Logistics Dev Share Price (LDG)

IC article yesterday has helped.

https://www.investorschronicle.co.uk/ideas/2024/05/28/welsh-wizard-sees-value-in-this-stock-and-so-do-we/

My interpretation of events. DYOR.

Stobart group had 12% of the shares here (64M), then they changed their name to Esken. Then they went in to administration against their largest bond holder Cyrus Capital Partners.

Cyrus Capital Partners, L.P. were as of last week 0.61 short. Knowing that the administrators would have to sell off the 64M shares at a low price. Have probably been forward selling for a while. This is also the reason that LDG stopped the buy backs IMO. Enter Richard Griffiths who bough most of it. Well done to anyone else who got some at nearly 40% discount to NAV here. Griffiths is usually an activist, so further events could unfold.

Stobart Group Limited holding 64,149,500

Griffiths ( increase 15.28% - Existing 3.76) = 11.52% * total shares = 525,912,191 * .1152 = 60,585,084

Cyrus Capital Partners, L.P. 0.61 short = 0.0061 * 525,912,191 = 3,208,064

Price is recovering now, as the overhang is gone. APH is looking brighter too. I got a few last week, but wish I had bought more now. Dare we say the low is in now. A break of 12p would end the down trend.

Is it agreed that Richard Griffiths thinks the shares are good value at present levels? He surely wouldn't have increased his holding so much unless he thought that was the case? ALgent.

Afternoon PatShare. Thanks for coming back. Good luck to you too. Bought a few more this afternoon. Some large transactions going through. An interesting share for sure. I think the upside exceeds the downside. Famous last words maybe! ALgent.

Welcome to the board ALiverpoolgent, and good luck with your investment.

What you are saying is probably right, sub-10p could be a good entry point here but no one is really sure why it is sub-10p, the picture is far from clear. Sure there investments may not be performing as they would like, but the share buyback was meant to reduce the discount to NAV and didn't seem to work at all.

As you say, likely to be a long-term investment case from here, and no panic required. At least hey don't have to fundraise like some, plenty of cash in the bank for further deals to be done.