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Started: W13Ken, 27 Jan 2023 09:09
Last post: Grayling, 23 Feb 2023 09:54
Lokos like the 28th may be payment date?
That's it then, it's over. Such a shame as K3C were my #1 portfolio holding and there were many good years to come. Sold up so over and out.
Maybe see you on the SOS, IQG, ACSO, YU., ZOO, CPC, SEE or GROW boards.
Best of luck to you all.
Started: TraderJones, 17 Jan 2023 08:56
Last post: TraderJones, 17 Jan 2023 08:56
Just received the corporate action notification throgh, stock to be de-listed 13th Feb.
Started: TraderJones, 20 Dec 2022 09:22
Last post: shandypants2, 12 Jan 2023 08:42
looks pretty nailed on now. Timetable out so now just waiting for my money!
Are we expecting an announcement today? I was under the impression the buyer had to confirm they were proceeding or walking away today.
IMHO it's already a done deal. Who do you think is buying up all these sells?
One day a week or so ago there was 9m sells, over 1m yesterday.
Clearly buying at low 340s when you will be forced to pay 350p in a few weeks makes sense for the buyer.
For better or worse I sold out my entire holding today. I’ll be annoyed if another bidder comes in and drives the price up but equally if this sale falls through, I don’t want to be stuck holding K3C at a much lower share price when the management have shown they can’t be trusted to make the correct decisions on behalf of their shareholders. Selling now at 350p is absurd but it seems they have made their mind up. Best of luck to those who continue to hold.
No interim dividend will be paid as this would complicate the sale at a late stage. The final price is now set in stone at £3.50 a share.
Started: TraderJones, 13 Dec 2022 13:34
Last post: Forensic505, 16 Dec 2022 13:39
Good luck Nick. I did note that it is subject to "confirmatory due diligence". So not a total slam dunk.
Surprised me that this one is going private having only been on the market a relatively short time.
Looks certain to go through now at 350p, which by coincidence is what I bought in at over a year ago. Least I'll get my money back.
As you stated KJ, this was priced too low - the adjustment today into the 340s was always on the cards. 350 in a month and risk is low so surely less than 5% chance of it falling through
no, can buy at 320p yet 350p will be paid in a month or so, unless this falls through. Can't see that happening imho so a short term bargain!
Disclosure forms continue to pile in - it looks like the takeover at 3.50 is almost certainly going ahead, offering a clear 10% upside on current SP. Even with the 'risk' of it not going ahead, K3c looks cheap & continues to perform well.
Am I missing something?
Started: JMUK26, 8 Dec 2022 16:39
Last post: threeputt, 9 Dec 2022 08:54
we'll see !
Threeputt; the statement says that "The other parties who previously expressed an interest have confirmed that they are no longer considering a possible offer for the Company" meaning no bidding war on this occasion.
SP never really goes up to the offer price until takeover is all but confirmed unless the market thinks there will be a bidding war, which in this case they don’t. The market always leaves a margin of safety for the deal falling through so I’m this case 5-10% has been left on the table.
nonetheless I can't work out why the sp is still 5% short of the offer price of 350, mms would normally mark this up to the offer price. Opportunity and possibilites of a bidding war ?
Once again, the board looking out for themselves rather than the interests of their shareholders which is their job. So annoying how often this happens and no questions ever asked as to how they thought this was the right decision for anyone but themselves.
Started: rivaldo, 1 Dec 2022 12:27
Last post: surprised, 8 Dec 2022 16:09
350p takeover offer :-)
Expecting a very decent trading update around 12/13th December based on recent results, broker report and management outlook statement..... ''The business has the foundations in place to be recognised as the leading mid-market specialist advisory business to SMEs. The Board remains confident in the outlook for FY23 and beyond, as early indicators show yet another strong year of trading ahead, with a robust pipeline and opportunities to grow." ''creating a Group that we now see as extremely robust throughout the economic cycle ....."we are well positioned to continue this upwards trajectory and early signs looking into the new financial year are encouraging, with revenue across the three business divisions significantly ahead of the same period last year.''
Here's some more from Shore Capital's initiation of coverage of K3C with a Buy and a 410p fair value target price:
In summary:
"K3 Capital, the professional services business advising UK SMEs, has a volume-based approach that is resilient to cyclical downturns. Transformational acquisitions have improved the balance of the business model to provide three distinct service lines (Business Sales, Tax and Restructuring), whilst windfall M&A transactions and big ticket administrations provide significant upside potential to our numbers. We initiate coverage of K3 Capital with a BUY and a fair value of 410p (55% upside)."
