UK 20:53 Friday, 18 September 2026
Breaking news and expert analysis on fast-moving AIM and LSE listed shares
Late last week on hostels company Safestay (SSTY) I wrote ‘what of shares soaring on “possible offer”?’ concluding, only having “provided ICP with access to limited due diligence materials… there can be no certainty that any offer for Safestay will be made, nor as to the terms of any such offer”, if I held at this point I’d use the share price spike to at least sell some as if a deal doesn’t now proceed the market was already increasingly sceptical of this business. The shares were then 28p, closed yesterday at 24p and what of now a “No intention to make an offer” announcement?
Hostels company Safestay (SSTY) has announced it “confirms that it is in discussions… regarding a possible offer for the entire issued and to be issued share capital of Safestay, which may include a cash offer and an unlisted share alternative”. What about this from a current 28p share price?
Hostels company Safestay (SSTY) has announced a sale completion of its Glasgow Charing Cross freehold property for £5.1 million “consistent with the group’s previously announced strategy to crystallise value from certain UK freehold assets and support its asset-light growth strategy”. How significant is this from the valuation at a current 13.5p share price?
Most recently on European hostels company Safestay (SSTY), in March I wrote ‘“trading update for the year ended 31 December 2025”. Er, why so late?’ concluding including that, ahead of full 2025 cash flow and balance sheet detail - after, on half-year adjusted EBITDA of £2.3 million, there was net “tangible” assets just £0.3 million higher at £20.6 million and even with a stated £75.7 million of ‘property, plant and equipment’ - and a further outlook for 2026, at a 15.5p share price, £10.1 million market cap, continue to avoid. Now right near the reporting deadline - again why so late? - stated “pleased to announce its audited final results for the year ended 31 December 2025” headlined “Improved liquidity and reduced debt alongside strategic progress despite a challenging trading environment”. So what about a current 13.5p share price?
Previously writing on European hostels company Safestay (SSTY), last year with the shares falling below 25p I questioned whether the consumer environment was really likely to change anytime soon and continued to avoid. The shares most recently closed at 15.75p and what about now a “Trading Update”?
European hostels company Safestay (SSTY) states that it “is pleased to announce its audited final results for the year ended 31 December 2024”. Hmmm, ‘pleasing’ results don’t usually take such time to announce – so how ‘pleasing’ really are they, including with the shares currently a few percent lower, below 25p, in response?
European hostels company Safestay (SSTY) has today emphasised “confidence of returning to pre-Covid levels of trading” but also stated “this is a natural point… to undertake a strategic review”, including a formal sale process. Hmmm.
