Shares digital

Regent Inns (REG) – Interims PTP: £1.2m (£3.6m) Divi: n/a (n/a)

Around £115 million has been wiped off the leisure operator in the past nine months, representing a 85% drop in its share price. Like-for-like sales fell 3.8% in 2007. Shareholders are denied a dividend for the fourth consecutive year.

Takeover talks have failed to revive the shares, so is there any value left? It is looking to dispose of assets and conduct a sale and leaseback of freehold property. Jongleurs has limited competition as a national comedy chain, but like Old Orleans it is a dated brand. Walkabout bars continue to struggle. Regent Inns could breach its banking arrangement within three to six months, claims stockbroker Investec.

Shares says: A bid looks unlikely and any offer would be on the cheap. Net debt at £80.6 million is over four times its market cap - ouch. Possibly the final chance to get out before it goes bust.

by: Dan Coatsworth