John Laing Share Discussion Threads

[dual313] 21/2/2015 08:26

Thanks mate. Think this needs something to get it going..

[jonwig] 21/2/2015 07:18

Results for year ending 31 Dec will be announced in March.

[dual313] 21/2/2015 00:03

Whens the next statement due anyone?

[skinny] 19/2/2015 15:05

Yes apologies, I only read down to the percentage and not to Type of financial
instrument - I'll remove the post.

[jonwig] 19/2/2015 15:03

Unfortunately not, Skinny.

They aren't 'proper' shares, they're a call option on over-allotment:

Number of voting
rights that may be
acquired if the
instrument is
exercised/ converted.

The mechanism is described at the beginning of the prospectus, and most public IPOs seem to do it.
We now wait 30 days (or a bit more) to see another holdings RNS.

[1corrado] 17/2/2015 08:14

Poor start but we shall see by the end of the day.

[jonwig] 16/2/2015 18:35

Weildy - prospectus p11 - see website link in header to get download.

[weildy2] 16/2/2015 17:51

Can anybody tell me what the dividend prospects are?

[1corrado] 13/2/2015 14:33

Hi,I am please with my holding that I received and bought more yesterday at 191.25.Is a great company and should do well in the future.

[ashbox] 13/2/2015 13:03

Unconditional starts 8 a.m. on 17th Feb.....

[dual313] 13/2/2015 12:47

When does unconditional trading begin

[wirralowl] 12/2/2015 17:19

Many thanks for your insight jonwig, appreciate you sharing your knowledge.

[jonwig] 12/2/2015 16:34

Wirral - the PI part was over-subscribed, but I suspect institutions balked at the price, given the volume of IPO thrust at them.

The lack of debt at group level is perhaps the most important factor for me, and why I want to concentrate more on NAV than any other metric.

If you look at the income statement (2013 AR, p49) you'll see that about half is gains on fair value of assets, and half is management fees, with very little from actual asset income.
Hence a PE ratio doesn't tell you much, as it would with a company making and selling stuff.
So the gains on assets drop through to the balance sheet, which is where I look.
And cash flow comes from sale of assets.

The main risk is if a development goes bad - debt within the SPV is non-recourse, but JLG has equity interest (which is why it makes money on sale) which, in worst case, could be written off.

[wirralowl] 12/2/2015 15:19

Thanks for those figs, jonwig, very useful to have to hand. Not too fussed about share price in the short term. Think the issue price was quite reasonable in relation to the NAV (think it'll probably work out quite reasonable on a PE basis too). With negligible levels of debt and NAV forecast to continue growing, I'd be surprised if the share price didn't follow over the longer term.

[jonwig] 12/2/2015 12:28

These are pro forma NAV values for JLG, adding £126m for the capital raise:

Sep 2014 £756m = 206p/sh
Dec 2013 £654m
Dec 2012 £554m
Dec 2011 £517m

They add; "The Directors believe the Group’s Adjusted NAV as at 31 December 2014 has increased since 30 September 2014. In addition, the Directors believe
JLCM’s External AUM have increased in line with continued portfolio
acquisitions by JLIF, which the Group expects will contribute to increased
asset management fees. [Prospectus p. 15, pdf]

I think NAV is an easy and reliable way to assess this, though not the only metric, of course!

Results for year ending 31 Dec will be announced in March.

[wirralowl] 12/2/2015 09:31

Thanks for setting up the thread, jonwig.

Pleased its at the bottom end of the scale too, not sure on the amount of shares issued, but previous guidance would suggest a Mkt Cap at launch of around £715m.

[eaaxs06] 12/2/2015 08:43

Looks like another damp squib of an IPO.

I guess the stabilisation manager will be busy, earning his money.

[jonwig] 12/2/2015 07:38

Relieved it's at lower end of range, though oversubscribed in PI allocation.

A possible problem contract needs watching: the pair of Manchester Waste Projects. Delays here have caused Costain some grief and led to the bankruptcy of AIM-listed TEG Group last year. JLG has an equity stake in them worth about 10% of its NAV and there are cross-covenants between the pair.
JLG apparently applies a higher discount rate to these projects, but is that enough?

[jonwig] 12/2/2015 07:38

. .


.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
.
IPO 12 Feb 2015.
Issue of 137,125,623 Shares at 195p, raising £130m gross.
At issue, total of 366,923,076 Shares giving MCap of £715.5m.
Intial dividend should be around 5p (one-third in Oct, two-thirds in following May).
.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

25/03/15 ... FY Results
27/08/15 ... H1 Results
08/03/16 ... FY Results
25/08/16 ... H1 Results
07/03/17 ... FY results
.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Substantial shareholders (07/03/19):

BlackRock ........................ 24,545,091 ... 5.0%
IMI Common Inv'stment Fund ....... 25,268,024 ... 6.9%
Schroders ........................ 21,028,087 ... 5.7%
F I L Ltd ........................ 18,942,422 ... 5.2%
Standard Life Gp ................. 18,787,312 ... 5.1%
Hambro Cap Mgt ................... 18,613,729 ... 5.1%
Universities Superann. Sch. ...... 14,270,320 ... 3.9%
BUPA Pens'on Sch'me .............. 15,217,619 ... 4.2%
.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
.

Recent broker targets (sp, tp):

26/08/16 ... HSBC ........... Buy ... 250 .... 315 upgrade
12/12/16 ... Barclays Cap'tal Overwt. 330 .... 330 upgrade
05/01/17 ... Peel Hunt .......Buy ... 344 .... 344 reiterates
09/02/17 ... Berenberg ...... Buy ... 330 .... 330 reiterates
10/03/17 ... Peel Hunt ...... Buy ... 344 .... 349 upgrade
14/03/17 ... Berenberg ...... Buy ... 330 .... 340 upgrade
21/03/17 ... Peel Hunt ...... Buy ... 349 .... 384 upgrade
.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

[mryesyes] 28/10/2004 17:33

You were unlucky this looked perfectly fine to me when I considered it in 2000
Only thought it was a bit bland & would stagnate & saw the products in Tesco not moving

[wwalbers] 22/2/2004 19:26

Spoke with liquidator last week. No monies for shareholders at all. Not writeable off yet against any CGT (God I wish) but suggests can do so in next tax year.

[wwalbers] 19/1/2004 15:03

Thanks for this info guys, really helpful. At some future point when work commitments allow I will phone them, and then will up date the thread.

John