Custodian Property Incom... Share Discussion Threads

[spectoacc] 23/2/2024 07:00

"As it stands SHED is the better offer as (based on current API share price) it gives access to SHED at a 30% discount to NAV, while CREI offer gives exposure to CREI at a 27% discount to NAV."

Utter bunkum. Why not have GROW bid for them, there's an even better discount there?

[essentialinvestor] 22/2/2024 22:26

As we know uncertainty is kryptonite in the stock market. Might be another trading opportunity here, let's see.

On a medium term buy and hold the current price looks reasonable risk/reward, barring something significantly adverse hitting.

Perhaps fair to say the former CREI narrow discount to NAV may be gone for sometime, but as the attraction for those holding (rather than trading) is regular income, investors may not be too concerned.

[riverman77] 22/2/2024 22:16

If CREI are so desperate to get API then make a better offer. As it stands SHED is the better offer as (based on current API share price) it gives access to SHED at a 30% discount to NAV, while CREI offer gives exposure to CREI at a 27% discount to NAV.

SHED also has a better portfolio in terms of rental growth prospects, albeit lower income than CREI (would happily sacrifice a bit of income for better growth so I would vote for SHED).

[badtime] 22/2/2024 22:13

...tad lower than mine

[nickrl] 22/2/2024 22:02

@specto they did tell CREI shareholders why it was a good move and if was API holder (I no longer am) CREI is better fit but let’s see what api bods recommend.

[badtime] 22/2/2024 17:10

Ta..but your average buy price was a tad than mine :)

[spectoacc] 22/2/2024 14:21

CREI still planning to go ahead, & made some interesting points in the RNS.

[essentialinvestor] 22/2/2024 13:18

Well done, better sell price than I managed - too premature, which is not usually a problem tbf ;.


Unless someone comes in for SHED, the CREI bid looks dead to me - but no crystal ball obvs.

[badtime] 21/2/2024 19:53

Bought recently ...sold half at 74 ..minded to keep the rest ..we shall see

[nickrl] 21/2/2024 09:52

Let the offer lapse any further improvement will only damage CREI share price further.

[dr biotech] 21/2/2024 09:39

Not sure that many would have gone short here. I went long as a hedge against them pulling out as EI did. Even though my holding here is less than half my API I've made more here today than with API. Think I may hold on longer term though.

[spectoacc] 21/2/2024 08:22

Well done. The merger arbs will be tonked on this, winning on their API longs but suddenly finding themselves short the co that no longer may be the acquirer.

As for SHED, what's the offer worth now they're 117p?

[essentialinvestor] 21/2/2024 08:05

Lovely.

I bought as a trade on the basis of the deal falling through, as previously mentioned. Average buy price 66.8, mostly out over 71.3/4.

[essentialinvestor] 20/2/2024 21:03

My impression - the investment manager is shocked by the CREI share price reaction post API merger proposal - CREI
highlighted their low NAV discount, re the wider sector, in recent results statements.

With this in mind, best guess is the offer terms are final.

[arbus5000] 20/2/2024 19:45

its the wacky races.

[cwa1] 20/2/2024 19:34

Agreed re relief rally but there's two concerns...

Firstly, there's a worry that a bidding war might erupt.

Secondly, if CREI goes up too much and SHED takes a bath, they could be back in pole position to get API again 🤪

[essentialinvestor] 20/2/2024 19:26

Relief rally for CREI?.

[spectoacc] 20/2/2024 16:52

SHED are either doing CREI a massive favour, or else CREI is about to get involved in a bidding war. The REITs have gone nuts, the sector specialists (big tick) are turning themselves into the cr*ppy generalists (first BBOX, now SHED).

I've always rated SHED, pah.

[cwa1] 20/2/2024 16:51

Didn't see this coming!!

[skyship] 20/2/2024 15:10

What shocked me about the merger detail is the costs involved - £5.9m!!!

Still, I reckon it will all be voted through; and over the following 2-3months CREI will recover back to the mid 70s. 10%+ up on where we are now.

It is a well-run operation and Richard Shepherd-Cross widely considered one of the best investment managers in the sector. Hence why CREI for so long traded at a premium and able to issue so many new shares at a premium.

Even in recent times before the API crash, they still traded at a mere 12% discount.

[spectoacc] 20/2/2024 13:54

I guess we're all surprised the deal wasn't DoA after the initial CREI fall - I wonder where the CREIAPI discount will settle if/when the merger goes through.

[essentialinvestor] 20/2/2024 13:38

Hopefully back over 70 pence soon.

[nickrl] 16/2/2024 17:51

@EI thanks for the update on ii trading. Anyhow ive been put off topping up because of the time it took me to get through last time so didn't want to be left holding more and no one answering the phone so good to hear. They told me a month ago it was just a matter of uploading the KID and was with their IT!!

[essentialinvestor] 16/2/2024 14:10

ii now alliwing online trading in CREI.

[essentialinvestor] 16/2/2024 13:15

70 plus should be doable short term?

Around 72 pence..but predictions can quickly look silly.