Rm Infra Inc Share Price (RMII)

Well there we have it, all other runners appear to have fallen so we look to be heading towards oblivion. Let's hope, like VSL, that the directors are able to continue paying the existing dividend for a year or more whilst they sell off our assets. I'm not sure what alternative fund RM might find to roll our interests over to but I'm not holding my breath on that one. The search for decent, regular, reliable income payers has just become even more difficult.

Interesting RNS this morning, finally some movement on consolidation and enlargement. The GABI Scheme proposes a combination of GCP with the (smaller) GABI fund to drive economies of scale amongst other potential benefits. Since both are effectively in the Gravis stable, and both Boards support the combination, it looks certain to proceed IMHO.

In addition, GCP has announced that it is one of the two concerns who have been in discussions with RM Infrastructure Income regarding the combination of the enlarged GCP/GABI with most of the assets of RMII.

As with all these things, the devil will be in the detail, most of which has yet to emerge. On the face of it though, both of these developments could be beneficial to all 3 entities, and I look forward to hearing more as things develop. K

Is it worth buying here? Paying 66p for 91p of assets seems on the face of it, good value, even if the fund is finally wound up in 2-3 years.

Why would there be a rights issue or placing when they are talking about the opposite (buying back shares or winding up)?

And whilst I'm having a moan, here's what the Chairman said in the Final Results on 26th April: "The current range that the Investment Manager is indicating to the Board is that there will be sufficient income to pay a dividend of at least 7 pence per Ordinary Share which will equate to a current yield of 8.24% versus the year end share price."

But the dividend for the first quarter is 1.625p, equivalent to 6.5p for the year, unchanged from last year. Is it just me, or are they making it up as they go along?