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I have about 1% of the publicly traded shares, the majority of which are held in my pension.
I'm investigating now how I can most effectively attend the AGM.
There was a guy on here, Tim00 who until recently was a regular poster. I believe that he went to the AGM last year and due to the quantity of shares was able to speak directly with the directors. If he’s still on here it’d be interesting to hear if he plans to attend in June.
The more I think about it, the more I think this is to do with the curious partial ownership of Bisichi by London and Associated.
Andrew Heller does not want to pay a dividend, because 41.5% of it will go straight to his brother's company.
I see a blatant conflict of interest here, that can only properly be resolved by combining the companies, or separating them.
Thanks for letting us know Edward. I wonder what the atmosphere will be at the AGM…
Previously, Beza, yes. But not this week.
I doubt the company has replied to any emails. Many years ago some investors tried to bring about change but directors ignored them as per usual.
Edward, perhaps a stupid question but has the company replied to any of your emails to date?
One more comment regarding the 'incredible 10% dividend' here is that with a 10% bid/ask spread (Bid: 180/Ask: 200), *you can expect to take a full year* to earn back your capital loss... Why is anybody going to be tempted by that? It's a ridiculous situation.
Another email I have sent to Heller:
FAO Andrew Heller - Re. Companies Act 2006
Dear Mr Heller
As you watch the value of your company being destroyed on a daily basis on the back of spectacularly good 2022 results, I draw your attention to the Companies Act 2006, which clearly obligates you and your fellow directors 'to promote the success of the company for the benefit of its members'.
It strikes me that the rage of the market is due to the iniquitous distribution of the exceptional (and lucky) 2022 profit.
I do not believe the enormous bonus you have taken would have been an issue, were it not for the tiny percentage of the excess profit that has been distributed to other shareholders (c.10%).
The £12m you now have sitting in the shares of ambiguously specified other companies is cash that you have chosen to invest rather than distribute, without specifying why. Either prudence is necessary and collective, or not necessary. What you have created is a perception of 'bonanza for me, prudence for you lot'.
I am also concerned that the curious structure of London and Associated Properties plc and Bisichi plc creates a conflict of interest between you and your brother.
Any dividend paid by Bisichi plc is effectively a transfer from your fife to his, and without any balance.
I'm minded to forward this email to your auditors and solicitors for comment.
You may say I am wrong, but the market clearly agrees with me, and is in a very vengeful mood.
Bisichi plc is now trading on a P/E ratio of just 0.5. Any director of a substantially profitable company so condemned should be embarrassed and ashamed.
Yours sincerely
Edward Seaton
Does anybody know if Bisichi staff have any ‘share based’ remuneration?
I wrote on this board months ago about the absolute disregard for shareholders by the directors and was met with much criticism.
They don’t care about the share price because they are making huge amounts in cash every year. They paid themselves a huge bonus because of options last year and done the same this year. Madness is when you see someone doing exactly the same thing over many years and expect a different result.
Given that the Heller boys are majority owners of both companies, can anyone think of a reason why they would want to be so successfully trashing the value of their own companies?
I don't think there is an inheritance tax incentive. And they are neither buyers nor sellers of their shares.
Cane - agreed.
I think many PI’s were hoping that the passing of the old man would herald a new era of management style, PR etc, etc. This and the forecast of record profits was enough reason for many, including myself to hold and see what happened on results day. The last week has been bitterly disappointing.
"It’s now yielding 10%! Even if we all agree that the directors are selfish with terrible PR, this isn’t looking expensive."
I absolutely agree that it is very cheap and that it has an attractive dividend. The problem is that 'on-the-nose' shares like this, with 'on-the-nose' directors, can drift much lower on investor sentiment alone. With such illiquidity (wide bid/ask spread) and blatant disregard for other investors, I'm not yet attracted to buying any more as the capital loss in just a few bad days could wipe out any gain from the dividend.
I might be attracted back if I see them investing a big chunk of the profits into something tangible, that allows a reliable NAV re-evaluation, rather than gifting themselves the money straight out of my pocket as they've done in the past. A reasonable step would be for them to get some broker coverage, but it seems they just don't care about attracting new investors at the moment - why would they, when they're so busy milking the existing ones for everything they're worth?
Love it! I wrote a scathing letter suggesting the company was run purely for the directors' friends and family and should nor be publicly listed. It's always a bit tricky when companies like this are listed - best just to avoid them... Mr acquire the whole thing and fire them! A takeover is the only defence against such profligate greed.
I have just emailed the following, and will continue to bombard:
Dear Mr Heller
You have now achieved the remarkable feat of having the lowest Price/Earnings ratio on the London Stock Market, whilst simultaneously reporting your best ever results.
Given that you are financially qualified, you cannot be mystified as to the reasons, very high up the list being evasiveness (last minute filing, pain of death trading updates) and ambiguity (£12m of investments in unspecified shares).
To be sitting on a P/E ratio of nearer 0.5 than 1 is such a spectacularly terrible achievement that I am left wondering if it is by design?
Yours sincerely
Edward Seaton
It’s now yielding 10%! Even if we all agree that the directors are selfish with terrible PR, this isn’t looking expensive.
Go to the AGM although I'm sure they make it almost impossible... Tell 'em some home truths. Write something to Private Eye. Encourage Extinction Rebellion or Just Stop Oil to pick on them. Crooks. Goodbye - I'm so pleased I'm out. And if I could remember the wretched Ramper who lied and persuaded me to invest I'd find him and remove something he considers important.
The naked greed of the directors is breath-taking. The all male (almost all) white bod is not a great look either.
Caveat emptor indeed.
June 2018: 'Heller junior was paid just under £900,000 last year – nearly 10 per cent of the firm’s entire £11 million stock market value. If Apple boss Tim Cook was paid the same proportion of the US company’s value, he would pocket about $90 billion a year.
At Bisichi’s annual meeting on Wednesday, investors accounting for nearly 30 per cent of the shares voted against the pay report.'
Why would be now be different? I fume at how these crooks have nicked my money, but nothing was done last time and I very much doubt anything will happen this time.
BUYER BEWARE, there are rampers here, that I suspect are not completely independent...
"I can see a mass independent shareholder revolt coming to Bisichi."
Don't expect much action there... It's going to be like a far t in the wind.
As I tried to explain some time back, yes, the company makes a lot of money, but investors will not see any of it and that's all that matters. Investors are just a pain for this company as the Directors run it as a personal piggy bank.
No wonder the share price is falling.
The employees of the company received a 47% increase in there base salary ! - yes that is correct 47%
But that is just the start of the gravy train, they also received bonuses of 478% yep, nearly 5 times there base salary as a bonus.
Who on earth would authorise such staff bonuses?
How many of these "employees" are relatives or friends of the directors I wonder ?
I can see a mass independent shareholder revolt coming to Bisichi.
LOTM
Shambles of a company. Has ever a company posted such an increase in profit and such an absolute profit and watched market cap decline? This family should not be allowed to run a so-called public company. This is a private company with mugs as external shareholders. I'm very angry and have written to the company. I'm sure they'll respond courteously.
The EPS is £1.65
Not that it matters. Shareholders will not see it. This company is run purely for the benefit of the directors.