Cenkos Securities Share Discussion Threads

[quepassa] 24/8/2016 10:14

Jbat.

Question for you please.

Why then do you think the Cenkos share price has tumbled in round terms by 50% in two years?

In August 2014 it was 240p. Today it is in the 120's.

ALL IMO. DYOR.
QP

[jbat] 24/8/2016 09:54

Que Passa - water off a duck's back. Quindell was a mistake, but I don't think the reputational damage is anywhere near as ad as you suggest.

[quepassa] 23/8/2016 19:14

oh. wow!

Yikes.

That goes to the heart of their problem.

Quindell matters a great deal in my view..

They have as a consequence been badly slapped on the wrists by the FCA and fined £half-a-million and the affair has in my opinion badly dented their reputation.

It has been catastrophic in my opinion for their share price and what are the chances of major mandates from companies like AA in the Main Market for the periods to come after the FCA findings?

They had done such a good job in promoting themselves up the rankings and league tables and reputational scale - and now so much of that has just as a consequence been thrown away in my opinion.

ALL IMO. DYOR.
QP

[spob] 23/8/2016 18:49

Who cares

Quindell was just one company

Cenkos represents many companies

[quepassa] 23/8/2016 17:17

No. Not at all.

What the IC writes is a true and fair reflection of the 34 page FCA statement.

You miss the point.

Just why did Cenkos continue on the Quindell listing path after the Gotham Research?


ALL IMO. DYOR.
QP

[keith95] 23/8/2016 16:17

" In particular, the FCA was unhappy that Cenkos pushed Quindell to the brink of promotion to the Main Market even after a short selling attack led by Gotham Research exposed serious concerns over the company"

Indeed - but Investors Chronicle is not the FCA ... so I would guess that IC has added its artistic license ....

I would guess with probability one that the statement you quote in parenthesis was not a statement made by the FCA .....

... very unlikely that the FCA listen to US hedge Funds like Tigger Global that short stocks from Shell based companies located in the Cayman Islands.

Doubt it somehow - and the statement 'pushed' is equally unlikely given the ramping by the former CEO of Quindell on the very same issue.

A few people would look at a glass 99% full and moan about the 1% empty .....

[quepassa] 15/8/2016 09:33

Page 6. Investors Chronicle 12-18 Aug:-

" In particular, the FCA was unhappy that Cenkos pushed Quindell to the brink of promotion to the Main Market even after a short selling attack led by Gotham Research exposed serious concerns over the company"


A fascinating sentence. And perhaps a lot of food for thought.


ALL IMO. DYOR.
QP

[keith95] 10/8/2016 16:38

127.5p to sell :)

[joe say] 09/8/2016 13:49

But you should perhaps ask whether Quindell was the only company affected - who is to say that one of their other clients hasn't got similar (albeit yet undiscovered) issues within the closet?

The regulator hasn't looked through every clients records - as whilst a firm wide review it was nonetheless company specific - concluding that the process/procedures were inadequate/lacking through much of the organisation

[topvest] 09/8/2016 12:45

Not great for Cenkos but at least they have drawn a line under this quickly. RNS out when everyone is on vacation as well, which is clever.

Think we all know that Cenkos are probably not quite as well managed as large investment banks, but are good at getting deals done and cash raised. They operate in the racy world of AIM. Not sure anything has changed much as a result of this as it probably just concludes along the lines of what people generally think anyway.

2016 looks a pretty bad year so far for Cenkos though. They need a big deal in H2 to achieve some adequate results.

I'm going to keep holding Cenkos as they are a nice AIM investment bank. I'm pretty confident that they can come back from this. At the end of the day, Quindell didn't go bust and shareholders got a reasonable return from a dog of a business. There have been far worse AIM disasters, albeit this is probably the highest profile one of recent years.

[quepassa] 09/8/2016 12:35

Anyone know when the Serious Fraud Office enquiry into Quindell will be next updating?

ALL IMO. DYOR.
QP

[keith95] 09/8/2016 11:50

Shorts here can have the first of my shares at 139p :)

[gary1966] 09/8/2016 10:59

Joe Say,

There is recognition from the FCA that they have learnt their lesson and have made organisational changes to ensure it doesn't happen again if you read the RNS.

It is all history now with the case closed which the market appears to like. No issues in the two years since. Quindell was a mess for all involved and I personally am happy to look at it as a one off for which Cenkos have now been rebuked.

[quepassa] 09/8/2016 10:57

Well worth reading through the full 34 page FCA document/notice.

I personally found page 12 most interesting.

This page made me want to read the next few pages closely as well.


A £half-a-million slap-on-the-wrists by the regulator is one thing.

Reputational damage to the firm may or may not be another.


One wonders to oneself if there may or may not be a sacrificial lamb.





ALL IMO. DYOR.
QP

[joe say] 09/8/2016 10:49

A 34 page report which is quite damning imo - for example a level 4 penalty at Stage 2 (the maximum is 5)

No surprise when you read the detail - fault after fault even in light of the Gotham report

Let's just hope they've learnt their lesson but leopards and spots and all that

[cwa1] 09/8/2016 10:20

Probably about as good a resolution as could have been expected under the circumstances IMHO.

[gary1966] 09/8/2016 10:08

Swift resolution which is always welcomed by the stock market and acknowledgement that Cenkos have improved their structure to ensure that these infringements shouldn't happen again which should limit reputational damage going forward.

[speedsgh] 08/8/2016 14:59

The one that got away... Cenkos were only replaced by Numis as Nomad/broker to Benchmark Holdings (BMK) on 3/6. Benchmark are now raising £30.7m via a placing.

PLACING OF 47.3 MILLION NEW ORDINARY SHARES -

[speedsgh] 08/8/2016 14:56

Cenkos acting as broker on placing to raise up to £3.77m for Cloudcall Group (CALL)...

Proposed Placing to raise up to £3.77m -

[joe say] 29/7/2016 10:32

Not just a case of number of clients - its who are the ones that leave imo as this will partially determine where on the spectrum CNKS will end up sitting

[garycook] 29/7/2016 09:48

Thank you that Speeds.I think you are spot on,or not far off the mark.Confirm,s what I have been thinking.

[speedsgh] 29/7/2016 09:42

GC - Digital Look currently have a consensus forecast of DPS 13.0p for 2016. Not sure what this is based on. Maybe just the May 2016 Edison research note? 13p was their mid-case IIRC.

Personally I would expect far less than 13p; in fact holders should be more than happy imo with 7/8p as you suggest. May depend partly on how much cash they hold + how much of it they are willing to use in view of the outlook. It wouldn't surprise me if they pay a small, reduced interim div which gives them more flexibilty on the final div dpending on the full year outcome. I would say that on current evidence 2016 is looking likely to be a lean year for Cenkos.

As for the mooted FSA fine, Cenkos will have got off lightly imo if the final amount payable is in the order of £0.7m or less as has been reported. The unquantifiable is of course the possible reputational damage + what effect it might have on future earnings; only time will tell on that one. Cenkos were Nomad/corp broker/fin adviser to 124 companies as at 31/12/15. Will be interesting to see if there has been any material change in this number at the Interims.

Aimho