1pm Share Discussion Threads

[zcaprd7] 14/7/2017 11:27

Good write up in the IC today...

[darola] 14/7/2017 08:22

15k brought this morning. Had to buy on fill or kill, so there must be limited stock. Anybody got L2?

[darola] 13/7/2017 22:16

Looking to buy in to this tomorrow. And it's because of the recent results, recent drop in price and the conditional awards. The directors are incentivised to increase the share price with [in effect] a big bonuses at various stages. The first milestone of 60p is >30% from here.... they will be hell bent on achieving that.

[thetoonarmy2] 06/7/2017 22:43

I agree directors need to buy bloody shares before they are given freebies

[shanklin] 05/7/2017 15:19

Management could have had the decency to release this RNS at the same time as the TS first thing this morning. Instead they con people in to buying shares off a reasonable TS and then take 7%+ of the company for themselves (subject to various performance conditions). All the numbers suggest the shares are very cheap but this is the sort of sharp practice I really don't want to invest in. All IMHO.

[dan_the_epic] 05/7/2017 13:35

It's riskless upside!

Buy some bloody shares instead.

Options are just a cop out

[showme01] 05/7/2017 13:24

Dan, I welcome it. Give them an incentive to drive this up

[dan_the_epic] 05/7/2017 13:21

Go away OPM directors with your greedy options package; no-one cares if its at a premium to the share price.

You want upside to your salaries? Go risk some real money and buy shares rather than dilute your shareholders away with riskless upside.

Starting to think poor corporate governance is a big factor here and very close to taking it off my watchlist

[glasshalfull] 05/7/2017 11:09

Reba - Been that way for a while. In last week I've been buying at the bid price (39-40p) when offer sitting at 42p.

Quite a few others were doing likewise.

Kind regards
GHF

[reba] 05/7/2017 10:10

Looks as though all the latest figures shown are sells, when actually they are buys.
i myself have purchased twice this morning, a total of 4208 shown as sells.

[showme01] 05/7/2017 08:09

Good recovery stock. Excellent trading update and you need to add the profits from the recent companies bought should give £6m plus profits per annum on a market cap of £36m???

[dan_the_epic] 05/7/2017 07:31

Bloody hell if companies are going to start calling a 1-1.5% revenue beat on numbers they probably carefully guided, ahead of market expectations

[owenski] 05/7/2017 07:22

Numbers look pretty decent to me -


· Revenue for the year of approximately £16.7 million, an increase of 34%

· Profit Before Tax for the year of £4.3m, an increase of 28%

· New lease and loan business originated and funded amounted to £50.8 million, up 64%

· New lease and loan business originated and 'broked-on' reached £17.7 million, up 124%

· 'Own-book' asset and loan portfolio as at 31 May 2017 stood at £77.5 million, up 17%

· Write-offs in the year continue to be less than 1% of the gross portfolio

· Prudent impairment provision of £1.2m, representing 2.0% of net portfolio outstanding

[the oak tree] 04/7/2017 09:54

You make some good points GHF and I suspect you'll be proved right. It's also safer to buy an unloved share , so even new bad news is unlikely to send it much lower compared to a hyped growth stock. I use to own this some years ago but don't now. I bought it principally on the banks then getting back to their core strengths. And this gave players like 1 pm room in the lending game. However banks are recovering and they have all been looking for growth . So for that reason I don't see this nich market 1pm are in as that secure as it was. Not for me at the moment. Good luck

[shanklin] 04/7/2017 08:17

Thank you GHF

I held a lot (for me) of OPM for several years and except for the first year, when the share price tripled, the experience was pretty frustrating. I would certainly be much more interested in re-investing if I felt management were interested in building shareholder value rather than managing it for their own benefits. Obviously the new management have been happy to undertake presentations but I feel they seriously over-stated business prospects, at least in the shorter term, and have done shareholders no favours over the last two or three years.

As you state, provided they don't do any more further discounted placings and focus a bit more on building the business they now have, you are probably in the position of having BL and hopefully will be able to SH in due course.

Best wishes, Martin

[glasshalfull] 03/7/2017 16:37

Afternoon Martin,

I'd be absolutely astonished if they were considering a further placing in the near future following the haircut they required to take in May. As I understand, the raise should have been executed at a few pence below the price of 55-56p at the time but it would appear that a few institutional investors drove a hard bargain that would have otherwise derailed it. Management clearly felt that the short term pain of dilution was a price worth paying.

