Cobus Loots, CEO of Pan African Resources, on delivering sector-leading returns for shareholders. Watch the video here.
First time doing DD:
1. How much of the cash is actually their cash, rather than just cash being held for customers? It says on their balance sheet:
Cash and balances at central banks: ยฃ577.6m
Money market funds: ยฃ165.0m
Investment in debt securities ยฃ432.5m
If any of the above are actually their cash, it is way below book and seems a no brainer?
2. Is this actually just Crown Agents Bank, or is it a specific section of the bank? It seems to have no debt, but not sure how a bank would operate without debt, so assuming the latter.
3. How much of their money comes from Africa? Hard to find this exact figure
This seems incredibly undervalued, am I missing some glaring controversy / mistake / risk? Any help appreciated, just doing my initial overall DD today.
Cheers!
Any further insights given to the cash vs liabilities situation?