1% short, judging from the price action here. Had a few more, really like this company. Left a bit of room, as we have a trading update fairly soon, but the company is in good health from last financials, and well regarded. A few in the £2's would not trouble me at all.
Ok, ill take down my I3 share certificates. They are looking a bit tatty now, and frankly did not impress any visitors on the rare occasion they came, one asking for a TV license and the other asking his football back. I said, 'Wot, you dont know who Majid is..'. The TV license guy did take quite a shine to my life size Eric Nuttal cut out. I told him the bull case for oil, but never got the chance to finish about the strategic reserves, as he said he had to check out the young mother (of the football owner) - I assume he meant license, or he probably went and bought I3 shares in envy of mine.
One difference with a CFD, is that is costs to own it (finance cost). So they do not make you a long term holder in my mind.
Polus increased CFD prior to AGM.
Cup of tea with Eric now...
Probably less exciting because he rules out a take over in the RNS.
Yes, ownership by directors or non execs is a very good thing - as long as it remains a minority stake, less than 30%. If the people making decisions and spending money have bought shares like you and me, our aims are aligned. It is only bad, when these people own more than 50%, because they could then win any vote in the company. Look at IBPO delisting recently, with the owner at 70% there he can and did do what he wanted. Breedon is a quality outfit, if Abicad wants to increase his stake that is a very good thing.
Tony, in your post you have missed an important point with CFD's. CFD's can allow a short position, as you said, you can bet on the share price movement, but in either way. What I often see, when stake building or selling, the CFD is sometimes in the opposite direction of the actual share trade. This hedges the adverse movement by such large volume in the market. I do not follow PANR, so not sure (or interested) on what ever happened there, but this is sometimes an explanation for these type of fluctuations. EG, the participant could have dumped some shares and hedged this with a short CFD. The profit form the short CFD would have made up some of the drop from the sale. I see this all the time in other stocks, especially from Blackrock. For a smaller operator, (still bigger than a PI) then yes, they may sell shares and move to CFD, especially if being margin called elsewhere. Selling shares and going to CFD would in theory free up more cash. But from a single TR1 you cant work out which one of these scenarios it is. For me, I would prefer a large investor to hold direct shares, it shows more commitment. Also the CFD could actually relate to direct sales in the market, by the counter party so closing a large CFD could cause volatility.
In the case of Polus, my feeling is that they are more interested in voting rights (again offered by CFD's) rather than exposure to share price movements. I base this assumption on the behaviour of them and JPM, especially around the AGM and the special resolutions that were voted down and not approved - i.e. if there is dilution then those with voting rights will get first offer.
BEXIMCO operates one of the largest integrated textile production businesses in Asia. Its main manufacturing base is the BEXIMCO Industrial Park in Gazipur, Bangladesh. Beximco Pharma, the group's pharmaceutical producer, was the first Bangladeshi company to be listed on the London Stock Exchange.
Why did they list in London and not the Dhaka? Seem to be owned by a parent company, why list at all. I am sometimes a little sceptical of these set ups. Why exactly does it need a London listing?
Please sir, can I have some more.
I did consider posting a reply, but I know nothing about BXP. Different reasons for holding perhaps, Im waiting for a buy out here, with Dbay up to 20% over the year, and that being their M.O. No idea about BXP, is it an Indian company?
Not sure it matters much, as according to the last interview Tom has little interest in the share price, or rather feels it is out of his control. He could be right, this is a buy and hold for a couple of years, then a nice dividend?
What ever next? Underwater on said purchase like the rest of us mugs.
I really hope they do an investor meet (though that does cost money so unlikely).
They managed a trading update for the full year in 2022. Bear in mind the FY financial year ends 31 May 2023, so I see no reason why some TU could not have been released. Last year they suffered delays with results from Auditors, so the November date was actually late. They had originally planned to announce in October.
Sometimes, TU are not forthcoming, as they dont want to pre-warn they need a raise. This could also be why the auditors cause delays. I disagree that it is too costly or time consuming to make a announcement in July regarding the end of the FY year. In fact, they probably would have done this if they had good news?
I will be pleased if they can get by with no more raising. They had quite a bit of debt stated, in the last HY report. But hopefully the sale of the property and the placing (even though it was stated the money was for other purposes) might have done it. The company needs to tell us EXACTLY what the debt looks like going forward, when it is due etc.
