Member Info for Raleigh

Today's RNS. Partnerships again, this time in London, supported by Homes England.
And repetition for clarity "As at 30 June 2020, Partnerships had 40,267 plots in its land bank or at preferred bidder stage equivalent to 9 years' worth of work at 2019 volumes offering great visibility over the medium-term."
Homes England - "We’re the government’s housing accelerator. We have the appetite, influence, expertise and resources to drive positive market change. By releasing more land to developers who want to make a difference, we’re making possible the new homes England needs, helping to improve neighbourhoods and grow communities. So we welcome partners who share our ambition to challenge traditional norms and build better homes faster. Join us in breaking new ground to make this happen."

Possibly, and there are concerns that with the time it takes now to completion in the second-hand market, that minds, circumstances, will change and chains break down. Accepted. But just now there is a backlog to satisfy.

I think the resilience of the UK new build housing market at least is underestimated. Most builders are sat on healthy forward sales, and playing catch-up. In my opinion they will fight hard to continue building, and I cannot see Govt. wishing to intervene. The whole sector may be undervalued, and I note today that Berkeley, as an example, showed confidence, took their opportunity and notified the buy back and cancellation of £5m worth of shares in lieu of part of future dividend. Builders want to get on with things, and satisfy a backlog. Countryside also within their partnerships division has 9 years of work at 2019 levels. Just examples, not recommendations over any other builder. Builders want to get on with things, and satisfy a backlog. My understanding is there is, certainly in the UK, a market for Sig products.

" The amount to be paid as a dividend will be announced prior to the end of February 2021, taking account of any share buy-backs made in the intervening period."
Shareholders will benefit with astute, low-priced, buybacks.

I make that over £5m over the last two RNS, buyback and cancellation. Must be very confident that that is money well spent at the price to deliver value to shareholders.

I imagine partners Smith and Weaver will retire on the proceeds of their MXCP holdings.As such, with Mxcp's relatively very large investment in Íde, they will certainly have a money-making game plan for it.

We have heard nothing from Sig since the capital raise. C D and R thought they could turn this around. No doubt that remains the case, albeit at the moment in difficult ties. It is likely to concentrate their efforts. Though I get no real pleasure from it, the ability to buy more closer to their 25p first entry price is, for me, entirely unexpected, and I have done so.

I do not know that a conclusion was reached on that. Having an interest in Ide/MXCP you probably know as much as I do. What we do know is that Liberty Global has 50%, and MXCP has 25% with their co-investor having 25%. That co-investor has not to my knowledge ever been identified officially. I seem to recall reading theorists suggesting it was either the GIF, Ravenscroft, or Stephen Lansdown, but I cannot say now if there was anything to substantiate that. The short answer from me is I do not know. Perhaps somebody else can say more. But that is unconnected with Íde, save Íde being wrapped into MXLG, which from the outset was the popular consensus.
If MXLG did purchase Íde, Mxcp will not need firepower in the light of their existing investment.

And MXCP, very heavily involved here, has recently made their first return to investors following their announcement of selling all investments over a 5 year period, returning £4.3m to investors by tender offer, representing half of the proceeds of sale of assets, buying back and cancelling 10% of the shares in issue. The remaining cash they say will be available to invest. MXCP has undertaken continued support for Íde ( never thought they would do otherwise ) and has the cash should that be required.

We have to bear in mind that due to Covid the time limit for publication of half year results is extended - so Íde has until the end of October.

Little bit less than that, but........

With a buyer or limited number of buyers paying £18m or so, it will obviously be institutions, and following 3% transparency rules there will be answers in the next few trading days as to who is starting again with the shares at the price.

There is the RNS Somebody picked them up.

327932 @ 30.06

And again. The company will consider the shares undervalued at the price paid.

No. iPad stuck or something tech. Difficulty in initiating new message.

So we shall have a trading statement on 15th. October. They actually seemed quite upbeat looking forward on 22nd. July - https://www.lse.co.uk/rns/CSP/q3-2020-trading-statement-eownrbf4m9xo03s.html

"We have excellent visibility of future work through our strong forward sales position of 7,504 homes compared to 5,723 homes at the same point last year at a value that is up 34% at £1.5bn (Q3 2019: £1.1bn). Within this order book, our sales performance during lockdown contributed to a 25% increase in the private forward order book on the prior year to £514m (Q3 2019: £411m)."

"We continue to see attractive opportunities for growth in Partnerships given the strength of our secured work, equivalent to nine years' work at FY 2019 volumes, and the resilience of our mixed-tenure model."

And the directors and senior management bought into their 22nd. July optimism on the same day in the 335p ( today's price ) placing "The total gross proceeds of such Director and senior management participation will be approximately £402,000."
https://www.lse.co.uk/rns/CSP/result-of-placing-zb50zx9fb6ht6wc.html

Relatively small, but an example of the additional resilience ( mentioned earlier ) provided by ongoing partnerships with social housing providers.

VISTRY PARTNERSHIPS STARTS ON WIRRAL SCHEME
16 Sep 2020 North West Property

Vistry Partnerships has started work on a Wirral development.
The development, named Poppyfields, will comprise 78 self-contained apartments.
It will also provide a variety of facilities including a bistro, hair salon, spa bathroom and wellbeing suite.
Included in the development is a head office for Alpha Living, with North West managing director Ian Hilliker saying: "It's important to highlight the need for developments like these and we are happy to be able to provide flats to people who truly need them.
"High quality developments such as this are vital for local people and help build and sustain communities."
Chief executive Graeme Foster added: "The whole project team has been focused on delivering a high quality development, which will provide much needed affordable extra care housing on the Wirral."

The company broker can match a buyer with a seller at an agreed price and deal in bulk, rather than going out 'to the market.'

IT is an off-book trade. My understanding of that is that it is a deal done directly between ttwo parties, a buyer and seller, with one reporting to the exchange. As such, it is both a buy and a sell.