Lonrho Share Discussion Threads

[deepvalueinvestor] 28/3/2013 07:53

Looks like fastjet IPO gave then £33.5m but that £7.7m has since been written down. £15m losses from other connected companies. At least the overall loss at £3.5m was at the lower end of the January statement.

[deepvalueinvestor] 28/3/2013 07:40

Thoughts on results anyone?

[hvs] 27/3/2013 18:02

Look its going UP UP and UP.

[elmfield] 27/3/2013 18:01

Made the turn, will it continue? I hope so.

[ninja 19] 27/3/2013 14:52

dead cat bounce?

[ninja 19] 27/3/2013 14:50

wtf

looks good for 7p

[deepvalueinvestor] 26/3/2013 20:36

I need to get in on any placing then. This market is deeply irrational, with most investments far too high but the odd one like this falling irrationally too. Interesting times.

[ndege kidogo] 26/3/2013 16:43

caltonhill, there's part of the answer; Black Rock have decided not to be caught between Lonrho and a hard place and have dumped below 5%. Could still be a distress fund raising around the corner but I can't see it being an underwritten rights issue, more likely a placing with the latest bird brained Bronx hedgie to be drawn in. The collapsing share price presages dire results with possibly a distress funding thrown in.

[elmfield] 26/3/2013 14:51

Just can't make the turn,

[twixy] 26/3/2013 14:45

ndege kidogo - Thanks for taking the time with that detailed post.

Your comments are very interesting; I wonder whether the board can be dislodged that easily?

On the face of it, many of the businesses they operate are straightforward; however, the results seem to tell a different story.

I agree that they need a realist to come in and knock the business into shape; they wouldn't even need to be the best in the business!

[caltonhill] 26/3/2013 14:16

I find the recent collapse in share price odd. No Profits Warning, Institution sale or any announcement. Why has this taken place so suddenly and apparantly out of the blue?

[ndege kidogo] 26/3/2013 14:08

Ghost appearance, more like. Whilst Needham was the unacceptable face of capitulation although to be fair the collateral damage from his resignation a year ago is not yet fully known.

[clarendon] 26/3/2013 12:25

Tiny Rowland should make a guest appearance!!

[clarendon] 26/3/2013 12:25

Tiny Rowland should make a guest appearance!!

[clarendon] 26/3/2013 12:24

Difficult to get a rights issue away when the market price is about to fall to 3p!!

[clarendon] 26/3/2013 12:24

Difficult to get a rights issue away when the market price is about to fall to 3p!!

[tommyjnewton] 26/3/2013 09:34

DVI: Good post, we certainly need a shake up but I take the view that new investors like me will have an influence on the board


Hello, Deep Value Investor, I think you would need about 15-20% of Lonrho to have any influence at all on the board. They have always done as they see fit. They see the company as their own property rather like a typical African president sees 'his' country as 'his' and does what suits him. Essentially Lonrho does business the 'African way'
Also, I can't see them bothering with rights issues. They cost a lot and are probably too much organising for the board. There must be countless tiny holdings in a company such as this. In the past it has been simple dilution over the heads of the smaller holders once an easy target/ sucker is located.

[deepvalueinvestor] 25/3/2013 23:14

Good post, we certainly need a shake up but I take the view that new investors like me will have an influence on the board and will reward such changes with further funding to reorganise the business and reduce debt. I am investing for what Lonrho can be in 5 and 10 years.

[deepvalueinvestor] 25/3/2013 22:37

Elmfield, if you ignore all analysts then you are either very well informed and an expect at balance sheets or a bit daft. If you have ways to get access to research then the secret is to know who the best ones are. This is where we also rely on secondary analysts.

[elmfield] 25/3/2013 22:21

Analysts, lol!
You learnt nothing after the banks went to the wall? Many of us saw it before they did, never take a word they say as true.

[deepvalueinvestor] 25/3/2013 22:17

I have no idea as to the terms of any fundraising, if needed at all but I am prepared to steadily accumulate. I have no inside information but obviously I have read lots of historical research notes and have spoken to analysts who know a great more than me. It is clearly a falling knife but sometimes you have to take a long term view and this is what I have done.

Is there no real discussion on this board as to the merits of Lonrho?

[elmfield] 25/3/2013 20:42

Why buy today what you can buy cheaper next week?

[ndege kidogo] 25/3/2013 20:27

DVI, you're not so much deep as fathomless. You wait 10 years, call the company and 3 analysts all in one day and then invest £ 45k which you big up as not being that meaningful. When I point out that the company seems to be giving you price sensitive information you suggest that if you then broadcast that via this poxy BB that satifies the directors' listing obligations; get real. As to getting 3 analysts to talk to a private investor as you seem to purport to be, I seriously doubt that's possible these days. Analysts aren't allowed to talk to random retail investors any more.
Now you are implying that any rights issue will be a 3 for 1. Perhaps you would care to clarify the directors intentions via this BB again?