Braemar Share Discussion Threads

[cwa1] 28/1/2015 07:45

Duplicate post

[cwa1] 28/1/2015 07:45

Morning All

Nice gain on sale:-

Strategic sale of Head Office

Braemar Shipping Services plc, ("Braemar" or the "Group"), an international provider of shipping, marine and energy services, announces that on 27 January 2015 it exchanged contracts for the sale of its leasehold interest in its Marylebone corporate headquarters to Greenhouse Sports Ltd for a net consideration of £9.5m before tax. The leasehold had a net book value of £4.0m, leading to an exceptional gain of £5.5m. The transaction is expected to complete on 26 February 2015. The consideration will be used to reduce Group indebtedness and will provide the Group with greater financial flexibility.

The sale follows the successful merger of Braemar with ACM Shipping Group Plc ("ACM") in 2014. The combined enlarged group is moving, as previously announced, to a new head office at One Strand, Trafalgar Square, London on 2 February 2015.

James Kidwell, Chief Executive of Braemar Shipping Services, said:

"The church at 35 Cosway Street has been a distinctive part of Braemar's identity for nearly 20 years. However, since our merger with ACM last year, the building no longer has the space to meet the company's needs.

"This move represents the beginning of an exciting phase for Braemar. Our new Central London headquarters will give us the room to bring our expanded London shipbroking teams together."

[philo124] 15/1/2015 18:53

Good bounce.

[cwa1] 15/1/2015 12:12

Ah, OK, understood :-)

[deadly] 15/1/2015 12:10

Good TS today:

As anticipated our Shipbroking division's performance has improved significantly compared with the first half, reflecting the inclusion of ACM and the cost reduction actions taken as we have successfully continued to integrate the businesses. The merging of the two broking teams continues in line with our plans and we are encouraged by the progress of the enlarged division. While the oil price has continued to weaken, the freight rates, which drive our revenue stream, have risen in a number of sectors including VLCCs (Very Large Crude Carriers). The weaker oil price has led to an increased demand for oil tankers, improving shipbroking rates and our revenue in that sector.

[speedsgh] 15/1/2015 11:20

Hi CWA - I merely prefer the other thread as it has charts in the header. Nothing personal ;o)

[cwa1] 15/1/2015 09:50

Edison have a note(fairly upbeat IMHO) out on BMS this morning:-



Not a direct link, need to click on the BMS report link from front page.

Thanks for that thread reminder link speedsgh, have favourited it, though not sure if we need two threads for the normally very quiet BMS!

[speedsgh] 15/1/2015 08:56

Guys - there's a more up-to-date thread with charts over here...



It's quiet (always a good sign) but you are welcome to join us merry few :o)

[cwa1] 15/1/2015 07:49

Hmmmm, the TS actually sounds reasonably OK on the face of it. What am I missing?

Interim Management Statement

Braemar Shipping Services plc, ("Braemar" or the "Group"), an international provider of shipping, marine and energy services, today issues its interim management statement in relation to the period since the announcement of the interim results on 29 October 2014 to 14 January 2015.

As anticipated our Shipbroking division's performance has improved significantly compared with the first half, reflecting the inclusion of ACM and the cost reduction actions taken as we have successfully continued to integrate the businesses. The merging of the two broking teams continues in line with our plans and we are encouraged by the progress of the enlarged division. While the oil price has continued to weaken, the freight rates, which drive our revenue stream, have risen in a number of sectors including VLCCs (Very Large Crude Carriers). The weaker oil price has led to an increased demand for oil tankers, improving shipbroking rates and our revenue in that sector.

The Logistics and Technical divisions have performed in line with management's expectations with continued improvement in the freight forwarding side of Logistics and a strong performance from Braemar Engineering.

The full year outlook and the Board's profit expectations for the Group remain unchanged, in what has been a year of significant transition and growth.

[philo124] 09/1/2015 16:20

No. Worth a look now, thanks.

[neilyb675] 09/1/2015 14:41

PHILO124
20 May'05 - 14:01 - 81 of 88 0 0


I have bought this & CKN today; both undervalued.
Philo
___________________________________________________________

are you still holding BMS Mr Philo124 ???

[grahamburn] 12/12/2014 13:20

Fair comment, though see BMS still represents 2.1% of their total holdings and the sentence you started ends with "......as we continued our policy of reducing our exposure to relatively large illiquid weightings" which also makes some sense.

O/T Pleased to see that SDV recycled some of the realised funds into T Clarke which undoubtedly (IMO) has considerable recovery potential after the falls earlier in the year.

[speedsgh] 12/12/2014 11:22

From SDV interim results today...



"We reduced our holding in Braemar Shipping Services after the takeover of ACM..."

