AIR - Air NZ.

[Sideshow Bob]

From Business Desk this morning on the Wage Subsidy:

Almost 60 businesses have claimed more than $1 million in the latest round of the wage subsidy as of September 18.
Leading the way again is Air NZ which claimed $17.2m for more than 7,000 staff as of Sept 18. The national carrier has now received $130m in wage subsidies since the beginning of the pandemic.

[Maxtrade]

From Business Desk this morning on the Wage Subsidy:

Almost 60 businesses have claimed more than $1 million in the latest round of the wage subsidy as of September 18.
Leading the way again is Air NZ which claimed $17.2m for more than 7,000 staff as of Sept 18. The national carrier has now received $130m in wage subsidies since the beginning of the pandemic.

Yet the share price climbs into mid 1.6 on the rise. The markets are seemingly irrational these days. The amount of debt AIR NZ will have once boarders reopen seem to be being ignored by retail investors? Not to mention the Cap Raise which will further dilute shareholders positions. But maybe somehow the SP will simply ignore all this and have enough believers holding the SP up not following basic business fundamentals and factoring in realistic P/E.

Cant really make sense of the SP getting above 1.6, who is buying??

[Beagle]

Yet the share price climbs into mid 1.6 on the rise. The markets are seemingly irrational these days. The amount of debt AIR NZ will have once boarders reopen seem to be being ignored by retail investors? Not to mention the Cap Raise which will further dilute shareholders positions. But maybe somehow the SP will simply ignore all this and have enough believers holding the SP up not following basic business fundamentals and factoring in realistic P/E.

Cant really make sense of the SP getting above 1.6, who is buying??

Last I heard retail N.Z. holders only own 3% of the company and AIR was the most popular share to purchase on the Sharsies platform.
Therefore the answer is overseas institutions who believe in the reopening trade and the above.

I think they're absolutely nuts...but if people are determined to stand in front of a train screaming downhill at 100 miles an hour...

[Sideshow Bob]

Last I heard retail N.Z. holders only own 3% of the company and AIR was the most popular share to purchase on the Sharsies platform.
Therefore the answer is overseas institutions who believe in the reopening trade and the above.

I think they're absolutely nuts...but if people are determined to stand in front of a train screaming downhill at 100 miles an hour...

As of last annual report, 51,890 shareholders.

24,290 <1,000 shares. 1.03% of issued shares.

17,179 1,000-5,000 shares 3.88% of issued shares.

5,076 5,000-10,000 shares 3.42% of shares on issue

So 46,545 own 8.33% of AIR.

Top 20 own 71.18% of AIR.

Not sure if Sharises is under their name of shareholders counted individually. Only need about 1.7m share (0.15%) to get into the top 20, and nothing obvious says Sharsies in the top 20.

[Arbroath]

As of last annual report, 51,890 shareholders.

24,290 <1,000 shares. 1.03% of issued shares.

17,179 1,000-5,000 shares 3.88% of issued shares.

5,076 5,000-10,000 shares 3.42% of shares on issue

So 46,545 own 8.33% of AIR.

Top 20 own 71.18% of AIR.

Not sure if Sharises is under their name of shareholders counted individually. Only need about 1.7m share (0.15%) to get into the top 20, and nothing obvious says Sharsies in the top 20.

So Retail is about 17% of the free float (ignoring the NZ Govt stake) which is pretty large. It's basically nuts.
Imho those that understand cashflow and balance sheets have sold and its $1.60 because not many want to short it, or can't get stock to short it? Air was worth about NZ$3bn equity before Covid and is still NZ$1.8bn of equity "market" value now.
Get ready for Q1'22 when they have to raise well over NZ$1bn of which virtually nothing will go to the business, pretty much all to pay off debt to NZ Govt and IRD delayed paye etc...

Who here remembers Nuplex raising at 27c to pay the bank debt down?

[winner69]

So Retail is about 17% of the free float (ignoring the NZ Govt stake) which is pretty large. It's basically nuts.
Imho those that understand cashflow and balance sheets have sold and its $1.60 because not many want to short it, or can't get stock to short it? Air was worth about NZ$3bn equity before Covid and is still NZ$1.8bn of equity "market" value now.
Get ready for Q1'22 when they have to raise well over NZ$1bn of which virtually nothing will go to the business, pretty much all to pay off debt to NZ Govt and IRD delayed paye etc...

Who here remembers Nuplex raising at 27c to pay the bank debt down?

...and who remembers the Govt putting heaps of cash into AIR while other existing shareholders at the time weren't asked for anything diluting their holdings to stuff

This time around minority shareholders might be lucky to 'own' 10% to 15% of AIR - after debt converted to equity and a bit more thrown into

[peat]

remember tho
the market can be irrational longer than one stay solvent (talking to myself)

[Animeart]

more executives heading out the door can't be a good sign

[biker]

more executives heading out the door can't be a good sign

Who’s going?

[jmsnz]

Who here remembers Nuplex raising at 27c to pay the bank debt down?

Yes! It was a lesson I am not keen to repeat and so like most here can see absolutely no reason why you would own any airline at this time