Palace Capital Share Discussion Threads

[makinbuks] 25/4/2024 17:45

I would suggest you need to do some research and take a view on that, but the range you are looking at is £2.50 to £3 I would suggest, assuming current macro conditions hold. Lots of discussion and opinion on this subject on this board if you look back over the last couple of years

[baner] 25/4/2024 17:43

in the tender i would guess 250-260p. this is likely to enhance the NAV for the remaining shares - maybe towards the 300p. all subject to general market conditions of course.

[saj3] 25/4/2024 10:43

What is the likely buyout price for shareholders

[makinbuks] 25/4/2024 10:01

saj3, yes announced quite some time ago. They have been selling properties and paying down debt and downsizing their operation accordingly

[pdosullivan] 23/4/2024 23:48

The tender offer will provide the impatient with an off-ramp while also providing NAV per share accretion to those who are happy to wait for a higher return

[saj3] 23/4/2024 21:07

Is this company going to get wrapped up? I have recently bought in as a dividend income.

[elsa7878] 23/4/2024 15:36

The 2 Vue cinema sites account for approx £30 million of the remaining NAV but they've just had a 2nd bail-out in 18 months so how attractive are those sites?
Presumably the more attractive sites have gone first and therefore we should expect larger discounts to the September 2023 valuation as more sales progress. Recent ones were at a 3.7% discount (ex-York flats).
Say a 6% discount across the remaining sites.
In the interim the income pays the company costs.
So 275p total return from here?
If you buy now at 235p then you might get about a 15% return (including dividends as they simply reduce the NAV - unless it's excess income) but across what timescale and what is the downside risk?
Personally I think it's priced about right...can buy 50,000 shares no problem.

[makinbuks] 23/4/2024 10:28

Not sure why a tender offer has been chosen when a full wind up has been announced. Why not the classic issue of Redeemable B shares and distribute whatever cash they sensibly have available. Or indeed more buy backs. Surprised to see it slip back to 230p. OK it might take a while but I still thing we'll end up with £3 here (including dividends)

[2wild] 20/4/2024 13:07

My guess 25% of shares at 260p. At this price or more will take up in full and buy back in market at some point later. Probably following more property sales.

[baner] 18/4/2024 12:30

there are some high-yielding leisure assets remaining, yielding 10%++. they may take some time to go, however as they generate strong cash flow it is not a serious problem. as soon as interest rates start to decline this type of asset will get better attention.

[solarno lopez] 18/4/2024 10:31

Thanks Baner

[nickrl] 18/4/2024 09:17

Good that sales are close to underlying valuations so presumably the tender buyback will c20m. Not that familiar with portfolio to know whether this is the family silver thats been disposed of and whats left will be gettin g progressively harder to get away at valuation?

Hudson Qtr dragging on though and at this rate they will be last assets to go!!

[baner] 18/4/2024 09:00

Solarno - good thinking. Depends on at what price the tender will be. If at NAV, accept. If at 200p - do not accept.

[baner] 18/4/2024 08:58

First of all - cred to the Chairman who is really delivering here! i guess NAV is around 280p and the cash flow is very sound, offering scope for a good divi while waiting for further disposals. Excellent risk/reward. You will probably get a 20% IRR holding out for the final liquidation.

[solarno lopez] 18/4/2024 08:56

Or do we retain our shares instead of accepting the tender offer ?

[deanowls] 18/4/2024 08:50

So what’s everyone thinking on the value that is left here once the cash is returned. Are the remaining assets the cherry on top and worth sticking around for?

[lennonsalive] 20/2/2024 11:05

RGB awful company, stay well clear

[clive7878] 19/2/2024 14:36

I remember one of his legal stocks -was it RGB which was around 27p - took a turn for a worse - after a promising write up.
But very thin trading on PCA today considering the so, say potential - and we are looking at a 7% quarterly payable yield too.
Not into many stock of late only Just - a bit rocky of late - and AA4 - a stunning yield.
I do wonder whether BT has bottomed out at 1.065p - again with a 7% yield.

Simon Thompson's good tip the weekend - down 3p today - Tuesday 20th Feb.

[spectoacc] 19/2/2024 14:03

I think ST's had enough misses this past year for his tip updates to not find much traction. His Tips of the Year still do pretty well, eg TENT, but even those aren't what they were.

PCA was one of 3 or 4 from him in the recent issue, from memory.

[clive7878] 19/2/2024 14:00

Surprised that there has not been too much take off in PCA since the tip.

[spectoacc] 19/2/2024 11:09

ST covered it (again), with the usual bluster and ramping.

There's a clear route to a decent return in PCA IMO. The problem is how much other cheap stuff there is around.

[clive7878] 19/2/2024 09:52

Tipped in IC - sounds good - Surprised that there are no recent comments here.

[elsa7878] 12/2/2024 10:04

So looking through the website of their portfolio, they have sold or are selling everything bar their office portfolio which makes up 50% of the asset value. I suppose that should not be surprise but certainly makes the investment case a lot less attractive.

[elsa7878] 07/2/2024 09:03

Immaterial in relation to the value of the commercial assets. In terms of a likely return from here the question is, as the most attractive assets have been sold, does that mean future sales will be at an increasing discount to book value. With Capex and admin and listing costs assuming it takes a couple of years to sell the lot, what will be left?
260p?