Again, lack of clarity in the updates makes it anyone's guess if they will want more money or not. I am certain that this company does not value small investors, as my enquiries have gone un answered. As I said, I did buy today, but still feel quite pessimistic here.
The 2.8499 was my buy. Probably cleared the last few shares to print the large sell.
No way of knowing in this market, what the sell means. Could just be a forced seller.
I think the company has been too quiet, they are not engaging and trying to increase the share price here, which is worrying. I would be more accepting of raising further money, if the company had kept us more informed, and we had more visibility of the efforts being made. I hope we do not hear from them just for more money. On the other hand, I have seen a few buy outs that match this pattern, of silence then offer, but even so most holders will be out of pocket at 4p for example. Total gamble I feel, hence small top up.
I sold out of OSI before the offer, very similar. I hope the II percentage here makes them behave themselves.
Glad your still here LV. Not ideal, but not worth bailing now. Could work out well regards timing of other stock.
The head office was purchased in 2015 on IPO, and not been revalued. Neither has the factory completed in 2017.
I am not saying this is straight forward, and the lease liabilities for the branches must be eye watering.
I was just making the point that I think someone will want this. You are right, there are so many variables here that unlikely anyone could value this without more info. However, I do not see administration, for reasons I have posted on the Aurelius thread. Its obviously a gamble and carries some risk, but this seems an over reaction today, given the RNS was positive with new lenders and existing lender willing to allow covenant breach. A buy out would make most sense, to be run by an entity with deeper pockets, until economy improves. That is my position here.
I did not include any good will. Just the hard assets, Factory and head office. Head office purchased for £4M, Factory built from scratch for around £15 (inc fitting). I actually think there should be some thing added for intangibles (work force, accreditations etc). This business is described as a high barrier to entry at this scale.
Nav Just shy of 6p/share
67% owned by II, not including the BOD
https://www.safestyleukplc.co.uk/investor-relations/major-shareholders.aspx
Cant see them selling down here. The liquidation value (net assets) would be around £8M.
I thought the RNS was a positive one today, lender willing to skip covenants, old and new investors willing to lend. I have taken some more @ 2.4p. Last one of these TPX impact, I doubled my money. I think its a tree shake today, with all those SINT flags. Maybe final stage of a short now that there is no placing. The factory and head office are owned outright must be worth over £15M. It isn't possible to go in to administration with that many assets, and nearly 50% instu. holders, who would usurp power immediately. That is why there is appetite to lend here.
Have a look at the existing lender, https://aurelius-group.com/en/
"In the company acquisition process, AURELIUS Equity Opportunities concentrates on identifying, analyzing, creating and exploiting all the opportunities afforded by the market. "
As an active investor with a long-term investment horizon, we are searching for European corporate spin-offs and medium-sized enterprises with the following characteristics:
"
growth potential given close operational assistance;
below-average profitability;
synergies to existing platform investments.
Investment criteria:
Revenues between € 30 million and € 1,000 million
Investments in companies in the lower midmarket (AURELIUS Equity Opportunities) and midmarket (AURELIUS European Opportunities IV)
Majority interests acquired, 100% holdings targeted or co-investments with AURELIUS European Opportunites IV
Add-on acquisitions for existing portfolio companies
Flexible contract structures in line with the seller’s preferences are possible
"
These guys already done this with loads of companies, here are a few building sector ones:
https://aurelius-group.com/en/equity-opportunities/companies/youbuild-mpro/
https://aurelius-group.com/en/equity-opportunities/companies/b-p-geruestbau-gmbh/
https://aurelius-group.com/en/equity-opportunities/companies/zentia/
https://aurelius-group.com/en/equity-opportunities/companies/silvan/
https://aureliusinvest.co.uk/news/aurelius-portfolio-company-ctd-tiles-limited-acquires-13-branches-from-tile-giant/
Here is the one that makes Safestyle an ADD ON
https://aurelius-group.com/en/equity-opportunities/companies/unilux/
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Soros, Atlanta, Henderson, could sell their stake, but at what price? 17p previous placing be nice wouldn't it.
That would be best case, but worst case, this will have at least 12 to 18 months to limp on. Bound to see more than 2.5p to sell in that time. Easy buy for me today.