Assetco Share Discussion Threads

[bmcollins] 14/2/2025 11:43

@ohisay
A good point indeed, Harwood are to my mind a much better indicator than either the IC or S.T.
Not saying the latter 2 are no good but Harwood do have a seriously good reputation in tiddlers like ASTO

[sphere25] 14/2/2025 09:38

Never been involved with one SpectoAcc.

Anyone been involved with one before? Do they work?

They had to do something. This just looked stuck with so many others, for goodness knows how long.

But hey, I don't know what the number is on the split. It just looks good risk-reward down here, so I'm going to follow it through and come back and say...

"We got back 33p...what was the point of all of that!"

Decent enough early exchanges. You would think more would speculate on this.

There is alot of forced selling about so maybe a few big blocks to clear and then the market chases it higher into the split?

Let's see.

All imo
DYOR

[spectoacc] 14/2/2025 08:58

The split is definitely the catalyst, even more so than the Tommo tip - as you say, they can't possibly value the remaining business (ie River Global) at 0p.

Is ASTO ultimately worth well over 60p? Probably, but the River Global side needs to move to sustained profitability, and not just on cost-cutting.

[sphere25] 14/2/2025 08:47

Taken a few here, just under 33p.

It sounds like we get at least our money back on just Parmenian....even if the market takes a very bearish view on just that side of the split. So I'm forgetting the other side and working on that bearish view.

It also sounds like a gimme, though that is a dangerous thing to say.

But yeah, I'm setting the bar down at getting at least 33p back ha

All imo
DYOR

[spectoacc] 14/2/2025 08:34

You're right - put the Record Date back, but brought the listing date forwards. Not long to wait:


"First, the record date for the Share Reorganisation will be deferred from 4 March to 6 March, the day of the proposed General Meeting of the Company. Secondly the Admission date for the New A Ordinary Shares and the New B Shares will be brought forward to 7 March, the day after the General Meeting."

[ohisay] 14/2/2025 08:31

They brought it forward a bit ..

The Company is making the following amendments to the timetable for the Share Reorganisation. First, the record date for the Share Reorganisation will be deferred from 4 March to 6 March, the day of the proposed General Meeting of the Company.
Secondly the Admission date for the New A Ordinary Shares and the New B Shares will be brought forward to 7 March, the day after the General Meeting.

[spectoacc] 14/2/2025 06:55

Brilliant, thanks @ohisay.

We may have to wait for the split (early March?) for a proper re-rate but largely agree with ST.

Edit - full write-up on link above is well worth a read. And having flicked through the others, ASTO looks the pick (but I would say that).

6th March for vote, 12th March for split/name change, and holding two AIM co shares for every one you currently hold in ASTO (think I've got those dates right).

[ohisay] 13/2/2025 19:47

As expected tipped by Simon Thompson today in IC.
One of his eight bargain shares of 2025.



....Even if investors apply a harsh liquidity discount, its difficult not to see AssetCos stake in Parmenion commanding a market capitalisation of at least £60mn (41.6p) as a standalone entity. Thats because the platform is benefiting from the digital transformation in the asset and wealth management industry. Ongoing consolidation in the sector and a reducing number of available quality targets suggests that the independent valuation is well underpinned, too.
....Its reasonable to expect the asset management operating business, which had net assets of £26.5mn (18.4p) including £11.2mn of cash in the 2024 interim accounts, could command a valuation close to book value as a standalone entity given the cash backing and progress being made to achieve run-rate profitability.
.

Current total market cap is circa £45m...

Memo .From the Assetco Circular of 28/1/25..
In September 2023, we responded to speculation around the value of our structured 30% equity interest
(before dilution for management interests) in Parmenion,obtaining an independent valuation of that interest showing a value of between £75-90m.

Based on recent discussions with the Companys advisers, the Board believes that this continues to represent a fair assessment of the value of the Companys interest assuming an arms length sale of the company as a whole

[spooky] 12/2/2025 12:10

Any thoughts on who the seller is?

[spooky] 12/2/2025 10:59

Either you have done the research or you haven't.

[ohisay] 12/2/2025 10:26

I just bought 10k at 32.15p.
This has to be cheap ..

[spectoacc] 10/2/2025 14:47

Think it's this week for Tommo, but might be wrong - anyone know different? Smallcap tips of the year.

[spectoacc] 31/1/2025 07:08

Hoping the rise doesn't put ST off a "tip of the year" for ASTO. Definitely likes it.

[ohisay] 31/1/2025 01:37

I was adding a few days ago too .!

[bmcollins] 30/1/2025 21:34

@ohi
Thanks for posting this very informative
The more work I've done on this the cheaper it seems to be
Interesting that finally today there's been decent volume, let's hope it follows through tomorrow

[ohisay] 30/1/2025 21:01

As a reminder this was part of ST's piece in I/C last year.+


(ASTO:31p) has slashed its operating loss and identified further cost savings to help the asset management group towards profitability. It is also spinning off its 30 per cent stake in Parmenion, a highly profitable B2B investment platform for the UK wealth and advisory sector.

Parmenion is benefiting from the digital transformation in the asset and wealth management industry. AssetCo booked interest income of £1.6mn from its investment in the group’s latest accounts. The stake was valued at £75-90mn (53p to 63p) on 20 September 2023, or a multiple of around 12-13 times cash profits, since when Parmenion has increased assets under management and administration by 10 per cent to £11.7bn.

Analysts at Panmure Liberum note that “ongoing consolidation in the sector and a reducing number of available quality targets, suggest that the independent valuation is underpinned. However, even if the market wanted to be more cautious a £50mn valuation [post the demerger] would be worth 35p per AssetCo share.” The investment is held in the group’s accounts at only £25.8mn (18.1p).

So on this very conservative assumptiom you are getting everything other than Parmenion in the price for free after the demerger.

[bmcollins] 30/1/2025 16:16

Happily I dipped my toe in after the Vox/Paul Hill interview with a director last week & added a few more this week, yesterday as I saw on youtube that there is a video of Martin Gilbert a year ago saying how cheap they were then, hence my top up as they are even cheaper now than when he was talking.
If you listen to both directors they declare how valuable they believe what will be soon the B shares are. If they are correct that it is worth north of 50p on its own then this stock is still apparently as cheap as chips. TBH before the Vox video I had never heard of this stock, I guess there are quite a lot of others who never had this on their radar too.
Onwards & upwards hopefully...

[spooky] 30/1/2025 13:10

Added some more today.

[spooky] 29/1/2025 09:05

I agree and bought a few yesterday.

[ohisay] 29/1/2025 08:57

Much better proposal than the last one six months ago because this time all the new shares will be listed .
No reason not to be looking to at least 35p per share in aggregate.

I'd wager 6d each way it will be in IC tomorrow from Simon T..

[tommygriff] 28/1/2025 09:40

Loving it the market

[privileged] 28/1/2025 08:38

The market haha

[tommygriff] 28/1/2025 08:27

Market seems to like the news

[tommygriff] 28/1/2025 08:25

Who sets the price of the A and B shares at the point of split?