"EPS upside potential:
Our numbers are based on predictable, volume based transactions. Therefore, significant upside potential can be driven by windfall M&A transactions and big-ticket administration appointments. Having the ability to advise on higher margin transactions improves K3 Capital profitability and credibility.
Initiate with a BUY: K3 Capital currently trades on FY23/24/25F PERs of 11.5/10.8/9.7x, and EV/EBITDAs of 8.0/7.4/6.7x whilst offering an attractive dividend yield of 5.8/6.4/7.1%. Our analysis suggests it can trade on an FY24F PER of 16.7x to drive a FV estimate of 410p (55% upside)."
Started: W13Ken, 8 Dec 2022 15:44
Last post: W13Ken, 8 Dec 2022 15:47
Ok, it's a banned word. You should bed able to find it if you're interested. Decent podcast too.
The missing word is **********
Just spotted my first 2023 share tip list and K3C are on it courtesy of Justin Waite @SharePickers.
https://www.**********.co.uk/articles/vox-screens-stocks-john-justin-pick-a-stock-from-the-screen-of-screens-cf5299a/
Ok thanks
that link didn't work so well...it's the research ....tree site
https://*********************/research/shore-capital/shore-capital-initial-trading-comment-29-november-2022/53_f0692036-62a3-4fc0-9248-e877d294bd08
#1 holding so I love this news but struggling to find it online. Do you have a link?
Cheers surprised - worth pointing out that this is an Initiation of coverage today by Shore Capital, with a Buy and a 410p fair value price target.
Started: W13Ken, 14 Nov 2022 19:16
Last post: W13Ken, 14 Nov 2022 19:16
A nice bit of publicity and money for KBS Corporate as they advised Apprentice winner, Mark Wright, on the sale of his digital marketing agency Climb Online for £10m. A nice cut for KBS before the 30th Nov half-year close.
"Mark Wright, who will continue as a Shareholder of the group, commented: “I couldn’t have sold my business without KBS. When Lord Sugar and I first started being approached from trade buyers, and financials buyer and decided to sell our business we knew in order to have the most structured process and achieve the highest price we needed to work with KBS. We were initially impressed with the marketing materials they put together, the teaser document and IM were professionally written and beautifully designed and they took the time to understand our business to present it in the best possible light..."
https://www.kbscorporate.com/digital-marketing-company-founded-by-the-apprentice-winner-acquired-by-xdna-group/
Started: gswredland, 8 Nov 2022 15:43
Last post: gswredland, 8 Nov 2022 15:43
Interesting to see this suddenly jump today. Tipped somewhere
Started: surprised, 27 Oct 2022 14:38
Last post: surprised, 3 Nov 2022 12:48
https://twitter.com/surprised_trade/status/1588150485932032003
recession and the difficulties business face re finance, re-structure etc are driving the increased profits at #K3C. BOE forecast today suggests that #K3C's business will continue to see growth...initial target 300p+
On today's dip I have topped at 260p in ISA and Trading. Expecting them to feature in the top half of the Investor's Chronicle's AIM Top 100 released later today.
More good news is expected. IC are halfway through a Top 100 of AIM companies so this Thursday/Friday K3C are almost certain to be in the Top 50, hopefully high up the chart following their recent research.
A small boost to the share price on the back of the IC article which was very positive. Hopefully, if more people know about the company it will increase liquidity and reduce the spread.
Started: W13Ken, 7 Oct 2022 15:58
Last post: surprised, 11 Oct 2022 08:27
https://twitter.com/surprised_trade/status/1579718924652138496
on top of excellent results a new immediate earnings enhancing acquisition
K3 Capital Group plc, a multi-disciplinary and complementary group providing specialist advisory services to SMEs, announces today the acquisition of insolvency practitioner, Chamberlain & Co. ("the Acquisition") for an initial cash consideration of £3.3 million with an additional deferred consideration of up to £1.1 million
The business had turnover of c.£1.6 million and normalised EBITDA of c.£0.8 million in the 12 months to 30 April 2022. The Acquisition is expected to be immediately earnings enhancing.
Management also confirms that in relation to the earn out consideration for previous acquisitions payable for the financial year ended 31 May 2022, the Company has elected to pay 100% of the earn out consideration in cash, rather than satisfying part of the earn out consideration through issuing new Ordinary Shares. A total of £4.4 million has been paid out in cash.
This decision has been made to use its cash reserves in light of the strength of the Company's balance sheet and the Company's view that issuing equity at the current share price is not in the best interest of shareholders.
