Bisichi Share Discussion Threads

[bozzy_s] 05/6/2019 19:12

There's certainly a reason LAS is valued below cash, and at 60% discount to NTAV. And BISI would possibly be a £40m company if director salaries were reasonable. They both probably fall into the category of value traps. On the face of it hugely undervalued by the market. Haven't looked at LAS for a few years, but it seems even more undervalued than BISI. But they've both always been undervalued, hence the 'value trap' description. It'll take something remarkable for the shares to reach an average market valuation. If some of those extraordinary salaries were taken as shares, maybe that'd be a start. £2.1m per annum cash from a company valued at ~£11m, still too high. £0.5m cash and £1.6m of BISI shares, better for everyone including directors, long term.

[topvest] 04/6/2019 08:15

I've sold out my few shares in LAS and BISI. BISI at a good profit, LAS at a loss. Not worth the effort & we are always going to be screwed over by the Heller family. Unfortunately, I think LAS has more bad news on the way and BISI is invested in an unethical activity of coal mining which is in long-term decline. On top of the dismal performance, the directors take most of the reward. Only listed for the prestige value of being such.

[ntv] 28/5/2019 17:00

somebody increasing their stake before the AGM going to watch carefully for voting figures as I don't think my partners votes showed up in the figures Printed them off this year to see if they show as they are confirmed this year

[topvest] 11/5/2019 12:27

£2,163k of directors' emoluments versus £1,635k last year. This is just greedy. 3.5x the dividend. This has been a profitable investment for me, but always reluctant to sell the last few at such a low valuation. Of course, the valuation would be much improved if they starting taking their emoluments as dividends. It's interesting that Cavendish Asset Management have increased their stake to 18.23%. I wonder what their plan is?

[sammu] 01/5/2019 15:46

Buried deep in the report is the life of mine. The 1.9m acquisition seems to be very much needed to keep production going beyond a couple of years. "The life of mine remaining is currently estimated at 4 years. This life of mine is based on the group's existing coal reserves including reserves acquired but subject to regulatory approval of 1.9million tonnes. The life of mine excludes future coal purchases and coal reserve acquisitions."

[bozzy_s] 29/4/2019 14:12

Sensational numbers. No reaction by market. To me it seems the directors have actually earned their £2m this year. £2m looks ridiculously high for a £12m company, but with those results BISI could realistically be a £40m company.

[bisiboy] 26/4/2019 12:14

odds on higher bonus and flat dividend for us

[ntv] 26/4/2019 09:20

lets see if Heller pay packet has gone up much and what bonus he will get

[ntv] 26/4/2019 09:19

not sure but probably early next week

[from8to800] 24/4/2019 10:57

When are results out?

[ntv] 24/4/2019 06:55

presuming EPS of around 40p but not so good going forward by the looks of it Could be an interesting AGM

[callumross] 31/3/2019 15:19

Hmm, reported profits will be great but going forward this Richards Bay chart suggests the current year will be tougher; https://www.barchart.com/futures/quotes/LV*0/technical-chart

[bisiboy] 26/2/2019 09:52

true perhaps helped by a little more restraint on drawings!

[ntv] 26/2/2019 08:49

hhmm interesting price movement recently, but you have to ask the question : Where would the share price be if the city had more respect for the company and it's directors?

[callumross] 31/12/2018 14:47

Think at price you have paid you will make a decent return if you tuck this one away rather than seek to trade it. Guess the rating is so low due to family control and fact that their property investments are mainly retail sector which is not exactly flavour of the month

[whentobuy] 31/12/2018 12:53

Thanks again - I know DYOR prevails - but useful if someones read it before

[callumross] 31/12/2018 12:18

These are the relevant sections in terms of life of reserves "The permanent infrastructure improvements at Black Wattle will have a positive impact on the returns achievable from our existing coal reserves and should open up new opportunities to mine similar coal reserves in the surrounding area. Accordingly, we remain confident about the ability of our South African coal mining operations to continue to contribute to our group earnings and cash generation for the foreseeable future.” AND "Looking forward to the rest of this year, management will continue to focus on increasing our life of mine at Black Wattle, through the acquisition of additional coal reserves, as well as maintaining levels of production in order to benefit from the higher prices achievable for our coal."

[whentobuy] 31/12/2018 11:31

Thanks for the heads up on reserves. Got in this morning at 87p and 89p just before the bounce. With a spread of 12% this is likely to be a slow mover until any news hits.

[callumross] 30/12/2018 15:58

Last statement said they had many years left to mine exhaustion and were actively seeking fresh reserves

[whentobuy] 30/12/2018 12:10

Profitability increase Y-O-Y looks like circa 12% on the price (straight to the bottom line) and 17% on volume up to 670k tonnes. The price seems to have roughly held at an average $98/tonne 2nd half. Did the volume hold at 670k tonnes? More importantly are there sufficient accessible reserves for this to continue/increase?

[ntv] 22/12/2018 09:59

price coming down means another share option award soon?

[ntv] 22/11/2018 09:52

they should take a leaf out of AAZ book and see the benefit on mkt valuation

[callumross] 13/11/2018 14:30

Strangely, those 3 transactions today are incorrectly marked as sales when in fact they are £15000 worth of buys.

[ntv] 07/11/2018 17:08

my partner bought a few more yesterday but it still worries me how they give someone £1.8m and not protect the company against loses school boy stuff Now I have got this coal mine in SA that I would like to sell. £1.8m deposit is all I want paid into my swiss bank account number 456.....

[callumross] 05/11/2018 19:49

Well, they are trying to recover some of it; During the year the group wrote off its £1.8million investment in Ezimbokodweni Mining (Pty) Limited (“Ezimbokodweni”) made up of a £1.4million loan (2016: £1.4million) and a £0.4million (2016: £0.4million) joint venture investment. The carrying value of the investment was dependent upon the completion of the acquisition of the Pegasus coal project (“the project”) in South Africa. Although a proposed sale and purchase agreement had been negotiated and a deposit paid for the project, the conclusion of the transaction had been delayed pending the commercial transfer of the prospecting right from the current owners of the project to Ezimbokodweni. Although the group has always remained committed to completing the transaction, previous negotiations to complete the commercial acquisition of the project had been beset by various delays outside of its control and at the beginning of 2017, the current owners of the project notified Ezimbokodweni that they no longer wished to divest the project. More recently, the group was notified that an agreement was reached between the current owners of the project and the directors of Ezimbokodweni for the deposit for the project to be returned and any further negotiations with Ezimbokodweni to acquire the project to be terminated. Although, a legal claim by the group has been issued against Ezimbokodweni and its representatives, in order for the group to recover some of the investment, the Board has considered it to be appropriate to write off the investment in full in the 2017 year end.