Euro Disney shares

MONEYME

These shares dropped 62.5% yesterday.
Does anyone think these are a good investment or a disaster waiting to happen?

block10

I wouldnt touch with a barge pole. The Euro Disney project is well known to have been a commercial failure.

Euro Disney is highly indebted, and has been bailed out a number of times by parent company Walt Disney / Prince Alwaleed bin Talal

nobbysn*ts

Restructuring package ongoing.

I have a few, but only for the shareholder perks, which has more than paid for them several times over.

racing_blue

"Last year Euro Disney's total revenues were down two percent resulting in an overall net loss of 114 million euros. That net loss was 35 million euros worse than the previous year as visitor numbers to the Disney-themed park continued a roller-coaster ride."

"And the park boasting Space Mountain and Thunder Mountain is also weighed down by a debt mountain of some 1.7 billion euros."

market cap 0.4 billion euros

What has caused the price crash? Institutional dumping on a grand scale?

block10

racing_blue wrote: »

.....
What has caused the price crash? Institutional dumping on a grand scale?

It looks like confirmation of the dilutive rights issue & debt to equity conversion is causing the most recent share price movement.

http://www.reuters.com/article/2015/01/15/euro-disney-sca-brief-idUSL6N0UU14X20150115

http://www.arabianbusiness.com/saudi-s-prince-alwaleed-approves-1-18bn-disneyland-paris-funding-plan-578649.html#.VL7hrck2NSA

latecomer

Got to say that with a trip to Euro disney on the cards again this year and probably in future years too, I'm tempted to buy the 100 shares required to get shareholder perks. Total cost of about £100 + dealing fee at the moment - think it would pay for itself in one trip.

AlanP_2

latecomer wrote: »

Got to say that with a trip to Euro disney on the cards again this year and probably in future years too, I'm tempted to buy the 100 shares required to get shareholder perks. Total cost of about £100 + dealing fee at the moment - think it would pay for itself in one trip.

Might have missed the boat there unfortunately:

See - http://corporate.disneylandparis.com/shareholders/shareholders-club/index.xhtml

QUOTE:
In a constant concern to better meet members expectations, to bring a quality service, relevant information on the Company and to preserve equity for the existing members, Euro Disney S.C.A.'s Shareholders Club announces the suspension of new memberships (new shareholders) as of Thursday, January 15th, 2015, for at least the implementation period of the recapitalization.


The future of the Shareholders Club is not affected by this operation. All current members of the Club will remain members afterwards. The advantages and services will be identical.
After this period of suspension, ana analysis on the threshold of the minimum quantity of shares to be held by the new members will be led before the coming into force of new membership criteria and/or new general conditions (terms) of the Shareholders Club.

latecomer

Thanks - hadn't seen that. Was going to take a proper look at it today but not much point until the suspension is lifted.