[speedsgh] 10/12/2014 13:38

Chart not looking great at the mo although yield starting to get tempting again at these levels so long as it can be maintained. Long term support c380p.

[rimmy2000] 26/11/2014 15:54

"BRAEMAR SHIPPING SERVICES
Westhouse Securities reiterated its “buy” rating following confirmation of the financial details of Clarkson’s proposed acquisition of RS Platou. The broker said it viewed consolidation in the shipbroking market as positive, due to “the removal of competition and the potential to pick up decent people”."

[robcoo] 16/10/2014 07:39

grahamburn. Thanks for the reply. Yes, I was referring to the price movements

[grahamburn] 14/10/2014 18:06

In what connection? If you're querying price swings, this share often sees dramatic price movements up or down in a single day, though the rise this afternoon may have been the result of the two 10,000 buys (presumably) around 3.00pm.

However, in reality, the next significant event is results on 29 October when there may be some indication of how the merger earlier in the year has bedded down.

[robcoo] 14/10/2014 16:20

Has anyone any idea what is happening here?

[trytotakeiteasy] 12/8/2014 14:06

rivaldo - the merger would have meant that no brokers can put out forecasts.. especially the house broker which I think was the only one doing updates...

Valuation - certainly lower than Clarkson.... but not as diversified.... whether the current P/E is good or not depends where we are in the cycle and the scope for the newly merged company to do well....

All I am worried about is that they can maintain their dividend (26p a year) until the business starts to pickup meaningfully

[trytotakeiteasy] 12/8/2014 14:05

rivaldo - the merger would have meant that no brokers can put out forecasts.. especially the house broker which I think was the only one doing updates...

Valuation - certainly lower than Clarkson.... but not as diversified.... whether the current P/E is good or not depends where we are in the cycle and the scope for the newly merged company to do well....

All I am worried about is that they can maintain their dividend (26p a year) until the business starts to pickup meaningfully

[rivaldo] 12/8/2014 09:28

Further to my post above, I note that Westhouse now have new forecasts out.

They show 33p EPS for 2015 and 34.9p EPS for 2016.

P/E's of 15 and 14 going forward two years don't strike me as very good value, and certainly don't leave much upside.

The share price will be supported by the forecast 26p dividends each year, but I won't be buying back in for some time unless the share price falls by a reasonable amount.

[rivaldo] 29/7/2014 14:12

I used to be a holder here and did well out of it, and BMS remains on my watchlist, but do people have any opinions on whether the merger is a good thing or not? The markets don't exactly seem to have welcomed it with open arms.

I also came across this dated 18th July which doesn't seem to bode too well:



"Braemar box guru leaves to join rival

James Buck, one of Braemar Seascope's senior brokers, heads for the exit to take up a new post at Maersk Broker.

Questions are being asked of shipbroker Braemar Seascope's container desk following the departure of its departmental chief to a rival.

The desk has been dealt another blow with head of containers James Buck leaving to join Maersk Broker. Buck is quitting after 10 years with Braemar, including the past four years as director and head of its Singapore-based container desk.

His exit follows hot on the heels of its most senior boxship broker, Nick Hubbard, who quit in February after 18 months running the London side of its container desk.

Braemar still has a number of younger brokers covering container shipping but their efforts to build momentum have been hampered by low charter rates and a lack of a core container business to fall back on, say observers.

Boxship charter rates remain perpetually low at only $6,474 per day for a 12-month hire of a 1,100-teu vessel through to $8,999 per day for a panamax of 4,250 teu, according to the German-run New Contex index.

Intermediary sizes of 1,700 teu through to 3,500 teu are rewarded with rates of between $7,641 per day and $7,724 per day for the same period.

Braemar's container desk has faced a battle to retain market share since May 2010 when several key brokers left to join rival Clarksons or to form their own sale-and-purchase (S&P) shop Kontiki.

A replacement for Buck has yet to be named.

One observer questions whether the desk would remain open given that two senior brokers seen as key to the financial standing of Braemar's container desk have moved on.

Braemar's proposed merger with ACM Shipping is deemed unlikely to strengthen the desk as the latter has no presence in the container market.

Other developments, including a vessel sharing agreement between Maersk Line and MSC (see also pages 10 and 20), are unlikely to lift the charter market since it does not impact on the supply-and-demand situation, say brokers."

[danieldruff2] 25/7/2014 15:46

With the two companies joined, does anyone see this going on to do a Clarkson, zoom off into the distance whilst annoying foreigners (Russians in the case of CKN)

[cwa1] 25/7/2014 15:22

Joined the club here at 500p yesterday in the hope of medium term performance. I see that the ACMS merger has just been announced as being effective, hopefully that will bring something to the party.