- Aug 23, 2017
Aaaand we just jumped to 30 bucks for who knows why. Did I miss some news?
They've been regularly climbing since the earnings call a few weeks ago.Aaaand we just jumped to 30 bucks for who knows why. Did I miss some news?
$30 represents a 10% jump the weekend. Not exactly steady climb numbers.They've been regularly climbing since the earnings call a few weeks ago.
SEAS is buying shares thus boosting the market value of I read that correctly. I know there are more market literate users on this forum so maybe one of them can translate this article.
Kind of. They entered into two agreements. One involved them buying shares back from PAG and the other involved another investment firm increasing it's share holdings by buying more shares from PAG. Both actions together led to increased trading this morning which raised the share price.
If you do the math on the price SEAS paid on the shares they paid approximately $26.79 per share. That's about 50¢ less than what they were trading at when the markets closed on Friday. So this isn't SEAS artificially inflating stock by overpaying.
Basically this is the market reacting to SEAS and Hill Path capital buying shares. Generally I view it as a good thing when a company wants to increase it's investment.
Is this the first time they have bought back, shares. I seem to recall them doing it before. interesting... very interesting... If they buy more it will be more interesting still...
@Lolers do you smell leverage?
Probably the bigger news wasn't quoted in @Zimmy's article: that hillpath will increase their stake in SeaWorld by a huge margin:
SeaWorld Entertainment, Inc. Announces Buyback and Hill Path Capital to Increase Investment/PRNewswire/ -- SeaWorld Entertainment, Inc. (NYSE: SEAS) ("SeaWorld" or the "Company"), a leading theme park and entertainment company, announced today that...www.prnewswire.com
Are you even reading the articles? Both say the same thing- ”increasing its equity stake in the Company to approximately 34.5%."At this point Hillpath owns like 36% of SeaWorld.. they could relatively easily take control by acquiring just 14% +1 more shares.
Yes, I am aware of that, I was speculating. I actually suspect they are trying to gain a significant % of the stock to prevent a hostile buy out and to calm shareholder fears. Their debt load is still unhealthy.
My comments about the leverage buy out were an aparently bad, refrence to the RJR-Nabisco disaster. (hence the reference to KKR and Amex).