Member Info for CarpeDiem1

Thanks SGD. Holders will just have to tough it out. No point at selling for 5p now.

There must be a big seller in the background although no RNS has been issued to that effect. Plenty of small buys but clearly there is a seller. We just have to wait and hold for some positive news. The business itself is cash generative with a great name and royal warrant behind it. I don't know many businesses where you can pay what you like, sell it for what you like all based on a catalogue price you produce. Oh well, at 1p a share I will buy the Co myself.

buys outnumbering sells, yet the sp still down. Lets see if the big buyer comes in at the end of the day. SG Auctions having a good sale by the look of it. Could well be a one million pound sale.

I think you are broadly correct with your figures, however there will be yet another 6.5 million impairment relating to the write off from the closure of Guernsey. It may be that some money will come back to SGI, but in my view it is better to write off the whole amount. Taking this into account I can forsee yet another loss in 2017/18 and it is only really 2019 that SG gets back on an even keel. Also don't forget that with so many staff gone there will be redundancy expenditure also. Anyone intending to buy now should really be looking towards 2019 and beyond. That said, I do think 6p is reasonable betting on a 12-24 month recovery from now.

whichever insti is buying, they clearly can't be bothered picking up smaller chunks at 6.5p, which is the current ask price. They prefer to wait and buy in large units at 7p. I wonder why?

I have doubled my small holding recently, although the 720,000 buy was not me! IMHO the unloading of the investment vehicle means SGI can concentrate on the areas which make money and begin to pay back some of that loan. Current value of the company is small beer for some.

I have lost track a bit with all these silly hedge fund names, but Lombardier Odious owns 29.16% of the shares. I guess they could buy 2 lots of 720,000 and just remain under the 30% threshold.

Pearls, what you say is correct, at least in part. SGI have offloaded the investments, but also they have virtually killed the investment market in the process that proved to be highly lucrative, at least before the buybacks became too much to bear. SG Guernsey were also indebted to SGI so a certain amount owed to SGI was it 6 million? will now be virtually written off. According to management there is only another 1 million in non core assets or stock that is available to be sold. After then I guess it is down to selling core assets so it will be down to what they get for Baldwins or publications. The Philatelic division will be impacted by the collapse of the investment pyramid scheme. Nevertheless without the ball and chain of the buybacks, I think a line in the sand can be drawn especially if Guy Croton can draw in several important philatelic properties for the company. A couple of 10 million pound collections being brought in for auction would do wonders for the company at this time.

I imagine Baldwin's can be sold and then SG will just have to trade out of debt relying on profits from philately and publications. This is not impossible, just very hard. Getting rid of superfluous management and the 399 shop premises would be helpful. I see Guy Croton has joined SGI. Does he know something I do not?

There has not been much interest therefore nothing to say.

I hear from sources SG is likely to move from 399 next year. I guess Ringwood is possible or somewhere cheaper in London. I was in there this week and the shop was empty as usual.

The spread is quite wide at the moment, so have to see if this is just a bounce or a sustaining rise.

There is no guarantee of a sale to so called interested parties. The share price seems to have fallen in corrolation to lack of news about this. The last update was from June when the FSP was "nearing completion" but we are now 4 months on and no news. Furthermore we were advised that the company had difficult trading conditions and was hampered by the buyback scheme. If the next update can show a turnaround in profitability and an uptick in trading conditions, then perhaps a buyer can be found at a level which is higher than the current share price, however a lot does depend on the next trading update.

Another low touched today with the ask 6.45p. The market cap is 11 million and starting to look like value. I certainly think at around this level there will be some sort of buyout in the offing. Theoretically there is a 23 million surplus in stock value over debt, plus the intrinsic value of SG Philately, Baldwins, Publications etc which must be worth around 5 million. Even if the stock value was cut by 50% to shift SGI must still be worth around 10 million as a turnaround opportunity for a wealthy collector who fancies a challenge and that may open the door to other bids.

It is true that kids don't collect stamps any more but there is a huge appetite for rare stamps and high grade specialised collections. My own stamp business is increasing turnover and profits every year and current auction realisations are higher than ever thanks to the international nature of stamp dealing. It really has become a global marketplace. SG latest auction catalogue has some nice looking collections it looks like a good sale. The end of stamp collecting has been predicted for as long as I have been dealing, which is 35 years, and I am still here, although I am still awaiting a call from SG to come and sort them out.

The continuing fall in share price seems to indicate little cheer will be forthcoming at the AGM. One would have thought if there were a modicum of good news the sp would have perked up a little. I can see SGI group being sold for 10 million (about 5p a share) and being broken up. Still, it is fascinating to watch the slow death of a once great company.

I must admit I had not heard of Scholium before today, but its seems it is merely a holding company. Of more interest is the establishment of Mayfair Philatelics with Rick Warren and Tim Francis as directors and who will re-establish auctions at the old Apex venue of Lingfield. Basically it is Apex auctions in all but name. http://thephilatelictraderssociety.co.uk/new-company-formed-mayfair-philatelic-auctions/ Maybe they had to do this under Scholium for legal or corporate reasons. In any event, the establishment of a new philatelic business will be minor competition for SG but generally good for the trade.

It does appear that the shares are now trading at a 30% discount to nav. I think we are now at or near the low point, because even if one massively discounts the stock to 25 million pounds and pays off the loans, that still leaves 7 million pounds in stock at realistic levels, plus cash generative businesses of SG Philately, Baldwins and Publications which in themselves must be worth five or six million pounds, giving the company a value of roughly 12 million pounds which is about 6.8p a share, funnily enough exactly the share price today. That is why I bought today and why I think 6-7p must be the right price at the moment.

I think at this level it might be worth a punt so I have added to my holding and significantly reduced my average. Just hope the management can pull something out of the bag.

You can google each of these companies and look up the 2017 accounts filed at Companies House. I had a quick look and all 4 posted losses in the 2017 accounts of over �3 million.