Member Info for wealthtrasfer

I bought in harder and higher than I should have with the benefit of hindsight. I bought as I believed the business had turned the corner early last year but I hadn’t figured on the macro economics or that the market would disagree. However nothing has changed in my view other than external factors beyond the companies control, which is why I’m sure the II’s are just sitting pretty relaxed waiting for things to return to normal as I am. The big influence is from Pis who look and see a net loss making business and aren’t seeing the underlying profits, cash flows and opportunities. Unless there’s a bid (which I still think will come) the restate will be when headline numbers show great profits, which will be by march 24. But I’m here for March 2025-26 for the real uplift.

KG, that pretty much sums things up.

Not showing here yet but Tellworth Investments LLP reduced to 0.51%

I think the ones on that site are public funds and don’t include private equity institutions such as JPM and the like.

LG - this covers the public institutions and funds basic info (need subscription for more detail but provides a lot of useful free info) https://fintel.io/so/gb/nex

I was looking around the institutional holdings to gauge the likely price they may be interested in selling at if an approach to takeover was made. They are less underwater than I thought, with an average of only around -15%. The biggest holder of c. 11 million shares is -15%.

QD, thats not strictly accurate. The Directors get their bonus based on various financial and technical targets, they will still get them if they meet those but will take a discount on the bonuses if the share price isn't over £1.85, which is around 30%. I agree that this is a significant discount though and will focus them on getting over £1.85.

I just sent mine back. Nothing untoward that I could see after reading through it all. They seem very competent.

LG - I agree, there is a reason they are not buying but it could be a technicality or it could be M&A interest. Obviously the latter is what we are all hoping for but if not then happy to wait.

In all seriousness though, the reason I don't think anyone is jumping on it is that 'traders' have a short term view and most people are trading and want to be in and out quickly (which is a reasonable approach in such bumpy markets) but the investors (including anyone looking at M&A) are looking at Excellent management, strong cash flows, growth opportunities and returns. Headline numbers are being obscured for short term trading due to impairment risks so a lot of people aren't spending the time to see the longer terms potential or do see it but don't want to get tied up for that long. This is a great 3 year investment in my view but more difficult to judge for short term capital gains.

Its probably because a quick read is a good 2 hours :)

A quick trawl through the annual report, highlighted a few interesting things above re-stating the Year End Accounts:
1. A statement of Change in risk in the year [due to]• An active M&A environment creating change and new dynamics.
2. Exec Director Bonus schemes (100% target) linked to financial targets inc. 26p EPS and ROCE of 12.5% in 2025. Share price to be above 185p or a deduction applies.
3. Exec Directors (inc new CFO) MUST acquire 200% of base salary [c.. £900k of shares] over the vesting period, next 4.5 years. So I assume he'll be keen to get started at this price, which again brings us to why he isn't?
4. Financial and funding risks are some of the lowest identifiable risks (highest being geopolitical and tech)
5. Very positive forward looking statement from Chair (although I guess this is expected generally)

QD, I take your point and a lot of PI's probably would, however the share ownership that would allow a takeover to happen might not be so keen as they will likely have much higher averages and much a much longer time span in mind. But any interest would be helpful either way so I hope someone tries at least, as they should, as it's woefully under valued at present.

Very much depends on your ave price of your holding :/

I think its increasing from 4.7% over the 5% line

Looks like it. 5% will make people take note

Bus strikes which have crippled the West Midlands transport network this week must be bought to an end, angry West Midlands Mayor Andy Street has insisted, as he urged both sides to do a deal and end the "misery" for the travelling public. The Mayor insisted National Express (NX) had made a "very good" pay offer of 14.3 per cent, suggesting it should be accepted by drivers to end the strikes.

Poker, I agree it’s not ideal with debt perception weighing on the company but this will pass. What I was alluding to was the 5p divi didn’t do much to restore any confidence in the share price, whereas a Share Buy Back would have a dual effect of making life much more difficult for anyone shorting, makes a big statement on value and is the gift that keeps giving for future years dividends. But now is probably not the right time, agreed.

Im not sure many on here are here for the Divi, not at these levels, funds might be. Id rather see them cancel the Divi and put it into a Share BuyBack. That would set the Cat amongst the Pigeons and create a lot more than 5p of value for shareholders.

A modest Share BuyBack would do more to serve the confidence and share price than anything else right now and there is the headroom to do one.