About

Maybe this will help (sent today)but dont hold your breath. Interested that Laxey are in. For what it is worth I am v likely to pull the trigger on this in next few weeks and buy.


"Dear Dr Reiser

Many folks in the UK are following HRCO with interest. There is the expected mix of hopeful “this is a bargain” (myself incl) and “this is a basket case” comments from people who probably don’t have the cajonas to actually be short! I am not an accountant and would like some assistance in interpreting the nature of the company before making an investment. I am hoping you could comment upon the following. The company is entitled to income from preference shares in Burke 1-4. Has HRCO actually received any payments, or are they simply lodges on the P&L as income for the purposes of the report? If the latter, then when are the payments due, what is the likelyhodd of the payment and what entities rank above HRCO for payment, and by what amounts? What is the level of gearing of the Burke companies themselves and where can one gain access to their accounts? Similar AIM listed companies have embarked, for better or worse, on share purchases by directors (personally) or management companies. Do you have any comment why this is not the case with HRCO? At what level did Laxey buy in, and have they made any communication with management about the running of the compnay? (As a Laxey Terra Catalyst shareholder I will ask them too!)

Many thanks

Peter"


The state of the property (and I accept Alemans comments, but indirectly this is our expose) can be assed by looking at NBPC. They invest in Indian property trusts, which are at a d/c of approx 50% to NAV. So the Indian market expects a drop of 50% assuming they are not overly pessimistic/optimistic. This co. is only on a "small" d/c to NAV itself, explained by the nature of its investments. v. sim, in fact to TRYS, which is a trust with brilliant long term record, invested in good european property companies.

Still, DCI looks the safest bet to me

Good luck all