In a nutshell they have acquired two decent businesses & an excellent manager. Sentiment is rock bottom hence I believe it an excellent risk/reward proposition. Others may disagree.

As my friend Paul Scott said all those years ago...BLASH!
(Buy Low And Sell High)

All the rest is background noise IMHO.

Just my tuppenceworth.

Kind regards,
GHF

[shanklin] 03/7/2017 16:12

Hi GHF

I think you make very good points.

Do we know for certain that OPM will not be conducting another placing in the near future at below the current share price? I would like to think not but management's track record and this concern have discouraged me from re-investing.

Thoughts welcome

Best Regards, Martin

[glasshalfull] 03/7/2017 15:26

OPM

Alongside many investors / posters on this thread, I don't think the management team have covered themselves in glory by accepting the low-ball price of 45p to conduct the recent placing. 25% dilution was a bitter pill to swallow.

I sold out for a small loss when the shares marginally recovered at the end of May but despite the disappointment found myself reconsidering the investment case in recent weeks as the share price continued its downward trajectory, through the 45p placing price & down to the current 40p share price which is a fall of c.30% in 6-weeks following the RNS release confirming the subsequent fundraise.

Consequently I've reinvested over recent days, despite a few misgivings, as I believe value fairly compelling at the current price. Following the share price bloodbath in recent weeks OPM shares are trading on a PER of 7 for the year just ended (31.05.2017) & on a current year PER of just 5.6 on 22% earning growth & a forecasted dividend yield of 2.3% (dividend of 0.9p).

I've also heard v positive noises surrounding the newly appointed Ed Rimmer which has been confirmed via a number of other posters on this thread that know both him & the sector. This was the clincher for me to reinvest.

Cenkos have reiterated their buy recommendation (would expect nothing less ;-) & confirm that Positive Cashflow was acquired on 5.4x profits (7.5x when earn out included) & Gener8 on 6.5x

They say,

"We update our forecasts for the final deal terms which are consistent with those announced at the recent fundraise, save for the substitution of £0.2m of upfront cash payable, which will now form part of the deferred consideration. Our FY17 forecasts do not include contribution from either Gener8 Finance (Acquired 8 Jun 17) or Positive, while our FY18 forecasts only include 11m contribution from the latter. This acquisitive growth is the key driver to the expected doubling of PBT from FY16 to FY18."

&

"We believe 1pm's current valuation materially undervalues the business, with recent weakness reflective of concerns over UK consumer credit and general weakness in equity markets over the past month. To confirm, 1pm is not engaged in any form of consumer credit (in particular car finance etc). Trading on a FY18 PER of 5.6x and an expected P/book multiple of 0.71x, we believe the market is not appreciating the significant growth to come."

---

Good luck to all holders.

Kind regards,
GHF

[thetoonarmy2] 30/6/2017 15:05

Oh Yes I'm in the Factoring business and these 2 bits of business are good thought they overpaid a bit for Gen8 though and Positive quality people and great book, will Rimmer be able to grow this lot like he did at Bibby? That's the question, its a very changing market maybe too many players chasing a reducing market!

[p1nkfish] 29/6/2017 23:41

Have to wonder what the price is saying.
Lombard Odier big holder and haven't blinked.
Volume leads price so when we see a turn on the volume a good chance it's time to add.

[maiken] 29/6/2017 18:38

genuinely interested to hear why today's posters think it's a good acquisition.Is it a business area you are familiar with?

[mustergreen3991] 29/6/2017 18:01

1Pm have made a very good acquisition in buying Positive Finance. David Smith is a very good operator and the factoring book will be good. With Positive and Generate they have 2 good companies in the factoring sector. Share price has fallen recently -good time for a fresh look

[thetoonarmy2] 29/6/2017 16:35

Surprise surprise, Positive quality operation and good people part of Rimmers cunning plan for world domination :) Looks good though for 1pm just hoping they aint doing any discounted placings. Now Ed who's next on your list maybe the guys in North Manchester?

[callumross] 29/6/2017 15:06

In for 10k to start with.

[thetoonarmy2] 27/6/2017 17:59

The company has managed to obviously let the market spivs know another placing is coming so they dump now after putting orders into buy but at what price is the placing ?