Telegraph Fund of the Week: Premier Miton UK Multi Cap Inc. Write up on strategy and forecast for Trust. 3rd biggest holding is K3C (2.1%).
Just out from Interactive Investor: Seven AIM shares to own in difficult times.
References BEG and FRP and then...
"M&A and tax adviser K3 Capital Group
K3C also owns business insolvency company Quantuma, which generated 29% of group profit on the back of 21% organic growth last year. Quantuma is expected to generate 11% organic growth in 2022-23. The tax businesses have steady repeating revenues.
The M&A and tax businesses continue to grow despite the tough economic conditions and there will be increasing demand for K3 Capital’s restructuring business. Investors should get a further significant dividend increase this year on the back of rising profit. A total of 15.5p a share in dividends is forecast for the year to May 2023. At 262.5p, the prospective multiple is 12, while the yield is 5.9%.
This company could be more volatile than the others because of the M&A bias, but it is still highly attractive."
https://www.ii.co.uk/secure/my-news-feed/analysis-commentary/seven-aim-shares-own-difficult-times-ii525568
Started: rivaldo, 5 Oct 2022 11:39
Last post: rivaldo, 5 Oct 2022 11:39
Excellent new article on K3c by hastings (the Private Punter), including a chat with the CEO and CFO:
Https://martinflitton1.wixsite.com/privatepunter/post/k3capital-on-track-5-10-22
Naked Trader had this on his blog yesterday.
"Excellent results from K3C just pushed the share price up a bit - given profit, dividend hikes, a good outlook and cash in an ordinary market the shares would probably have risen 25%.
Still K3C is one to hold onto and look to buy more once the market heads back up.
In the meantime it goes ex for a very decent dividend shortly.
I suspect big rises for this one when the market turns."
Very positive write up in Stockopedia this morning by Graham Neary on K3C ...- ''As far as the professional services sector goes, this might be one of the best stories I’ve come across in recent years. It looks like K3C has nailed the marketing side of the business, perhaps by putting in far more effort and placing more emphasis on it than their competition....''
https://twitter.com/surprised_trade/status/1574658755060531200
expecting an upgraded broker note shortly from it's original fair value target of 414p.. ..sp was 350p before general no reason decline to current levels
Phew! The results should stem the decline in share price to only 5% today.
https://twitter.com/surprised_trade/status/1574643698079764480
All divisions recording growth in revenues and profits and divi increased..excellent results in current climate & forward look is 'Market opportunity robust across all divisions'
Financial overview
· Group revenue increased by 50% to £70.7m (FY 2021: 47.2m) with strong organic growth of 24%**
· All divisions recording growth in revenues and profits:
o Business Sales: Revenue £21.6m (FY 2021: £16m) (organic growth of 21%), EBITDA £10.8m (FY 2021 £8.3m)
o Tax: Revenue £11.6m (FY 2021: £5.2m) (organic growth of 35%), EBITDA £5.9m (FY 2021 £3.1m)
o Restructuring: Revenue £37.5m (FY 2021: £25.9m) (organic growth of 21%), EBITDA £6.7m (FY 2021 £6.0m)
· Group Adjusted EBITDA* growth of 30% to £20.4m (FY 2021: £15.7m*)
· Cash £13.7m (FY 2021: £14.3m), providing significant headroom to fund organic investment and acquisition opportunities
· Adjusted earnings per share*** 20.64p (FY 2021: 18.56p)
· Recommended final dividend of 8.1p per share, resulting in a total dividend for the year of 12.1p (FY21: 9.1p)
Started: MasterRSI, 14 Aug 2022 21:37
Last post: MasterRSI, 22 Aug 2022 15:08
And another move to 235p on the bid now, looking much better for a change
That's the way, the way I like it.
I see the volume has picked up today and the last 2 trades are large and paying close and full offer
13:25:03 240.00 5,000
13:22:09 238.50 5,000
chart with volume... http://uk.advfn.com/p.php?pid=staticchart&s=L%5EK3C%20&width=600&height=205&p=1&t=1&dm=2&vol=1&cb=
the advertised spread is not the real spread ....231.6p to sell on bid live prices.....
Finally has gone up, but on a larger spread 220 v 240p
This is ridiculous Market Makers
spread tigtening on slowly increasing volume....230.75p sell bid now....besides that the sp drift down against the backdrop of excellent figures as detailed below and the positive outlook provides a very decent opportunity imo :-)
Last post: surprised, 22 Aug 2022 14:46
https://twitter.com/surprised_trade/status/1561695693462544387
broker note target sp 414p...and has since been revised up further
I took on the bulk of my buys at £3.30p, been trying to average down as best as I can, but it has now become my largest holding in term of money invested. The fall and lack of bounce is really puzzling, it's like people don't realise they acquired Quantuma for insolvency and restructuring work which will be coming into their own now.
