confused:

(from Wiki)

Never take for granted what wiki says about anything:rolleyes:

Good numbers for the first quarter of the 2013 financial year: Latest news - easyJet plc

Looks like a new order is being considered:

easyJet defies Sir Stelios with plan for new aircraft - Telegraph

LTN-TLV
 

BBC News - The Middle East conflict at 35,000 feet

I suppose some flights are more difficult and others?

Seems easyjet are very accommodating to the needs of some passengers.

Out of interest is TLV in the mix for any Cabin Crew or is there a dedicated team? It certainly sounds an interesting route - well as long as you are not on one of these flights.

Well at least the first problem was sorted by diplomatic persuasion but the second is quite mind-boggling on a 180 seat A320 with not that much space to play with.


Pete

Wow. That BBC journo is a shoe-in at the awards ceremony for 'Most Painful Metaphor'.