3i Infrastructure Share Discussion Threads

[huttonr] 29/3/2018 16:05

Just a question on the 'Special Dividend' - this is called a dividend but it looks like a return of capital - I'm wondering about the treatment for tax - capital gains or dividend - any ideas?

[jonwig] 29/3/2018 06:19

Year end update:



Everything in-line, it seems. Full results 11 May.

[jonwig] 28/3/2018 18:01

@ Davros, Warrior Boy - I think Davr0s is basically correct, but with two caveats in this case.

First, the really big trades were marked 'O' so went through MMs rather than the SETS order book. Second, large trades are usually reported with a delay, so the price probably indicates a buy when prices were lower. (This would explain the rising sp!)

It is absolutely the case that trades are not stamped as buy or sell by the LSE, so any indication is just a guess.

[davr0s] 28/3/2018 17:53

Several things - sells and buys are not necessarily sells and buys. They are guesses. Also for every seller there is a buyer - what's key is that presently buyers are prepared to buy at increasing prices hence price goes up. Volume isn't anything special. I'm a trader these days but if you want a fundamental reason for the rise then look no further than there are less shares so price needs to rise to give the same earnings/share. Long may it continue rising!

[lizafl] 28/3/2018 15:38

Thanks Jonwig for posting the link to the KID. I've sent it to Youinvest so that they can update their details, and perhaps one day, I'll be able to buy some more shares. Assuming that I'll want to - the price has got away from me now, so I'll watch and wait.

[warrior boy] 28/3/2018 15:01

SP has risen well in the last week, despite what has happened in the markets.Huge amount of sell gone through today, including groups of large sell within minutes of each other. With such high volume going through, and mainly sells, why would share price go up so much.I know that the big divvy is due tomorrow and any buys from the divvy would be at higher share price Am I right to suspect that Institutions have offloaded while they can get a good share price only to buy back in a week or so when they depress the SP?Or an I just being a cynic?WB

[mw8156] 20/3/2018 13:38

jon

thanks for that clarification,

mw

[jonwig] 20/3/2018 09:33

@ mw8156 - because of the share consolidation. You now own 15 shares for every 19 you held before. So the price per share rose by 19/15 at the same time as it's fallen by the 41.4p of the dividend.

[mw8156] 20/3/2018 09:23

please forgive my ignorance but how come the price hasn't fallen after it went xd?

[jonwig] 17/3/2018 08:17

Here's the 3IN KID:



Broker needs to be told!

Advice from John Kay in the FT was, "If you receive a KID, make sure you don't read it - in fact, burn it!" Of course, a digital version just languishes on your hard drive.

[santar] 16/3/2018 15:40

HSBC DirectInvest also. Can’t buy.

[nice_bloke] 16/3/2018 11:54

Halifax Share dealing will not let me buy any online, but will let me sell.??

[jonwig] 16/3/2018 11:29

I don't think they come under the umbrella of KID requirements:



I'd phone 3IN first: Thomas Fodor Investor Relations Director Tel [phone]

[lizafl] 16/3/2018 10:40

I want to buy some more shares in 3IN in my Youinvest account to replace those lost in the consolidation, but I'm not allowed to, as they don't have a Key Information document! I can't find one on the 3IN website either.

This is very frustrating. I suppose I could try phoning Youinvest to see if I can deal over the phone, but I'm not sure if I can be bothered!

[davr0s] 14/3/2018 08:12

Maybe tomorrow sorry

[davr0s] 13/3/2018 18:56

Don't forget big xd tomorrow (20% market cap) - so don't panic in the morning

[cyfran101] 05/3/2018 19:03

I was an investor in Alkane.

Sold to Balfour Beatty Infrastructure Partners in Sept' 2015 for £61.4m

There were only 27 sites then and now there is 32 but that's a good deal for BBIP.

Nice fit for Infinis.

[jonwig] 22/2/2018 14:28

@ Don J - yes, they did. And the share price didn't drop because of the consolidation. The 15-for-19 should ensure that the share price stays stable.

[don julian] 22/2/2018 14:13

Remember when they did something similar, though on a smaller scale, a couple of years ago. Well, like you I wasn't too happy about turning unrealized cap gain into taxable divis. So I sold just before... and... to my great annoyance... they paid out the special divi and the share price didn't drop but went to a 15% premium. So I'd rather shot myself in the proverbial foot ?

[warrior boy] 21/2/2018 14:19

Yes. It's a no-brainer really.

[n0rbie] 21/2/2018 11:38

I definitely will. Love the investment and would rather stay invested than have the divi cash.

[jonwig] 21/2/2018 07:10

Special dividend details:

The Company will return £425 million to shareholders by way of a special dividend of 41.4 pence per Existing Ordinary Share to be paid on 29 March 2018.
...
A share consolidation is proposed, with every 19 Existing Ordinary Shares being consolidated into 15 New Ordinary Shares. The share consolidation is intended to maintain comparability, as far as possible, of the Company's share price before and after the payment of the special dividend.

Might be worth thinking about reinvesting the divi in more 3IN shares?

[jonwig] 01/2/2018 06:46

Citywire article includes some broker comment:

Today the share price held steady at 201p with Iain Scouller, analyst at Stifel Fund, maintaining a ‘buy’ rating and a fair value of 215p, down from 217p previously.

He believed nationalisation fears were unjustified, adding: ‘Post the capital distribution we think the shares should trade at the higher end of the range for the listed infrastructure sector, given the “non-dated” assets and low exposure to UK PFI. Therefore, we think the shares should trade on a 5% to 8% premium to estimated NAV post the capital repayment.’

Ewan Lovett-Turner of Numis Securities said in the past three years the investment company had successfully rotated its portfolio away from PFI and regulated assets towards more economically exposed sectors such as transport, logistics and communications.

‘While we believe that 3IN has a strong management team, and a portfolio of interesting businesses with attractive growth prospects, the return profile may be more difficult to predict in the event of a recession. Consequently, we believe the shares are less well suited for income seeking investors,’ he said.

[jonwig] 31/1/2018 09:44

@ winsome - having cash they can't find a use for is a drag on returns, and the argument for returning investors their own money to do with what the please is unanswerable. you could even re-invest it in 3IN, as I did last time.

Yes, we do seem to have investments in common. Maybe we're just averse to investing in rubbish!

[n0rbie] 31/1/2018 09:14

It's sat at bang on last year's NAV with a huge cash return to come back to investors, mad!