Bombardier Inc. T.BBD.A

💰As per Spirit, valuation is now U$865M, from U$1,090M

[BestGoldigger]

"At signing on October 31, 2019, Spirit reported that the Acquisition had a total enterprise valuation of $1,090 million. The Amendment reduces the total enterprise valuation to $865 million." https://www.spiritaero.com/pages/release/bombardier-and-spirit-aerosystems-amend-terms-of-purchase-agreement-reduce-net-proceeds-purchase-price-to-275-million-and-expect-to-close-on-oct-30-2020

[BestGoldigger]

Don't be fooled, total value means TOTAL VALUE ! U$1090-U$865M = U$225M of pure loss for BBD !_______

[pablo87]

That's fair. However, the pension liability - which is not insignificant - is higher due to lower interest rates I believe (not an actuary).  Also, the terms of supply have been re-negotiated in favor of Bombardier, quantum of which is unknown.  Anyway, Spirit's problem now.

[mnztr]

So BBD gets 225M less..yet another blow. Wow.

[Shamhorish]

there some miss undersanding, or miss reporting or miss leading here as regarding deal price spirit said in 2019 agreement was "bbd gets $500 mil cash, Spirit assume 500Mil bbd's liabilities) today gazette reportes that bbd gets 275 cash, spirit assume 825 mil bbd's liabilities $1.100 bilion so yes, bbd gets $225 mil less cash, but spirit assume $325 mil more liabilities so it is

[Shamhorish]

and here (from the Globe&Mail which is strange to report correctly) Mr. Eric Martel reports Total transaction valued at about $1.2-billion (1); cash proceeds now expected to be $275-million. so, the ones that are saying deal is worth 865 Million are reporting just the amount of liabilities assumed by Spirit, and forgetting the cash proceeds !!!!   [url=https://www

[NewStocks2021]

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[poliden]

This post has been removed in accordance with Community Policy

[Shamhorish]

and here the deceiving head line says Globe says Spirit buys Bombardier unit for $275M (U.S.) people read this, (most people only read head lines)  they say ooohh, fire sale, sold for pennnies, bbd is this, bbd is that  but the body of the massage can not twist facts . The total value of the deal remains the same as previously announced, but under amended terms Spirit will assume a

[Bombastic2018]

I think it sucks that these healdines show what is a pretty nothing change to be negative, but ultimately Bomber needs to execute and surpise to the upside on deliveries, revenue and profititability. God knows they do it to the downside time and again. Listen to the questions at quaterly reports. The lack of trust is palpable. And understandible 

[pablo87]

Trying to make sense of this. So originally,they were to get $500M + offload the related assets and liabilities which net had a deficit of ~$500M ($495M at June 30, $488M at Dec 31) for a total deal value of ~$1B (C$1.3B). Now they get $275M + presumably offload ~$600M (previously ~$500M) of liabilities net of assets (based on the $875M EV in Spirit Aero's press release).  This is

[Zimmee1]

Unfortunately it's a huge despicable blast and loss. Many people think Bombardier has been manipulated and  exploited badly for a very long while by the unknown maketing or the markets world or something else? Should the company fight fiercely for by legal enforcement such funds managers, investors, shareholders, bankers, federal and provincial governments authorities and the