LLA - Living and Leisure Australia Group

[Kremmen]

Volume is usually in the 10's or maybe 100's of thousands per day. 11:42am today there was one crossed trade at $0.020 of 22,637,416 shares and almost another million have gone through besides.

 

[bugmenot]

Very interesting. For a company with high exposure to the snow skiing industry, is it possible investors are speculating that this years good season will create a profit surprise?

Looking at the last couple of years I think it is safe to presume that LLA is either extremely oversold or that has a massive amount of debt?

 

[dbcok]

Does the sale of one million only equate to twenty thousand dollars at two cents a share-not great dollar value but plenty of volume.
I sold mine recently -for taxation loss purposes.Had them since the MFS days,but am looking to buy back if the price is right.Hopefully they should resume distributions soon.
Their aquarium in Bangkok is always a worry for them.

 

[Kremmen]

Does the sale of one million only equate to twenty thousand dollars at two cents a share-not great dollar value but plenty of volume.

It's definitely a large volume compared to their common daily volume of zero. They mostly don't trade at all.

 

[asianmgt]

Can't understand price being so low. Went to company AGM last year and someone indicated there was $30m in cashflow reserves.
Must be more $$ now with a bumper snow and summer season at the aquariums.
debt is not that high since Packer bought into the group.

 

[dbcok]

Hard to tell what their stategy in relation to dividends is yet.They do not give out much guidance on earnings.
We should know more shortly.

 

[Malindidzumu]

Does anyone know when LLA will release their full year results for FY09?

I will be very interested to see their full year results as their half year results released in February looked very promising.

I bought into this stock recently as I was looking for a heavily oversold cheap stock to add to my portfolio and I couldn't believe it when I came across a stock of the quality of LLA trading for less than 3c.

I am impressed with LLA having two quality ski resorts comprising 26% of the Australian ski market and their aquariums diversified across Asia, but I am not sure about how profitable tree top walks will be. I think that if LLA could secure a a couple of northern hemisphere ski resorts either in Japan, the US, Canada, or somewhere in Europe then it would mean full year earnings from ski resorts in addition to full year earnings from aquariums. I just think with ski reorts being seasonal that LLA really needs both northern and southern hemisphere ski resorts in their portfolio to maximise their earnings potential and spread the risk of poor ski seasons in any particular ski resort or country. Does anyone have any thoughts on this?

It seems that this company has gone a long way in the right direction to fix its problems over the past year or so yet the market seems oblivious to the measures undertaken by the company and the progress it has made to manage its debt and position the company for future growth.

I am happy to just sit on this and wait for the market to eventually take notice and enjoy what should be a nice capital gain and distribution yield to boot in the months and years to come.

A share price of less than 3c is a complete joke under any circumstance yet alone when the company seems to have well and truly sorted out the issues that once threatened its survival.

 

[Kremmen]

Does anyone know when LLA will release their full year results for FY09?

Results are out.

$27.6m Operational EBITDA, yet a "loss" recorded because of yet more large write-downs of assets.

 

[Kremmen]

Over the last month, LLA has traded between 2.7c and 3.3c. This arvo it's traded to 3.5c and there are no sellers on the market at under 4.0c.

 

[Kremmen]

Well, they've sure been in a slump since last we looked at them. Having mostly sat around 2c for the past year, there's been a sudden jump and massive (for them) volume today on the news that the company is "considering strategic initiatives aimed at reducing the discount between the listed price of LLA securities and fair value."

Would be nice for us holders if they achieve that.

 

[Kremmen]

It's taken a couple of months, but it looks like some promising movement. 50% rise in the last couple of days, followed by a speeding ticket and trading halt.

 

[Kremmen]

For those who haven't been watching (errr, which appears to be everyone but me), 5.14c/share takeover offer from Merlin Entertainments Group. Instos and directors, holding 87% of shares, have said they support it, so it'll be gone soon.

 

[junhan]

For those who haven't been watching (errr, which appears to be everyone but me), 5.14c/share takeover offer from Merlin Entertainments Group. Instos and directors, holding 87% of shares, have said they support it, so it'll be gone soon.

sorry im new here, could you explain the implications?

what do yo umean by they have support for it and it'll be gone soon

 

[McLovin]

sorry im new here, could you explain the implications?

what do yo umean by they have support for it and it'll be gone soon

Those holding 87% of the issued shares support the takeover and so will vote in favour of it. The implication being that it is all but certain that the takeover will go ahead at 5.14c/share and the company will be gone.

 

[junhan]

Those holding 87% of the issued shares support the takeover and so will vote in favour of it. The implication being that it is all but certain that the takeover will go ahead at 5.14c/share and the company will be gone.

would you reckon that 5c is a good entry point?

 

[skc]

would you reckon that 5c is a good entry point?

With 5c entry you get 5.14c. Your return is fixed @ 2.8% (0.14c /5c) barring any unforeseen circumstances that the deal falls through.

If the deal takes 3 months to complete your annualised return would be ~11.2%. It's up to you to decide whether this retrun represents the best use of your capital, or if it compensate you for the small chance that the deal doesn't go ahead.

Don't forget brokerage costs as well.

 

[Kremmen]

The end is near. Cheques have been sent out to those who accepted. Merlin has 96+% of the company and has started compulsory acquisition proceedings.

Hope some of you hopped aboard. Doubling in 2 years didn't make it the best stock, but it sure wasn't the worst.

At close of trade March 14, LLA will be suspended from quotation on the ASX.