Essenden Share Discussion Threads

[glennborthwick] 16/1/2014 18:12

AIM securities in issue - 21,424,740
ISDX Markets quoted, £1 principal, zero coupon, perpetual, freely transferable loan notes - 21,424,740
Substantial shareholdings
On 8th January 2014 the company had been notified of the following interests in the ordinary share capital of the company.
Number of 1p ordinary shares Percentage of 1p ordinary shares
Harwood Capital LLP 6,400,000 29.87%
Trefick Limited 4,155,428 19.40%
Schroder Investment 3,153,095 14.72%
RBC Trust Company (International) Limited
971,040 4.53%
Stockinvest Limited 690,000 3.22%
J.P Morgan Asset Management 654,750 3.06%

Directors' Interests

As at 8th January 2014

Ordinary shares of 1p each
Loan notes of £1 each
Rory Macnamara
-
-
Nick Basing
57,000
36,400
Richard Darwin
1,980
1,980
Christopher Mills *
6,400,000
8,048,040
Nicholas Oppenheim
912,184
912,184
Kailayapillai Ranjan
-
-
* The number of ordinary shares shown as held by Christopher Mills includes ordinary shares held by certain funds of which Harwood Capital LLP is the discretionary fund manager.
Shares not in public hands
14,679,687
68.5%

[battlebus2] 16/1/2014 17:45

Management won't buy these out on the cheap IMV just look who the major shareholders are!

[glennborthwick] 16/1/2014 15:48

one thing im unsure about is whats the incentive for the bond holders to sell

[drsmessguide] 16/1/2014 15:36

Major risk would be a cheap MBO if these go unrecognised, EBITDA for the year looking to be in excess of £6m or am i missing something?

[drsmessguide] 16/1/2014 15:34

Strange that 17m is indicated in liabilities. If these can be bought early for £6m using cash flow, they could be debt free in 2-3 years.

[glennborthwick] 16/1/2014 15:26

ok got some info back from company on loan notes;

20 odd million outstanding
they are perpetual
they arent convertible

[drsmessguide] 16/1/2014 15:02

My 6k purchase pushed the price up 2p:)

This looks very cheap and if it presents at Mello it will get a lot of publicity. 10m market cap, eps likely to exceed 10p based on half year results. Cash 1.4m ebitda at half year 2.9m with the christmas period still to come where ebitda increased relative to the first half according to the trading statement. The loan notes need to be dealt with but this will be throwing off cash and once 75% are purchased, sizable dividend income will follow.

[glennborthwick] 15/1/2014 16:01

It must be on target for 9-10p eps this year

[glennborthwick] 15/1/2014 16:01

thats my understanding but currently they are trading at about a third of par on isdx so 6 million would buy them out, also against property worth 22 million so now they have paid off the cva they should be generating the cash and paying it down quite quickly.

[el1te] 15/1/2014 15:53

Are the loan notes the £17m non-current financial liability?

Financial liabilities (17,763)

[davidosh] 15/1/2014 15:41

An interesting name from 'The Apprentice' fame as a director at the time of the Essenden float..

Margaret Mountford – Proposed Non-Executive Director (aged 57)
Margaret Mountford was a partner at Herbert Smith LLP, solicitors, from 1983 to 1999 during which
time she became joint head of corporate finance, advising a wide range of clients including various
listed companies. Margaret has been a non-executive director of Georgica since September 2000 and
was formerly a non-executive director of Amstrad plc.

[glennborthwick] 15/1/2014 15:30

"no dividends can be paid until 75% of the loan notes have been repaid"

[glennborthwick] 15/1/2014 15:09

ive just called investor relations. Comp secretary Richard Darwin should be emailing me brief synopsis of debt situation/loan notes etc later today.

[glennborthwick] 15/1/2014 15:04

possibly out of date;

[glennborthwick] 15/1/2014 15:01

the more i look at it the more i like it. On target for earnings of 9p against a share price of 43p.

Must get my head around the debt. Statements seem to say debt free

[el1te] 15/1/2014 14:50

battlebus - Spent a few minutes this morning, but I couldn't get my head around working out the real market cap of Essenden (accounting for the loan notes). Do you understand the ISDX any better?

[glennborthwick] 15/1/2014 14:47

this looks a great little company. DOnt hold but watching carefully

[battlebus2] 15/1/2014 10:43

There is the matter of the loan notes for 2020 ofcourse

[battlebus2] 15/1/2014 10:38

As far as i'm aware we have no net debt as we are cash positive.

[11mel] 15/1/2014 10:13

new to this stock , im interested in buying , only thing a cant find is how much debt there is ? any help anyone, thanks

[battlebus2] 15/1/2014 09:18

I will try david but not at the minute, i'm trying to avoid stress like travelling etc.

[davidosh] 15/1/2014 09:08

bb2.....You really should try to get along to one of these dinners ? It would be good to meet you as we seem to be in quite a few of the same stocks and I really think you would enjoy the events.

www.mellomeeting.co.uk