It seems as if Harland (HARL) is going into administration next week. Losing money, burning in cash and drowning in debt it could not support let alone hope to repay it was an inevitable outcome. Those who have lost money by either going long or not going short have only themselves to blame after numerous warnings from myself, Lucian Miers and Evil Banksta. But it seems as if thing are even worse that we knew.
I suppose it is better than immediate administration but with the shares suspended and the company still guzzling cash, death is merely postponed. Today there are three bits of news from Harland & Wolff (HARL): CEO John Wood has been formally fired with immediate effect (I bet he gets a payout), the Scilly islands ferry service has been shut down and lender Riverstone has ponied up another $25 million to keep the lights on.
Thanking Adam Reynolds for the vast profits made shorting Belluscura, Evil Banksta, Liverpool’s greatest numbers man since Ken Dodd, is enjoying yet another luxury Reynolds funded holiday with Mrs. Banksta. Reporting in from a five star Greek Hotel, the great man has a few thoughts on today’s news from Harland & Wolff (HARL). He opines:
Liverpool’s greatest numbers man since Ken Dodd is, like the comedian from Knotty Ash, a man who thinks taxes are too high and thus a loyal Tory. I put it to him that his boys were going to take one hell of a beating on July 4 and wondered if Labour, the people’s party, might save Harland & Wolff. Evil Banksta is quick to reply. He accepts that his boys will lose and writes:
A statement is needed urgently from Harland & Wolff (HARL), long a stock which this website has been bearish about. For it seems as if it is, like the rests of us, about to get screwed by the Tories. The shares are 8.75p and collapsing.
Evil Banksta and I regard the debt mountain at Harland & Wolff (HARL) as the stake upon it will, in due course, be impaled. But our comments room savant PierotLunaire reckons that he knows better. Plus ca change.
Today was crunch day for Harland and Wolff’s (HARL) rotund CEO, John Wood, to deliver on the new finance agreement that he has been promising since November 2022. He failed and instead there was a garbled last minute RNS kicking the can down the road.
Yesterday morning I exposed Harland & Wolff (HARL) for telling some folks but not everyone via an RNS that it was guiding down revenue forecasts for the second time this year. I flicked a note to AIM Regulation and the Oxymorons acknowledged it. And at 4 PM the company ‘fessed up. Well sort of. It dissembled.
I guess rules are for other people, especially when you are drowning in debt and desperately need a gargantuan bailout fundraise. This is a very clear and material breach of the rules. On March 1, via RNS, Harland & Wolff (HARL) stated:
Facing a cash crisis of monumental proportions, Harland & Wolff (HARL) has come up with a cunning plan of which Baldrick would be proud. That is to say that it has launched a cash offer for the Isles of Scilly Steamship Company Limited. Scilly by name but not silly by nature the Steamship Company has told Harland to feck off in the strongest possible terms.
Tom commented briefly and bearishly on Harland & Wolff Group (HARL) on Friday, I thought it was about time that I should put some detailed thoughts in writing to explain why Harland was one of my top UK small cap shorts that I highlighted at ShareStock. Personally I think that the numbers are compellingly obvious but let me start with some background to make sure that I don’t assume too much prior knowledge.
Shorter Tim Kempster says that by his sums Harland & Wolff (HARL) runs out of money either in December or early January. My analysis on this website has been permanently bearish and I agree with Tim. And in that vein I see that the shares are weaker today, at 13.5p having been pumped in recent weeks by ramptastic announcements. I also see that…
On Saturday in bearcast I pointed out that the 5.56 PM Friday released results from Harland & Wolff (HARL) showed it to be insolvent and that things were only going to get worse. Anyone owning the shares is insane. Evil Banksta has been in touch to point out that, as ever, I was too kind.