Every time I hear John Rigby speak I am always impressed, the numbers look fantastic, the prospects seem great (BEG and FRP doing well). They are even doing great with M&A work. Hopefully they make a nice acquisition to recapture interest, I'm in for the long term as I like the plan, but the SP is concerning short term. Hopefully we see a turnaround over the coming months. I hold a fair few shares but this one is the only one that has me truly baffled by the price action.
sp drifted down from 340p+ at start of year against back drop of excellent figures & expect to comfortably beat expectations....
''full-year results are "expected to be comfortably ahead of market expectations and significantly ahead of [the] prior year."
The group anticipates sales and adjusted EBITDA to increase by 43% to £67.5mln and 24% to £19.5mln respectively for the full year ended 31 May 2022.
All three business divisions - business revenues, restructuring and tax sales - are expected to report "very strong performances," according to the provider of specialist advisory services to small and medium-sized enterprises (SMEs).
K3 expects the business sales division to have a record year - up 34% - boosted by continued organic growth momentum enabled by its data-driven marketing technology platform.
"We have seen strong growth across all of our business divisions underpinned by the group's proprietary data-driven marketing platform and cross-referral network, which continues to drive competitive differentiation and deliver a strong pipeline of opportunities across the group," John Rigby, chief executive, said.
The group flagged it will also have a "robust balance sheet" with £12mln net cash - which will provide headroom to fund organic investment and acquisition opportunities.''
Last post: surprised, 15 Aug 2022 10:24
technically oversold, fundamentally undervalued, profitable, cash in hand and outlook states 'set to beat expectations', broker has 400p+ target
https://twitter.com/surprised_trade/status/1558074322945773569
Started: Robina, 27 Jul 2022 14:25
Last post: surprised, 12 Aug 2022 17:45
lol, I'm chilled,some folk will wait until the sp is higher , some will see an opportunity at lows :-)
Chill nothing to see here until results and divi announced.
A lot of hopefulness not materialising innit?
Last post: surprised, 11 Aug 2022 16:47
https://twitter.com/surprised_trade/status/1557739422430285824
added to holding...224pp....drifted down from 340p+ at start of year against back drop of excellent figures & expect to comfortably beat expectations....
''full-year results are "expected to be comfortably ahead of market expectations and significantly ahead of [the] prior year."
The group anticipates sales and adjusted EBITDA to increase by 43% to £67.5mln and 24% to £19.5mln respectively for the full year ended 31 May 2022.
All three business divisions - business revenues, restructuring and tax sales - are expected to report "very strong performances," according to the provider of specialist advisory services to small and medium-sized enterprises (SMEs).
K3 expects the business sales division to have a record year - up 34% - boosted by continued organic growth momentum enabled by its data-driven marketing technology platform.
"We have seen strong growth across all of our business divisions underpinned by the group's proprietary data-driven marketing platform and cross-referral network, which continues to drive competitive differentiation and deliver a strong pipeline of opportunities across the group," John Rigby, chief executive, said.
The group flagged it will also have a "robust balance sheet" with £12mln net cash - which will provide headroom to fund organic investment and acquisition opportunities.''
Started: W13Ken, 19 Jul 2022 20:13
Last post: W13Ken, 20 Jul 2022 08:38
...looking more closely, the value of the deals has some way to go to match the quantity of the deals in the league table but that should grow in time
K3 Capital's performance in Refinitiv's H1 2022 Mid-market M&A Review. Worth noting that this Bolton-headquartered company closed more than a deal every working day in H1, beating the likes of Goldman Sachs & JPM globally, KPMG & Deloitte in EMEA and absolutely everyone in the UK.
https://thesource.refinitiv.com/thesource/getfile/index/febb446b-719a-4a11-9fc6-b86ec4042743
K3 Capital continuing to do excellent business.
Refinitiv’s H1 2022 report names them as the UK’s most active business sales adviser.
* Completed 149 deals, 50% more than nearest competitors
* 3rd in Europe, 7th worldwide
* Top of Refinitiv rankings
* Undervalued IMO
https://www.linkedin.com/feed/update/urn:li:activity:6953701412077756416/
Started: BestGuessing, 21 Jun 2022 12:38
Last post: Robina, 5 Jul 2022 12:16
What sort of timescale is "eventually"?!
A very erratic uptrend in the last month. Hope it continues.
The market will eventually realise that we are ridiculously undervalued.
