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Share price has enjoyed a good run over the past month and no pumpers & dumpers on the BB which is a relief! The value proposition for owning more MERC shares seems strong according to Schanhorst. Inclined to agree, will add more this week.
I’m expecting a bid at some stage. Big cash pile, good reputation, assets under management growing fast, well positioned for UK turnaround, especially with our British Business Bank relationship. That is meaningful. Like us, Maven were recently awarded BBB contracts. Maven were taken over by Mattioli Woods in 2021 and they are currently being taken over by Pollen Street Capital. Things are moving.
Very good results, surprised the sp not higher.
Brilliant Scharn, thank you. Really appreciate the information and I totally agree Ray sounds like the type of guy any company and investor would be proud to have on their side. Now I know, I am. Kind regards, MIG
You’re welcome MiG. Ray Chamberlain was non-exec chair of Mercia at IPO and is a staunch supporter. He was executive chair and main shareholder of Forward Group plc which was successfully sold in the 90s. The name lives on in Forward Innovation Fund and Forward Nominees which are listed in the MERC Annual Report as significant shareholders in Mercia and in which Ray has an interest. I don’t know how many shares Ray holds directly in Mercia but I’m told he has never sold a single share in the company. I’ve met him, he’s a very nice bloke and passionate about encouraging small and medium sized companies in the regions. The UK needs more like him imo.
Thanks Scharn, exact as usual and completely correct. The RNS here is more accurate than where I saw it. Apologies FEP if my note didn't help. All the best guys, MIG
The director didn’t sell shares.
The Shares were sold on 21 March 2024 at 32.50p per share by non‐Chamberlain family shareholders. None of the shares sold were held personally by Ray Chamberlain.
Hi MiG thanks for the response, I did not appreciate he held that many shares! As you say the prev RNS very encouraging and I am starting to think this is a long term hold.
Hi FEP, looking at previous sales he had done these before in Feb/Mar perhaps for taxes? As he still has 60m shares I wouldn't worry, especially as Mercia, their recent news and their brokers targets seem to be very positive IMHO. Regards, MIG
Director sells shares....not so great, could be good personal easons for doing so?
Indeed, 2 brokers have appeared to upgrade estimates already, one described it as "hitting sixes".
Let us hope shareholders see some of it, personally I'd be happy just with a boundary hit...
Good news, a sizeable chunk of money imo.
Buyback has reaches just under 9 million shares, and Mercia could keep buying until they reach around 16.5 million, as they did announce "a share buyback programme of up to £5.0million".
Volume has picked up in recent days with the share price beginning to tick up. Perhaps supply of cheap shares is running out? It's possible some further good news is brewing, and Mercia are keen to accelerate the buyback programme before the news flow is ready. to be released.
Let's hope we are at the start of a sustained rise and some positive news flow lands to help drive the share price into the 40's.
I’m surprised by the muted market response here. Fund managers pretty much across the board have had outflows for around two years now.
Not only did they manage minor inflows in their H1 results, they’ve now added over 10% in one fell swoop. Talk about bucking the trend.
You can tell from share buy back profile over time that they're mopping up weak PIs. It's beneficial for me that shares are bought back well below NAV so no complaints. Times might be hard for some but it hasn't stopped Mercia closing out the Northern Venture Trust offer which is fully subscribed for £14m plus £6m extension. I expect NVT2 and NVT3 to follow suit.
Hi JS, (my thoughts, but of course they could be wrong!) with Mercia buying back its own shares I would think that may support the shares a bit, but with the various cost of living increases at present, especially re-mortgaging, that counterbalances that. The FT Weekend also had various little bits of info such as bonuses not going towards VCTs, which again could affect Mercia, at the moment. Unless Hunt comes up with something in the March budget to help the UK market and general spending, the technical recession bites. Won't ever give up on Mercia, as they have everything in a share I and my family value. People in trouble sell things in the market that are easy to sell. May be shares like Mercia. Give it a year and I'm convinced they will recover. Good luck all, especially JS and Scharn. Best, MIG
Given history of nervous holders cashing in
expect this dip to ?27p
Thanks for the clarification MIG. Resolution 11 at the agm gave them the authority to repurchase up to 10% of ordinary shares so they’re operating within that remit. When you put your figure up I wondered if our directors thought there was a chance the share price could drop to 9p. Nothing will surprise me in this market for small caps but I hope to put that thought away along with the mauser. Have a good one.
Hi Scharnhorst, my figures are from the Share Buyback Programme RNS of the 28Nov23 where Mercia mentioned £5m and a maximum of 44,658,120 shares - though at a purchase price of 30p that would only be 16.7m shares bought....and a Happy New Year! MIG
Barchid Scharnhorst : And a very merry Santa to you also. So we end the year down to 29p from 33p Doh..!
It's been a funny old year , well it could have been, but as of 8 November 2023 possession of nitrous oxide, also known as ‘laughing gas’, has been made illegal. I think it was something to do with people consuming balloons full of instant whipped cream & choking to death ? People just don't read instructions anymore.
https://www.thefactsite.com/year/2023/#:~:text=The%20Doomsday%20Clock%20was%20set,since%20its%20creation%20in%201947.
So nearly the end of the "Water Rabbit" ? and the start of the "Wood Dragon" both of which have never appeared on any of Attenborough's offerings (must do better Sir David). Have a Cracker … 👍 💧🐇 🎈
Scharnhorst
And a very happy Santa period to you too although I doubt many Norwegians (Quislings excepted) would agree with me !
Boards would though, I'm sure...
I don't know how you arrive at 44m shares for possible repurchase MIG. They have £5m to spend, so to take 44m shares off the table the average price during the repurchase would need to be 9p. If we drop that low I'll be having a night in with a bottle of schnapps and a mauser. Have a nice holiday. I've asked santa for 'Hitler and Stalin' by Laurence Rees to remind me of the good old days. I have high hopes for 2024. After all, it was Himmler's idea to send undesirables to a colony in Africa.
Doh! Thanks Scharnhorst. Very basic mistake of mine - of course it's a possible 44m not 4.4m shares. Getting older, losing my decimal points, etc, etc, (read the RNS properly...). Appreciate your help mate. Merry Christmas.
£5m set aside for share purchases, equating to about 17m shares at the current price. They’ve not done a tenth yet so your figures are way out.
Dear All, been keeping an eye on the purchases (own transactions) and to 12Dec23 it's 1,387,069. So as the future purchases indicated are roughly another 2.8m, had the nice rise recently anticipated this, or is there a little increase extra due over the ensuing period? Intelligent and knowledgeable comments would be much appreciated.
Either way I'm still in here for the long term as I've always liked the share, and it's one of my few keepers. Thanks in advance, and Merry Christmas. MIG