Abrdn Asia Focus Share Discussion Threads

[tiltonboy] 20/6/2017 19:55

I cleared out the 129p offer today, and buying them for precisely the reasons you mention DB. First started buying them at 113p.

[chinahere] 20/6/2017 16:39

Great. Am interested.

[chinahere] 20/6/2017 16:39

Cheers. So assuming they don't go bust we get 3.5p dividend per annum for each one held and for two years we can exchange them at the rate of 8.3 CULS per ordinary share regardless of the underlying share price?

[davebowler] 20/6/2017 16:27

Price is £1.29 x 8.3 = £10.71 plus a higher div and protection down to £1 per pref share.

[chinahere] 20/6/2017 16:16

Edit. Just read this so is the conversion price fixed in time ?:

"The Conversion Price (being the nominal amount
of CULS required to convert into one Ordinary Share) will be rounded down to the nearest 5 pence, and
will be set at a 15 per cent. premium to the unaudited NAV (including income) per Ordinary Share on
Monday, 14 May 2012."

So what was that figure? Davebowler is it £1.29 * 8.3 then?

[chinahere] 20/6/2017 16:13

It doesn't look like a good way to get into AAS to me. I had a look at the prospectus and I read it that they convert at nominal price into a premium on the ordinaries NAV. Am I right? Here's their text illustration:

"By way of illustration, had the Conversion Price been set by
reference to the unaudited NAV (including income) per Ordinary Share at 18 April 2012 of 718.56p, the
Conversion Price would have been 825p and a holder of £1,000 nominal of CULS would have been
entitled to 121 Ordinary Shares on conversion of their CULS"

[davebowler] 20/6/2017 13:20

AASC is a cheaper way into this at its current price of £1.29 as it can convert to AAS
at the rate of 8.3 AASC to 1 AAS.Plus there is the higher div and protection too offered by the convertibles.

[the oak tree] 20/6/2017 12:19

Wonder how the new merger will affect performance? I'm assuming it's part of the group announced today. 12% discount is cheap imho

[davebowler] 20/6/2017 12:06

16th June NAV Aberdeen Asian Smaller Cos Investment Trust Fully Diluted Including Income 1219.73p Ordinary

[davebowler] 09/6/2017 13:58

8 Jun NAV Aberdeen Asian Smaller Cos Investment Trust Fully Diluted Including Income 1211.79p Ordinary

[davebowler] 10/4/2017 13:17

7 Apr NAV Aberdeen Asian Smaller Cos Investment Trust Fully Diluted Including Income 1214.17p

[the oak tree] 06/4/2017 18:30

Ah I meant building up.....

[the oak tree] 06/4/2017 04:37

I agree it's quite a discount buying up. Too many chase the last great performing IT. This will have its time again.....

[davebowler] 05/4/2017 14:49

4 Apr NAV Fully Diluted AAS Including Income 1202.92p

[davebowler] 17/1/2017 10:13

Still, the AACS look better value as they offer downside protection (£1 buyback in 2 yrs), some gearing , and twice the yield.

[chinahere] 16/1/2017 18:50

Thanks. I had hoped that each CUL would allow you to buy one share at £8.30. That would have offered some nice warrant-style gearing.

[jamielein] 16/1/2017 18:45

If you own 8.3 CULS nominally worth £8.30 (£1 each), at the end of the period, you can either accept £8.30 as repayment or convert them to 1 ordinary share. If the ordinary shares trade above £8.30 then you're better converting than accepting the nominal £1 for each of the CULS you own.

[chinahere] 16/1/2017 18:33

So these aren't like warrants then?

Do you have to forgo the full nominal amount of CULS to get each AAS share?

[jamielein] 16/1/2017 16:24

I agree - they still look attractive but just wanted to point out that your calculations were slightly wrong, so you don't get a shock in the future!

[davebowler] 16/1/2017 15:21

Still, I've got downside protection at nominal cost! Plus more than twice the yield of the ordinaries.

[davebowler] 16/1/2017 15:16

From Morningstar -Conversion Terms
0.12048 shares @ 830.00p from 30 Nov 2012 - 31 May 2019.

[davebowler] 16/1/2017 15:01

13/ Jan NAV Aberdeen Asian Smaller Cos Investment Trust Fully Diluted Including Income 1138.45p Ordinary

[jamielein] 13/1/2017 11:15

Just to clarify - AASC at £1.20 (with nominal value £1), you would need 8.3 convertible shares to convert to one ordinary share. So the price you're currently paying is 8.3 * 1.2 = £9.96, so it's actually slightly more expensive to buy the convertibles.

You don't just add up £8.30 and £1.20 to get the price.