Disclosure: The author has a short position in one or more of the shares mentioned. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.

Globo – look at the small print: I stay short

By Lucian Miers

16 September 2015 02:11

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Monday’s statement from Globo (GBO) was clearly designed to put the best possible gloss on the fact that its attempt, signalled in June, to raise $180 million in the junk bond market is foundering.

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Comments

RTN

16 September 2015, 08:17

So in summary:
The business is making good profit.
It wants to raise more for acquisitions.
You think it’s having trouble doing so.
Even if it doesn’t raise all the money it’s still making good profit.
If the cash being in these other banks was such a concern why would they not just move it?
A typo (if it is that) in the borrowings is hardly the biggest reason to sell or go short! It seems rather desperate citing that. These seem extremely weak arguments for going short or selling…..
Tom Winnifrith

16 September 2015, 08:23

RTN

Desperate, me thinks not. we GBO bears have called it brilliantly, it is the bulls who look increasingly desperate.

good profit you say? Profit is a matter of opinion, cash (unless you are a China AIM company) is a matter of fact. Look at the FREE OPERATIONAL CASHFLOWS my friend

t
RTN

16 September 2015, 08:40

Tom,
I wasn’t commenting on the previous performance! I’m commenting on the share price now in relation to its numbers.
Not sure how a half-year free cash-flow of 7.2m euros up from 4.2m in the previous year is somehow bad! Profitable and growing fast!
I can’t see the big reason for your (or your chums) negativity?
I’ve not been invested in globo before – so I’m not a bitter holder having experienced a drop just FYI ;)
RTN

16 September 2015, 09:17

Not allowed to reply now? :p
LSB

17 September 2015, 05:48

Tom,
Do you know where one could get a copy of the bond prospectus?
Thanks