Property Recycling Share Discussion Threads

[tole] 13/3/2006 13:13

Quiet in here.. results in a weeks time.

Property Recycling Group plc (AIM: PROP), which acquires and prepares brownfield
sites for development, will announce its preliminary results for the year ended
31 December 2005 on Tuesday, 21 March 2006.

[energyi] 01/3/2006 09:00

(from HPC):

HAVE WE JUST SEEN that "crescendo of Bullish consensus" (in Property),
which often comes RIGHT before a market slides?

Has the last gasp of blind bullishness expresses itself?

If so, it may be downhill from here

"Bullish Headlines" on Monday
@:

"Yesterday Gutted - Today Delighted!"
@:

and:

"It's a Start"
@:

RECENTLY, there was a crescendo of bullishness on Google, in early Jan.,
when the stock traded up to $480, as various analystsmoved their targets up
to $550, $600, and higher. This brought in the last bit of buying, and then...
look what happened:



A lower than expected quarterly results, and the outlooks have changed.
NOW the market has rediscovered risks in GOOG's model. All is not as rosy
in Property as it looked two days ago - there is room for sharp disappointment

[tole] 06/2/2006 07:52

Property Recycling sells site with planning permission to developer

LONDON (AFX) - Property Recycling Group PLC, which acquires and prepares brownfield sites for development, said it has sold a 14.95 hectare freehold site with planning permission for one residential building for 400,000 stg cash, following the exercise of an option on the site by a developer.
The land forms part of the company's Fornham Park property, near Bury St Edmunds, where it continues to investigate development opportunities on a further 89 hectares.

As part of the deal announced today, the company said it has loaned the developer 90 pct of the amount paid for the site, secured over the land, to be repaid upon the sale of the development or after two years, whichever is sooner.

Chairman Paul Rackham said the company has identified a number of potential acquisition sites and hopes to be able to make further announcements in the near future. [e-mail] slm COPYRIGHT Copyright AFX News Limited 2005. All rights reserved. The copying, republication or redistribution of AFX News Content,inculding by framing or similar means, is expressly prohibited without the prior written consent of AFX News. AFX News and AFX Financial News Logo are registered trademarks of AFX News Limited

[affc21] 28/1/2006 10:08

Clear break-out on the candlestick chart now:

[energyi] 27/1/2006 23:14

Lowlights in U.S. Housing Data:
"43% of First-Time Home Buyers Put No Money Down," said the USA Today headline.
A year ago in Phoenix there were 145 homes selling for $500,000 or higher; today that number is 1,341. In Boston the housing inventory is up 54% from a year ago. Existing home sales fell in December for the third month in a row.

[philjeans] 27/1/2006 12:32

Hang on tight - this has a long way to travel!

[cockneyrebel] 27/1/2006 11:56

Yep, breakout - looks like the seller is done too - bet there's some legs in this up to the results.

CR

[affc21] 26/1/2006 19:41

Looks like breakout to me using line chart,but looking at a candlestick chart its not so clear.





Comments welcome,especialy from any chartiest.

[cockneyrebel] 26/1/2006 14:46

Moved up at last, lets see it get legs now after all those buys.

CR

[cockneyrebel] 25/1/2006 14:48

yep, just over 2 weeks.

CR

[philjeans] 25/1/2006 14:02

CR - I agree. 'Wonder who is accumulating all these 60k parcels?

Still, I have no doubt they, like us, can see the potential.

Not long to see the numbers.

[cockneyrebel] 25/1/2006 11:10

buys day after day - when the sellers gone and with the illiquidity here these could really belt on the results I reckon.

CR

[energyi] 24/1/2006 09:57

The global view...

[cockneyrebel] 23/1/2006 18:45

the recent director buy was at 61p, he's not even in profit yet with the dealings, I think that buy expects more to come.

Looking forward to the results.

CR

[philjeans] 23/1/2006 15:43

Rock solid despite the fallout elsewhere - should be held with results imminent.

Chart suggests breakout coming.

Good value - racy but should prove highly profitable in due course.

I hold. DYOR.

[cambium] 19/1/2006 21:03

2 weeks to go

[tole] 19/1/2006 16:36

Yep - nice and quiet in here too, another good 20k picked up again today.
Out of interest is their any broker note floating around on this one?

A few snippets off the GCI note from Nov...

Prospects
Property Recycling demonstrated the profit producing potential of its model with its first post-float disposal. This sale, of its Saddlebow site in King's Lynn, generated a £2 million profit (incorporated into the group's maiden interim results), and all for a net outlay of only £520,000.

Its short-term goal to have at least ten projects up and running does not seem unrealistic. There is a well-documented demand for land for new housing throughout the country, particularly in the south-east and east of England, driven by social and demographic change, and an ongoing appetite for retail and commercial development in these areas.

Moreover, the Government is committed to finding a solution to the South-East's predicted housing needs. As well as John Prescott's ruminations on this issue, the University of Cambridge recently predicted that the South-East will need 31,000 new houses each year from 2001 to 2011, rising to 36,000 annually the following decade. With large areas of the country off limit due to protective designations, Rackham is convinced brownfields are the logical way of meeting Government targets and sating market demand.

Valuation
Property Recycling's profits are 'going to be lumpy and erratic', due to the way in which sites are acquired, developed and sold. So, rather than an earnings growth story, what the group is offering is a capital appreciation one, underpinned by strong asset backing and dependent on Rackham's wealth of contacts in the east of England. Special dividends are likely to be distributed to investors when brownfield deals come to fruition.

There is also an element of trading comfort, as 'all our ongoing overheads are covered by rentals on the properties' says Rackham.

The current portfolio of four main sites – there were five before the Saddlebow sale – comprises nearly 520 acres of land in eastern England with a market value of circa £12.7 million. The sites range from a former airfield close to the A143; an area of land previously used as a mushroom composting business; the former site of a sugar beet processing factory; and Fornham Park, near Bury St. Edmunds. This latter site was previously a country estate owned by the Duke of Norfolk, and PRG has sold part of it off to a local housebuilder.

Prior to its summer placing, Property Recycling was saddled with net debt of £6.4 million, but flotation eliminated this and transformed the balance sheet. At the end of the first half to June, PRG had net cash of £3.4 million. The maiden interim figures – posted in September – revealed pre-tax profits of £2.3 million on £3.89 million sales. Although the numbers were skewed by the Saddlebow sale, the figures most definitely demonstrated the lucrative returns had in this business.

Lastly, investors can take comfort from the presence of a few star rated fund managers on the shareholder roster. Peter Webb's Unicorn Asset Management has almost 15 per cent, and New Star Asset Management's well-followed fund manager Patrick Evershed is another keen backer.

[cockneyrebel] 18/1/2006 20:31

Yep, looks like someone bought 55K and the mm's went out to get 50K to fill it. Definitely a positive sign just before the results.

CR

[tole] 18/1/2006 20:08

Bit more volume here again today - action soon :)

[daviega] 11/1/2006 21:14

Rackham (Snr) was definetly the driving force behind Waste Recycling, they took big tumbles once he left. The court case appeared to be a bit of a technicality to me and that doesn't worry me. However, Rackham (Snr) is getting on a bit if he retires I'm unsure of the rest of the team does anyone know the track record of them.

[cockneyrebel] 10/1/2006 11:41

15K buy this am I see.

results in a month.

CR

[cockneyrebel] 06/1/2006 10:52

Ticking up, results in about a month.

8p eps in H1, I wonder what the PE will be with H2 results added? :-)

CR