Virgin In Trading Halt
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Virgin In Trading Halt
Article from The Australian website.
Virgin in trading halt amid capital raising speculation
July 13, 2009
Article from: The Australian
SHARES in Virgin Blue entered a trading halt today amid speculation that the carrier will undertake a capital raising.
A statement from the Australian Securities Exchange today said shares in Virgin Blue would be placed in pre-open, pending the release of an announcement by the company.
Shares in Virgin Blue closed on Friday at 30.5 cents.
Responding to press reports that Virgin Blue plans to raise up to $400 million via a capital raising, a spokeswoman today said the carrier had not hired a lead manager and any report of a possible capital raising by the airline was speculation.
"It's pure speculation," the spokeswoman said.
With AAP, Dow Jones Newswires
July 13, 2009
Article from: The Australian
SHARES in Virgin Blue entered a trading halt today amid speculation that the carrier will undertake a capital raising.
A statement from the Australian Securities Exchange today said shares in Virgin Blue would be placed in pre-open, pending the release of an announcement by the company.
Shares in Virgin Blue closed on Friday at 30.5 cents.
Responding to press reports that Virgin Blue plans to raise up to $400 million via a capital raising, a spokeswoman today said the carrier had not hired a lead manager and any report of a possible capital raising by the airline was speculation.
"It's pure speculation," the spokeswoman said.
With AAP, Dow Jones Newswires
Sprucegoose
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So if it's not a capital raising, then what is it? Take over? Merger?
MELBOURNE (Dow Jones)
--Virgin Blue Holdings Ltd. (VBA.AU) plans to raise up to A$400 million via a capital raising, which is likely to be announced this week, the Sydney Morning Herald reported on its Web site Monday.
Without citing sources, the report said Goldman Sachs JBWere is playing a role in the capital raising, which is expected to be announced Wednesday.
The report said there is speculation that Virgin Blue may have to bring in a cornerstone investor to achieve the target. Richard Branson's Virgin Group, which owns a 25.5% stake in the airline, may not participate in any raising, the report said.
Virgin Blue currently has a market capitalization of A$320.8 million.
Without citing sources, the report said Goldman Sachs JBWere is playing a role in the capital raising, which is expected to be announced Wednesday.
The report said there is speculation that Virgin Blue may have to bring in a cornerstone investor to achieve the target. Richard Branson's Virgin Group, which owns a 25.5% stake in the airline, may not participate in any raising, the report said.
Virgin Blue currently has a market capitalization of A$320.8 million.
So if it's not a capital raising, then what is it? Take over? Merger?
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yes its the words used that count.they cant deny unless its deniable and they wont confirm until its set in concrete.
Continuous disclosure and an informed market.
I'd be amazed if it were not a capital raising.
Continuous disclosure and an informed market.
I'd be amazed if it were not a capital raising.
Last edited by ampclamp; 13th Jul 2009 at 03:41. Reason: Im half dead from night shift and cant spell.
the market.
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They had to call a halt a provide a response to the news item.They cant continue to trade whilst some of the market is informed and other parts not.
So a halt is called, a brief is prepared and issued so that all players have a chance to be up to speed prior to restart of trade.
It aint perfect but they are the listing rules.
I still believe that they'll be chasing cash soon enough despite the refutation by vba on the details of the news item. not the destinct possibility they may (like many other companies) be looking to top up capital in these tough times.
So a halt is called, a brief is prepared and issued so that all players have a chance to be up to speed prior to restart of trade.
It aint perfect but they are the listing rules.
I still believe that they'll be chasing cash soon enough despite the refutation by vba on the details of the news item. not the destinct possibility they may (like many other companies) be looking to top up capital in these tough times.
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Krusty
What they had was 600m in cash. That is different to market cap. Market cap has been around 300m for some time. Except for when the shares dipped down to 15c. Then it was around 150m
Some of that 600m is tied up in finance covenants
V
What they had was 600m in cash. That is different to market cap. Market cap has been around 300m for some time. Except for when the shares dipped down to 15c. Then it was around 150m
Some of that 600m is tied up in finance covenants
V
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Originally Posted by Mr Hat
Both companies losing millions and millions of dollars and the government happy to keep taking ALL the fees levies and taxes they can get their hands on.
I, for one, don't want to see a taxpayer handout to airlines, which is the inference of your post.
Yes there is an argument, which IATA continues to run, which says airport security is national security and nothing to do with the airline industry as such. But I don't think that was your point.
Mr Hat, most of those fees go to the owners of the airports - you know, respectable companies like Macquarie AirPorts. In these times, the airlines are doing everything possible to stimulate demand but the airport owners haven't contributed in any way.
Wod
It is worth pointing out that the cost of operating into and out of Australian airports is a complete rip off compared to the rest of the world. Last time I looked the airport and government charges to operate into and out of Sydney for example were 4x more expensive than operating into and out of Hong Kong. US airports are even cheaper than that. It's about time something is done with the airports in Australia. The genious that thought of selling them should be taken out the back and shot. Monopolies should never be in the hands of private enterprise unless strict rules are imposed on them.
It is worth pointing out that the cost of operating into and out of Australian airports is a complete rip off compared to the rest of the world. Last time I looked the airport and government charges to operate into and out of Sydney for example were 4x more expensive than operating into and out of Hong Kong. US airports are even cheaper than that. It's about time something is done with the airports in Australia. The genious that thought of selling them should be taken out the back and shot. Monopolies should never be in the hands of private enterprise unless strict rules are imposed on them.
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re the above post the following link says it all 
Max Moore-Wilton - Wikipedia, the free encyclopedia
Max Moore-Wilton - Wikipedia, the free encyclopedia