Porta Communications Share Discussion Threads

[jefftwo] 16/3/2016 08:33

Wouldn't have a problem if it was 20p because I can see this figure being achieved very quickly.They need to take the company to where it hasn't been in recent years. Are they prepared to for go some salary if they don't hit certain levels within a timeframe? Surely this has to work both ways?

[kimboy2] 16/3/2016 08:17

If the share price gets back to where it was 2 years ago then they get 15% of the company beyond that, plus their salaries in the mean time of course.

[markie7] 16/3/2016 08:17

Double back to the placing price, yes...

[jefftwo] 16/3/2016 08:07

Doesn't the share price have to double before there is an impact or am I mis-reading?

[kimboy2] 16/3/2016 07:49

The non-executive directors have consulted with the Company's nominated adviser, Allenby Capital Limited, and concluded that the proposed awards are fair and reasonable insofar as the interests of the shareholders are concerned.

No wonder they retained them.

[pelliot] 16/3/2016 07:28

Am I misreading this announcement? If the share price exceeds the last placing price, shareholders give David Wright and team millions of £ worth of shares. That is taking the p1ss!! That is on top of a £250k basic salary. Pure theft!

[markie7] 15/3/2016 18:33

Slow week? There hasn't been an RNS since March 11!!! That's a whole two business days without an announcement! And you also talk about being patient???

[guildedge] 15/3/2016 18:20

Old news Kimboy. This was reported on Gorkana on 07/03/2016.

hxxp://www.gorkana.com/2016/03/newgate-supports-1-2bn-samsonite-deal/

Rather slow week for Porta news wise. An RNS for acquisitions can't be far off. Thinking early April. They tend to do 1 RNS or so a month. They also just had CAG broker note too. Also Easter is end of month so makes March less likely now. They may suprise us.

[kimboy2] 14/3/2016 22:48

Newgate Communications is advising client Samsonite International on its $1.8 bIllion acquisition of Tumi Holidings. Newgate is managing the European media with a team led by Jonathan Clare, Clotilde Gros and Madeleine Palmstierna.

[guildedge] 13/3/2016 03:56

Not firms that I have been following QS. I will from now though. They both are making profits which is key.

I do believe Porta will almost turn profitable in 2016. They have been adjusting the business in last 1-2 years to make it stronger. Porta is a 3-4 yr start up that has grown strongly. Revenues this year expected to be 35M according to CAG. With 41M next year. Probably higher with acquired firms.

The revenue would probably already be 50M+ if they had not closed down TTVM and other under performing offices. I think as debt is reduced, growth comes and margins improve profits will come here. I hope the new acquisitions mentioned in TU will bring further cost savings, more integration and enhance Porta's value. I see this firm quickly growing from 36M turnover to 50M+ turnover as the business develops. Sure it's not been the easy ride we all expected in last 2-3 years.

It's unclear who CAG were comparing Porta to when it talked about market peers.
Perhaps they have rated Porta higher due to growth?? Only 2-3 years back it was at 16-17p based on much lower revenue and much worse financial figures.

The question is what will Porta be worth once it is more established? I am sure the BOD will continue the acquisition trail into 2017/2018 and beyond. If this goes well then that could be very good news here. Also if they can bring all these client bases together and cross sell the services globally then Porta suddenly becomes a major player here. Will it happen?? I think they are gradually getting there. The new faces being brought in should help as DW and others retire in due course.

See what happens.

[markie7] 12/3/2016 12:53

I'm pretty sure those two are on lower multiples than ptcm as well as being less geared, more established etc

[qs99] 12/3/2016 11:29

but what is the investment case on "value" for PTCM please Guildedge? when compared to the likes of TMMG, CLL etc (both of whom I hold) who are growing, keep on delivering and are relatively (IMO/DYOR) lowly rated, at least compared to PTCM....happy to be convinced as I have been in and out of this share a number of times over the last few years...

