||EPS - Basic
||Market Cap (m)
600 Group Share Discussion Threads
Showing 1676 to 1699 of 1700 messages
|and again.....recent entrants at lows being rewarded|
|ticking up again|
|Hi Simon, The bid would certainly have to be over 20p. A lot of convertibles at that price.
Blockage? I think the management think the shares are worth significantly more than 20p, despite the debt. There were protracted negotitations a few years ago with a Chinese company for a buy out at around 30p. (I got out during the negotitations which didn't seem to be going anywhere. I've recently bought back in.)|
|Pension liability I think plus prefs from memory.|
|Hi riddlerone, yes, I mean PPIX! Sorry.|
My bet is that DCI will bid for SIXH and over at least 20p. But there is clearly some blockage within SIXH to stop a bid being tabled right now. Does anybody here know what this blockage is?
|Hi CJohn,I assume you mean PPIX not TYKMA
" In August 2014, the company acquired 26.3% of the issued share capital of ProPhotonix Limited ("ProPhotonix"), a manufacturer and distributor of LED and laser diode arrays for industrial, medical and security applications. ProPhotonix is an AIM listed company registered in Delaware, USA and accordingly is not subject to the Takeover Code. Shareholders may be aware that ProPhotonix has subsequently announced the adoption of a rights agreement designed to discourage the purchase of further shares in the company without the approval of its board of directors."|
|Yes, Varies you're right, it's not clear that there are very close synergies between machine tools and laser marking. ((Having said that the sorts of capital goods company that need machine tools often need laser marking too.)) One or the other could be sold off to eliminate debt. However, the rump company would be very small-scale and central costs would weigh heavily. A sale of the machine tools business would have to be followed by an acquistion in laser marking. TYKMA management, as you're probably aware, have taken pre-emptive action agaisnt a SIXH takeover.
The machine tools business is back into the blue, but always requires a heavy load of working capital. One of the main aims of the restructuring has been to simplify supply chains and hence reduce inventory. This should allow cash to be released and debt to be brought down.|
|Could it be that TYKMA and PPIX are the prize,would certainly make sense looking at the strong sales performance of both.|
I am glad to hear that you take a positive view and hope this share comes right soon at last.
I had a modest holding for years bought at over 50p but, like you, have bought a fair number at or below 10p recently. I have added more this week at about 12.80p.
I also have shares in PPIX.
The machine tool distribution business never seems to make much money. Perhaps the new management (if there is one) might sell this off and concentrate on laser marking. If so, PPIX would fit in better.|
The main problem with SIXH is that they have built up high debt levels during re-structuring that has continued for several years (with at least two false starts.) It looks to me like they should be able to bring the debt down in the next half with a reduction in working capital and likely profitability. They could also sell off their stake in PPIX at some point, though PPIX shares are still undervalued in my view.
The reason I've bought (back) in heavily below 10p is that a close reading of the balance sheet and recent results suggests that they have actually added real equity over the last year and a half. This is in spite of restructuring costs and quite unfavourable market conditions.
There is obvious potential in view of the improved performance of particularly the laser división and hopeful signs in the machine tools división as well.
Disruptive's participation merely supports the above.|
|Looks like we are not alone
Yes I think they have lots of options and by the looks of it deep pockets.|
The same thought occurs to me and it will be very interesting to learn what Disruptive's plans for SIXH are.
We can at least now deal in the shares after Friday's virtual suspension and I have bought a few more at 12.7p.
Curiously enough I spent an hour on Friday morning trying to convince myself that the shares were worth buying at 10.25p and deciding that they were not ! Luckily I had bought a fair number at about 10p in the week before.
The arrival of Disruptive does change the picture. This share has been very sleepy with a 10% spread for some 12 months but I now see the company in a rosier light.|
|So when this all shakes out you would think that Paul Dupee who is a Managing Partner at Haddeo will resign and Disruptive Capital will then have a seat on the board giving them representation.|
|It's also worth noting that Prophotonix have recently put out a very impressive trading update.
It's surprising that both SIXH's recent acquistions (28% in the case of PPIX) have actually proved a plus.|
|The tangible net asset value _ not including the pension surplus - is about 4 million sterling from memory.
Recent results have seen an increase in tangible equity - ie a real profit - but also debt. (About a million and a half of the equity is the value of the PPIX stake.)
The debt increase in the last results can be put down to working capital timings and exchange rate effects - ie drop in sterling contra dollar leading to an increase in the sterling value of dollar-denominated debt.
Wynmnck refers to the appraoch from PTG in 2007 - which was before present management took over. There were also extensive negotiations with a Chinese company some three years ago with the current management, which didn't lead to a bid.
I've been very happy to pick up shares in single figures here. The debt is a clear risk. It's worth noting that more than half is convertible at around 20p.|
|Re the nav figure above, is there not a dilutive convertible traded on the Bahamas or Cayman Islands Exchange ?|
|Heres the one i have
Year Ending Profit (m) EPS P/E PEG EPS Grth. Div Yield
31-Mar-17 1.95 1.87 5.2 0.5 +10.84% n/a 0.0%
31-Mar-18 2.24 2.14 4.6 0.3 +14.49% n/a 0.0%|
|The interesting question is at what premium the shares were sold. Net assets are around 40p per share but that is not really helpful as much of this is the pension surplus. Taking this away, we are talking about 16p per share I think. Also as an earnings play, this one is dirt cheap. The only broker forecast I have seen (Farady or finncap?) was for £2.2m and 1.9 per share for the year soon ending so a P/E of around 6 even after the tick up this afternoon.|
|Thanks wynmck,had a look.What a disastrous decision but does show you the value that Disruptive Capital can see|
|+ there was a good.. offer from PTG as far back as 2007 which was withdrawn as (the numpties) on board wouldn't allow them to do due diligence....the share price then was around 60p|
|Nice RNS,to sell that size holding at a Premium to the share price bodes well from this level.I currently hold PPIX as well so could be significant to both|
|From Disruptive Capital's website;
"We source and manage opportunistic investments.
We exploit dislocations in markets and unlock value from complex situations using a Get Rich and Stay Rich strategy. This strategy has given rise to returns over 23 years of 28% p.a. Net IRR"|