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Who is regularly buying one share at a time? The Geoffrey Boycott of investing, taking them in singles!
The thing with the order wins is they are net of the order bank consumption, so even more impressive. In the half year the order bank has increased 26m while the order bank was being consumed by 26m so the order wins must have been 26+26 = 52m in a 6 month period. That is a very impressive run rate.
Welcome and substantial increase in the order book to £72m in today's trading update - plus other signs of the market picking up. Cash is down to £9.3m though which could indicate slow payers or just the seasonal opex peak. And no debt.
I topped up yesterday so perhaps my timing was perfect for once…
I took some encouragement from this line in the PMI report issued yesterday:
Rates charged by sub-contractors increased at the fastest pace since September 2023, despite
a robust and accelerated improvement in availability.
Nice update from Taylor Wimpey today, following the positive message from Persimmon yesterday. Have we now seen the low point of the cycle?
https://www.taylorwimpey.co.uk/corporate/investors/results-and-reports
I agree, most of the drop happened before the announcement., it now looks in retrospect.
Bad timing given today's RNS. Insiders obviously knew long before we did.
There hasn't been enough selling to warrant the share slide so it looks as though the MMs are trying a tree shake to pick some shrapnel up for their satchel. So I too added 10,000 shares today and in the absence of any change in the company's guidance, I'm ready to buy more if the SP drops further. I also happen to think that Nexus is a standout acquisition for a predator - for around double today's market cap.
I agree, they will still be here when the market picks up. Most of their competitors will not have a balance sheet like them and personally I would be happy to see them pick up distressed companies in their sector, as others with similar cash positions like Galliford Try have done.
At the moment with the cash equalling the market cap, we are getting the whole Nexus-Tamdown business for free.
I’ve added today. The next year or two will be tough for them but they have such a strong balance sheet that I think they can withstand even the most severe market downturn. For example, the Ilke administration will hurt their balance sheet and profits this year, but they could withstand another two or three events like that one without the need for debt or shareholder dilution. I doubt many of their competitors could say the same. The market will eventually improve and Tamdown will still be standing when it does. Possibly in a less competitive environment as well.
Bad news, not sure how much if anything Tamdown will get of the money owed. Terrible news for the Ilke employees, must be a real shock.
I had opted not to sell any of my shares, as the opportunity for increased returns in the entity looked promising to me. However, disappointingly, HL sold the entire lot at 163p!
Will I buy the new entity? I don't know. But disappointed in HL for selling without consent. No doubt SP will take off in the coming weeks
You don’t even need to tender your shares for an even bigger return. Maybe many won’t given how much more concentrated the value per share will be post tender assuming nothing nasty happens with Tamdown.
I shall take the money and keep the shares in the new company and see what happens... The sp is falling so not many are interested at this stage
Is this not a great quasi arb opportunity right now? Looking at the continuing operations balance sheet and adding the 12m retained from disposal, the remaining operation will have about 30m working capital.
If you bought the entire share capital at 163p a share right now you’d be paying a 74m market cap. Yes you’d break even on the 63m being returned but, assuming the remaining business traded for working capital which I think is very likely, then you’ve almost trebled your money on the remaining 11m that you hold.
Or put another way, you could buy 10k worth of shares in the market right now, get back about 8.5k and turn your remaining 1.5k into 4.5k. 10k to 13k in pretty short order.
Obviously this is subject to believing Tamdown is worth working capital. But otherwise, is there anything I’ve overlooked?
Disappointingly low tender price announced of 163p per share with a basic entitlement of 5 out of 6 shares.
Eh? Are you confusing this with another share? They aren’t paying a dividend but are intending to pay back GBP65m through a tender offer subject to a vote. The price per share for the tender hasn’t been disclosed.
Very quiet in here ....
Large one off divi being paid.
Chief operating Officer stepping up into CEO role.
BOD compacting into a smaller unit of experienced Nexus BOD members to focus on running the one division, thereby reducing overheads.
Fully funded with £10million cash in the Bank.
And there is little noise about it online but reasonable sized buys dotted about?
@Share_Talk Weekly Small Cap Movers & Shakers, Saturday 31st December 2022 #MOS #CTEA #MARU #IES #NEXS #PANR #CRTM #BLUE #INSP #HARL #EUA & #GRL https://twitter.com/Share_Talk/status/1609152020295868416?s=20&t=aNuTzBJYw8URLCZtLBJlCA
This is more than the market capitalisation prior to the announcement. The share price increased by 14.8%, to 175p. This is the highest price it has been since June. TriConnex, eSmart Networks and Nexus Infrastructure were the segments with the highest growth prospects. Nexus Infrastructure is left with
https://www.share-talk.com/share-talk-weekly-small-cap-movers-shakers-31st-december-2022/
So do I. May look to recycle some of the cash into Tamdown if it shows weakness worth exploiting post separation.
Tri-Connex was the most profitable component, but it wasn't showing rapid growth in H1 ... so I'm not too disappointed by this surprise announcement. Looks as though the market cap is now equal to the sale price, so we keep Tamdown for free.
We're likely to see about 150p per share returned to us next year and assuming the Balance Sheet breakdown in the interim results is fair then Tamdown in isolation will have net assets around £15-20m plus the £10m cash retained from the sale.
That should really give rise to a residual value of above 50p per share and a business generating about £100m annual revenue. If efficiency and sensible operating can give rise to just 3% net margin then we own a company valued at around £20m with £3m net profit and the prospect to grow as housebuilding inevitably recovers. In the current climate I'll take that
I feel the same way. Sold all the crown jewels..
The 50% share price increase over recent couple of weeks was indicating some type of leak. This was unexpected however.
I've mixed feelings to be honest. All the good assets are being taken at a steal, and quite significantly discounted to where they'd have been priced just 12 months ago. NEXS share price is low because of being grouped in with housing and infrastructure stocks, not because its own performance is poor
My average is around 1.50. Didn't sell out last year because I thought this could do amazing in the long term.
Profit is profit... but think the number here is too low
"A substantial proportion of the net proceeds from the Disposal will be returned to Shareholders in early 2023 (assuming the Disposal is approved by Shareholders) by way of a tender offer. This is expected to be c.£65 million.''