lmao......
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Maybe a partial answer here Bricks?
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Number, class, and type of securities: 166,198 ordinary shares
(119,798 on 15th April 2009;
46,400 on 17th April 2009) :
Owner Name of registered holder of those securities: Diab Investments NZ Limited D.
4: Consideration paid for acquisition:5:
15th April 2009 88 cents
17th April 2009 91 cents
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Interesting to see Diab buying *after* the big share price run up. He must consider that for those in for the long term, RBD is still a a good buy at 90c. Of course being a director, he would have been forbidden from buying shares until after the formal announcement of the RBD annual results on April 8th 2009.
On an associated subject, anyone catch 'the Independent' article during the week about the transformation of Pizza Hut in Australia with the intoduction of pasta to the menu? A couple of the stores were even rebranded 'Pasta Hut' for a while. Market leader Dominos in Australia are now struggling to catch up with their own range of pasta products. A solution for the New Zealand Pizza Hut business as well perhaps?
SNOOPY
discl: hold RBD
AMP shares in RBD were sold down to a number of investors, including one of NZ's shrewdest investors. Just need to get a shareholding register to see the before and after placement shareholders.
Directors get criticized for selling shares but when they buy, they are accused of insider trading? Investors shopuld consider following them.
I did, at 63 cents.
Watch next announcement from RBD in next 2 weeks - it will be a goody! A biggie!
The announcement in the next two weeks relates to renegotiation of the franchise fees for half of the Pizza Hut chain, Balance. That has already been well signalled.
Van Arkel has already signalled they might look at selling away some of that network to independent franchisees. But the NZ market is already saturated with Hell Pizza and Domino franchisees wanting to get out. So where are the buyers for all those Pizza Hut stores going to come from? Since we are putting all of the wild cards on the table how about this? YUM are to buy back the Pizza Hut franchise from RBD and operate it in house! A similar thing happened in the UK, in calendar year 2006. From the YUM annual report of that year, page 4:
"I was particularly pleased to announnce that we purchased the remaining 50% interest in 544 Pizza Hut Restaurants in the United Kingdom from Whitbread plc. Pizza Hut is the leader in casual dining in the U.K., which has historically been one of our strongest markets. While KFC is very strong and profitable in the UK, Pizza Hut has had some challenges in recent years with our joint venture structure, and we are confident we will be able to right the ship. We have already established a new management team that's bringing new energy to the business."
Right, we have established that YUM taking a whole swag of Pizza Hut restaurants back in house is not unprecedented. But equally well I think they would only do that if Pizza Hut was in desperate trouble. Arguably in New Zealand Pizza Hut is in this position. We will never know what goes on behind closed doors in these franchise negotiations. But did Creedy/Van Arkel threaten to pull the plug on half of the Pizza Hut chain if YUM wouldn't come to the party in some way? I certainly hope they did play hard ball. For although Creedy and Van Arkel may be tough negotiators, so are YUM.
We long term shareholders remember well the 'great deal' that YUM did selling the Victorian Pizza Hut deal to RBD a few years ago, sweetened as it came out years later with a commitment to more advertising support for RBD. RBD definitely came out second best there. So I will be watching any new deal that RBD has come to with YUM very closely.
The problem as I see it is that if RBD do get out of Pizza Hut, they will have to write off some $20m in goodwill. That will approximately halve their total net assets to something like $20m, while doing nothing for their debt which remains at around $100m. I know such an asset write off would be 'on paper' and not affect the cashflows of the company. But even so, secured bank loans are up for review again in 2010 - which suddenly is next year! So I think a capital raising for RBD might be on the cards, before they 'need' to do something about it.
I bring this up because amidst the euphoria of RBD being one of the best performing shares on the NZ market, some forget about the downside risks. And in the interests of 'Balance', I haven't.
SNOOPY
discl: hold RBD
Snoopy, matey, not sure where you got your numbers from.
Balance sheet from latest report show - net debt at $33.6m (not $100m). Banks are now falling over themselves to lend to RBD. Goodwill totals $23.6m. No breakdown but PH cannot be more than half that. Meanwhile, goodwill on KFC can be restated higher if allowed as the chooks are definitely flying out the door.
Announcement is imminent and imvho, will also show PH turning a profit and that's why insiders (legally) have been buying.
Happy holder and buying more.