[guildedge] 11/3/2016 18:04

Lots of Brexit stuff on Porta's Twitter account. I assume they have obtained some account for this. Pretty sure it's no coincidence. Then again they do a lot of political stuff.

Friday is never a big announcement day for news. Both RNS's were just ticking boxes to fit in with rules. Least it clears up the situation about having a nomad.

No further update on Porta's investor page either. Next step in my view would be to remove HH if they fall below 3%. See what happens in next few months.

[markie7] 11/3/2016 17:33

Same bloke running the account. I liked the comment about being loyal to advisors two months after an RNS switching auditors!

[guildedge] 11/3/2016 16:55

Looks like Allenby confirmed as new advisor by RNS and by the CAG report.

Plus news of Morton business affairs not going so well. My impression is 1-2M for him is small beer.

[guildedge] 09/3/2016 17:31

One possibility is the new COO could already be buying stock? I guess when he joins he would have to announce what stock he has? Not sure if this would break any rules?? I doubt he would be passed information while working for a rival.

[guildedge] 09/3/2016 17:29

The 16M market cap should be ignored. It's clear this is based on an oversold share due to HH?? selling out. Today it is showing 17.79M. The true value of the company should be at least 24-25m based on the 9.3p value.

I still think we have 2 II trading shares here on a day to week basis. I expect the seller to return tomorrow. Were todays trades due to that CAG report or planned?? Still not had an RNS either way.

As for clean ebidta. That we will have to see. I would predict Ebidta for 2016 to be much higher and cleaner. It's unclear what data CAG had for 2016 figures. I assume they have not been given any data for the first 2-3 months of 2016?

Be interesting to see how 2016 pans out. The Samsonite deal could be good money for Porta. 200k+ Big deal to go through! Not seen many Newgate acquisition PR reports in last few years.

[karm] 09/3/2016 10:40

Looks like we're getting some large trades going through...something leaked.

[markie7] 09/3/2016 07:56

Indeed. A useful note to help people work out what this is worth. eV / ebitda ratios for the rest of the peer group are available somewhere. Creston for example ev of about 80m, editda of around 12m implies a ratio of about 6.5-7. Dyor

[qs99] 09/3/2016 07:11

thanks Guildedge

so Market cap c.£16m, debt c.£7.4m (excluding earn-outs which lets assume are offset by cash) so c.£23m of EV and £2.57m of EBITDA you mention above. so 9 X multiple....not sure what the forward looking figure is but that IMO is how one should look at this. Talk of high growth is interesting to say the least IMO until they produce high growth clean EBITDA! Good luck and DYOR

[guildedge] 09/3/2016 02:34

Overall this report suggests Porta value at 9.3p compared to it's market peers. Revenue this year at 35.5M. EBITDA of 2.57M. With revenue growing to 42.1M for 2016. Adj PBT 1.1M 2015. (
Of course the PBT figure will exclude all the one offs.) 2.34M for 2016. Net cash /debt falling from (5.25M) this year to (3.98M) next year.

Broker is noted as Alanby Capital. Why Alanby Capital have released no such document is a bit strange.

Short term this share will struggle with the II still selling. There was no market reaction to this report release.

Yes to some degree you question CAP figures. As a firm their integrity would be shot if they started to make up figures to Promote a firm that owns 33% of it. Least they are trying to promote Porta. This is why they were hired. Also consider that Porta would not invest in this firm unless it was confident of their abilities.

[qs99] 08/3/2016 20:52

can't be harassed to login/join up to CA, anyone already got an a/c and would care to share pretty please? Ta

[jefftwo] 08/3/2016 19:56

I have been quite cynical about this stock recently.it is easily done when your a substantial holder and the stock plummets whilst the senior management take hefty pay rises.However I have just seen the capital Access research note which has certainly made me eat my words.However I would like to see regular updates from the company

[guildedge] 08/3/2016 19:24

Looks like Capital Access Group have released an initiation coverage of Porta. Not been able to view it yet. Have a look at Porta's Twitter account.