Extraordinary time requires extraordinary action. Hotels nowadays not cater to tourist anymore but as quarantine centre. so, still got business, functioning as hospital due to shortage
worldwide liquidity is abundant to tap if Andrews wants. But, he choose put under administration which i guess best path for Laura Ashley.. to strenghten further MUI balance sheet. Andrew comes from legal background, sure fully aware the best legal direction for its company's long term survival
MUIIND could come out from this episode stronger if KKP were to sell his shareholding in LA to the investors, and MUIIND to retain its existing shareholding. LA is not the only company facing the brunt of the Covid-19. Go do some reading up on Burberry, H&M, Zara, etc. Fully agreed with chinaman's comments.
How to sell now? At 30% discount? Should have sold earlier. Old man got sentimental value for old assets or outdated stuff. Tough for Andrew to override the old man.
It is too early to write off brick and mortar business model. Online shopping platform are mainly for generic and low-price items where it would not be cost efficient to maintain a brick and mortar presence. Brick and mortar business model is in vogue and will remain so in the foreseeable future. Just need to ensure no over-expansion in the number of outlets and that the product offerings are in accordance with the current wants of shoppers. It is just that the current epidemic has created a major disruption for all businesses.
Ov123, at this time what assets can be unlocked? I see Pmh can be unloaded. Corus hotel London instead of selling they refinance with UOB ! Hotels are difficult to offload now. Wait 2021, may be. What else can be offloaded? Metro jaya? Network Food?
Ov123, once Andrew mentioned about only having two listed co. Not likely he will privatised mui. Likely he will sell Pmh n privatise either pmcorp or muiprop which are both net cash cos.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
chinaman
3,302 posts
Posted by chinaman > 2020-03-18 19:19 | Report Abuse
Hotel is one of essential, can operate amid restricted movement order. no worry abt mui