DFS (the Sofa Co) IPO

TheTracker

But hurry, the deal ends Sunday.

gkerr4

I'll probably have a punt on the IPO if i can.

Amarone

I'm fancying a punt at this but wondering which company to purchase through. I can only see Hargreaves Lansdown or Barclays as a choice and my only account currently is a stocks and shares ISA with Charles Stanley.

Are these the only choices and should I purchase through these then transfer the shares to my CS ISA?

gadgetmind

I obliquely know Lord K via connections not relevant to the discussion, and I've heard him speak about the history of DFS on a few occasions.

This is not the first floatation, and the first time ended up with an MBO, which he exited a while ago, and it looks like it's now all going public again.

Read the wikipedia page on DFS and see if you think it's as strong without Graham as it was with him.

It's a cut-throat market, and DFS did well because they treated staff well and ran it as very much a family business. It didn't thrive as a public entity before, and I think it will struggle in future, but that's just my twopenneth.

cloud_dog

block10 wrote: »

DFS has annouced an IPO, due to list in March.

Again.

I did ok first time round. With IPOs it is all dependent on what they price the business at irrespective of the business (initially); just look at the Royal Mail, completely undervalued.

redfox05

Hmm, Im still on the fence.....

£1000, to go for it or not.
Royal Mail I did go for, but I should have sold at the high. Still got them...oops....

Did anyone have any more thoughts?
Feels too risky atm from the comments posted so far....

But I have more of a tech background, like to OP I dont know anything about the furniture biz.

lexithedog

redfox05 wrote: »

Hmm, Im still on the fence.....

£1000, to go for it or not.
Royal Mail I did go for, but I should have sold at the high. Still got them...oops....

Did anyone have any more thoughts?
Feels too risky atm from the comments posted so far....

But I have more of a tech background, like to OP I dont know anything about the furniture biz.

I'm not touching another ipo, I had shares in hss hire but didn't work out too good, whats the offer price range on DFS ?

If your looking for a good stock I recomend TSTR. :j
http://www.lse.co.uk/SharePrice.asp?shareprice=TSTR

Price range of DFS

The indicative price range for the offer has been set at 245p to 310p per share. At the mid-point of the price range, DFS Furniture plc's market capitalisation would be approximately £585 million.

seems a bit high

block10

I've also decided to sit this one out. Just cant see long-term value.

They are reliant on selling sofas on interest free credit. Cant see this being viable in a high rate environment. Also sofas sales are linked to the housing market, which may start to cool.

Mistermeaner

block10 wrote: »

I've also decided to sit this one out.

I'm going to take a back seat on this one too

bowlhead99

I was going to let the opportunity pass me by as I'm a layzboy. But then someone suggested I have a go and I thought, hey, I otto,man.

The mention of a link to reliance on credit environment, home buying etc is pertinent. When you couch it in those terms, probably I bedder wait to see if other opportunities spring up.