Foresight Sust Share Price (FSF)

Hi all. Thanks for previous posts which I’ve found helpful. I’m a private prospective investor who knows a little about forests but little about FSF. Some points I’d appreciate thoughts on:

1. How do you view the board member share purchases in December - promising sign or desperate effort to pull up share price?

2. The company suggests its share price decline is in line with other investment trust declines and not anomalous?

3. They use a backward looking valuation not a DCF approach. Is this conservative or optimistic? I wonder what NAV a DCF would give?

4. Their carbon income projections seem partly dependent on them retaining future carbon rights from timberland sales. But I note this concept of separated carbon rights is unproven, for FSF at least.

5. I note you’ve suggested a timetable for monetising assets will be helpful. It would be nice to know when they expect their first sale or timber harvest to occur.

6. Some Scottish plantation managers have been criticised for spruce monoculture’s adverse impacts on biodiversity and communities. From a biodiversity perspective I’d like to see at least 20% ideally 33% native broadleaf. Also preferable for the broadleaf areas to be for high value long term timber - as well as nature.

7. I note they have only £3m cash so future acquisitions seem challenging given expensive debt facility. They could issue more shares but previous experiences I had with dilution on another stock impacted my returns substantially.

8. There have been promising outcomes from latest COP which appear to have been reflected in EU ETS prices.

I realise these are points which the company need to answer but I’d appreciate any insights on these, or additional questions people may have!

Cheers

Just watched the year end presentation. They are commited to addressing the share price. Also positive on next two years planting. No plans to sell carbon credits until 2030 onwards.

As previously stated , a slow burn. Although, now could be the low?

GLA.

Tygra,

Agreed it's still early to dive in deep with FSF, bearing in mind the direction of the SP graph. Hopefully, it will bottom out soon. I'll look out for the RNS re Christmas trees!

Damonhill

No probs mate, I hope it starts going the right way for us soon.

All the best

Telf

Thanks, no I didn't see that so nice one for pointing it out. Agreed, we know what they are doing and that naturally trees take time to grow, but all in all the management are performing incredibly poorly. The money now spent to acquire all of the forests and new plots is gone (or most of it) so at some point the fund will need to start earning, or it's nothing more than a jam tomorrow investment and as the UK stock market shows, tomorrow never comes for many.

I'll have a listen to that later, but for now, I would be more inclined to think the price 'might' flirt with the £100 million market capitalisation level so I'm holding off from putting cash back in here. I want it to do well because I like trees. I also like the prices that can be achieved for UK hardwood timber (some of the established forests can provide good quality building standard timber, so I would like to see a timescaled plan to monetise portions of what we already own).

A lot of self builders in the UK prefer timber framed houses and panelled houses. Good quality timber that doesn't have to be shipped from Germany, Denmark, Norway etc would be very welcome in the self build community, particularly if it's UK sourced. I would build a timber framed panelled house myself if I had the cash (and plot) but alas, the reddies aren't there just yet.

Thanks again for the link, I'll throw £500 in here at the end of the month, maybe an RNS will land saying we're now in the Christmas Tree business.

All the best