|European Islamic Investment Bank
||EPS - Basic
||Market Cap (m)
Real-Time news about Euro. Islamic (London Stock Exchange): 0 recent articles
|shaunstar: Wexboy explained current share price reflects weighted average of expected 5p tender and share price expectation after tender. Hence 4.2p.
The potential share buy back and fact that this has finished above its 5 yr high mean i'm have doubled my stake here.|
|wexboy: not sure if i've posted on the EIIB thread b4, but after adding to my stake (this has become a top 3 portfolio stock for me now) as price drifted back to GBP 3p level, i thought i'd post my updated fair value analysis:
i) starting pt is latest GBP 143.076 mio Equity value, ii) for all negative cashflow cos (and investment cos with an expense ratio > 2.5% of NAV) i deduct 1 yr of (7.309) m estimated underlying cash burn, iii) fair value adjustment for diamondcorp, which i estimate at 1.772 m, and iv) fv adj for completed tritech sale, estimated at 7.194 m - equating to:
143.076 - 7.309 + 1.772 + 7.194 = GBP 144.733 m / 1765.659 m shares = GBP 8.2 p per share, a potential 179% upside from current share price
one cd argue that cash burn and specific investments on the b/s argue for a haircut to Book for fair valuation purposes, but i'd point to the margin of safety (Price/Book @ 0.36, and Gross LTV of 19% which cd easily be eliminated with available B/S cash/deposits) & the banking licence (people are significantly underestimating its value in terms of potential future growth and/or takeover value) as reasons to set a basic 1.0 P/B target price
i can't assess other potential fair val adjustments on the B/S, so i'll assume they average to zero - otherwise, one cn but hope that EIIB manage to reduce or eliminate cash burn with better returns/lower costs in 2011/future yrs...
finally, i'm a little bemused by the ceo/board crowing about their investing success recently...in essence, all they've managed to do is hold equity steady for past 2 years! - i guess it cd be worse!? - however, tritech sale raises an interesting prospect, perhaps one that is going unnoticed currently: the board flagged a potential dividend for 2011...
it wd have to be a final div, as tritech sale was nt completed for half-year end - this is quite an about-turn, as yr-end 2010 Retained Earnings were @ GBP 0.629 mio, leaving no real room for a dividend - obviously for year-end 2011 i'm projecting an unchanged Equity balance, but if you drill down to Retained Earnings, it shd reflect annual operating losses (which wd have precluded a dividend) plus full realized gain on tritech (remember that will be the 2010 AND 2011 tritech uplift) - overall, i reckon Retained Earnings will stand at a level that permits a maximum GBP 0.5-0.6p div
who knows if they'll actually declare a max div, but why not? - in terms of the current share discount & B/S cash capacity, it's about time the shareholders got some value enhancement, and a div's cheaper to accomplish than another tender - so a potential 18.7% dividend yield is certainly possible!
i'd make 2 pts abt this: i) nt clear if there will be any 2012 div capacity, so board may well characterize 2011 as a special dividend, and ii) obviously this div wd be a return of capital/reduction in NAV, so share price may adjust down to compensate - both fair pts, but don't underestimate (less value focused) investors' ability to salivate/obsess over current div yield and it may well draw in (more value focused) fresh investors alerted to the upside potential
so, to recap, EIIB has a strong margin of safety, a potential 179% upside to fair value, and a (potential) significant current div yield as a catalyst (edit: plus, of course, the recently built 15.6% stake by private equity house HBG, with their 2 reps recently appointed to the board)! - good luck!|
|california joe: Announcement of Approach
The board of EIIB notes the recent movement in its share price and announces
that it has received a number of preliminary approaches from third parties.
These preliminary approaches may or may not lead to an offer being made for the
Further announcements will be made in due course as and when necessary.
In accordance with Rule 2.10 of the City Code on Takeovers and Mergers (the
"Code"), EIIB confirms that, as at the close of business on 2 July 2009, it has
1,825,562,531 ordinary shares of 1 pence each ("Ordinary Shares") in issue and
has outstanding 3,116,844 options to acquire Ordinary Shares. The International
Securities Identification Number for the Ordinary Shares is GB00B126GW60.
3 July 2009
Dealing Disclosure Requirements
Under the provisions of Rule 8.3 of the Code, if any person is, or becomes
'interested' (directly or indirectly) in 1% or more of any class of 'relevant
securities' of the Company, all 'dealings' in any 'relevant securities' of that
company (including by means of an option in respect of, or a derivative
referenced to, any such 'relevant securities') must be publicly disclosed by no
later than 3.30pm (London time) on the London business day following the date of
the relevant transaction. This requirement will continue until the date on which
the offer becomes, or is declared, unconditional as to acceptances, lapses or is
otherwise withdrawn or on which the 'offer period' otherwise ends. If two or
more persons act together pursuant to an agreement or understanding, whether
formal or informal, to acquire an 'interest' in 'relevant securities' of the
Company, they will be deemed to be a single person for the purpose of Rule 8.3.
Under the provision of Rule 8.1 of the Code, all 'dealings' in 'relevant
securities' of the Company, by the Company or by any of its 'associates', must
be disclosed by no later than 12.00 noon (London time) on the London business
day following the date of the relevant transaction.
A disclosure table, giving details of the companies in whose 'relevant
securities' 'dealings' should be disclosed, and the number of such securities in
issue, can be found on the Takeover Panel's website at
'Interests in securities' arise, in summary, when a person has long economic
exposure, whether conditional or absolute, to changes in the price of
securities. In particular, a person will be treated as having an 'interest' by
virtue of the ownership or control of securities, or by virtue of any option in
respect of, or derivative referenced to securities.
Terms in quotation marks are defined in the Code, which can also be found on the
Panel's website. If you are in any doubt as to whether or not you are required
to disclose a 'dealing' under Rule 8, you should consult the Panel.
If you are in any doubt as to the application of Rule 8 to you, please contact
an independent financial advisor authorised under the Financial Services and
Markets Act 2000, consult the Panel's website at www.thetakeoverpanel.org.uk or
contact the Panel on telephone number +44 20 7638 0129; fax +44 20 7236 7013.|
|vlain: Missed the RNS yesterday.
Doesnt seem to have had an effect on the share price. I suppose it won't until more details about the products are revealed.|
|vlain: is the share price showing a upward trend now.
A bit of a cup and handle formation!!!|
|vlain: Check what happened to IBB share price mid Oct 2007....
When this went into auction earlier, I was hoping the same would happen to EIIB, but it seems to have fizzled out now....|
|contactamir: i dont know whats wrong with this bloody market, even with aexcellent sets of results share price hardy moved|
|philjeans: Hog ; you are incorrect - never held EIIB.
Watch with interest from the sidelines; prefer little CCH who are nimble and lithe. EIIB will take a good few years to justify their massive market cap. but will grow fast nonetheless.
Disasterous share price performance to date from IPO of 25p - check out the facts.|
|silent_angel: Thank You SITIAIN, I understand where you are coming from now. If shares were at least valued at cash what would the share price be?|
|ataggar: EIIB will be reporting interim results on 20 Sept. They should be profitable from day 1 unlike IBB. Question is how much and will the results move the share price in the right direction?|
European Islamic Investment Bank share price data is direct from the London Stock Exchange