“The UK’s financial and professional services sector roared back to growth last year after a pandemic induced contraction in 2020, a new report has revealed. The sector notched year-on-year growth of eight per cent in 2021 following a contraction of 0.6 per cent in 2020, while total industry output in 2021 reached £261bn, up by £19bn year-on-year, according to a new report by industry body the CityUK. Collectively the sectors accounted for 12 per cent of total UK economic output, up from 10 per cent in 2020, the report found. Chief economist at the CityUK Anjalika Bardalai said the sectors had ‘weathered the challenges of the pandemic period well’. ‘Its relative stability reflects the essential enabling role the industry has within the wider economy, and the continuing strong demand for its products and services within the UK and beyond,’ she said. She added that resilience shown through the pandemic made it ‘well-placed to withstand the myriad economic and geopolitical challenges’ set to rock the UK economy this year. Industry employment also remained relatively resilient throughout the pandemic, with around one in every 14 UK jobs employed in financial and related professional services in ‘high-skill jobs’, the report found.”
Source: City A.M. - THURSDAY 30 JUNE 2022 6:00 AM
https://www.cityam.com/uk-financial-services-roars-back-after-pandemic-slowdown/
Started: surprised, 5 Jun 2022 21:02
Last post: fastduckharry, 21 Jun 2022 10:48
Am happy with these numbers. Will re-invest the dividend whatever it is. I'll leave you guys to bang the drum for K3C but for me, it's the results that will do the talking.
On the USA front, the talk is of wanting the S&P to fall at least another 10%. Even to fall below 3000 with a major capitulation. Until there is some end to the wanton destruction in Ukraine, any upwards movement will be shortlived. Any irrational falls in sp of decent stocks with longer term prospects, are opportunities to buy, rather than be frightened.
https://twitter.com/surprised_trade/status/1539131037569122306
comfortably ahead of market expectations and significantly ahead of prior year,+ cash of £12m
Full year results expected to be comfortably ahead of market expectations and significantly ahead of prior year*:
o Revenue expected to increase by c.43% (c.18% organic**) to c.£67.5m (FY21: £47.2m)
o Adjusted EBITDA expected to increase by c.24% to c.£19.5m (FY21: £15.7m)
· All three business divisions expected to report very strong performances:
o Business Sales: Revenue +c.34% (c.24% organic**) to c.£21.5m (FY21: £16.0m)
o Restructuring: Revenue +c.33% (c.11% organic**) to c.£34.5m (FY21: £25.9m)
o Tax: Revenue +c.120% (c.34% organic**) to c.£11.5m (FY21: £5.2m)
· Robust balance sheet, with c.£12.0m net cash as at 31 May 2022 (FY21: £14.3m), providing significant headroom to fund organic investment and acquisition opportunities***
Brilliant results! Should help stem the decline to only 5% today.
When the tide goes out all boats will drop. With AIM they just drop further and faster. Chill out, it will come good once the uncertainty of war and rampant inflation are things of the past. It may take 5 years, but there is always a nice healthy dividend to sooth the wait. A major plank of K3C's business is rooted in insolvency so if things get any worse they will also benefit. Every cloud!
I believe in this company, it's solid. But there's a lot of scared money out there at the moment.
Started: MasterRSI, 18 May 2022 01:02
Last post: MasterRSI, 25 May 2022 15:16
It took its time but has finally gone to 270 v 285p +12.50p
Plenty of buys at full ask 275p
By the way of the last trades, it looks like the 275p offer is ready to go
but maybe the bid will go to 270p first.
Market Makers are short of stock as 2 small buys and every time a MM moves up their price and now more at bid 270p
11:27:48 275p 286 £786.50 - PEEL up
11:20:18 275p 362 £995.50 - WINS up
Bid has gone to 260p and now paying full ask 265p, after a few good size buys earlier
255 v 265p +15p
Look what happens when there are no shares on the Market....
A buy of 2,000 @ 260p just above the MM size 1,500 and 2 MMs gone from the offer and one goes to bid....
09:05:33 260p 2,000
Last post: Robina, 16 May 2022 16:33
Buys not moving the sp. Spread is annoying.
Agreed Surprised, I believe K3C has to climb significantly on or before June's results.
with respect schwee, a pe of 9 is incredibly decent, eps(f) of 26 very good and divi of 6.8 percent not too shabby...revenue and profit all looking pretty good too along with a bit of cash in the bank :-)
And it still trades on a fancy earnings multiple assuming (which one should) all the nasties are taken into account.
the journey back over 300p is where the larger profits are made, or investors can wait till the price is much higher :-)