Dci Advisors Share Discussion Threads

[sammu] 05/10/2009 13:22

Yes I thought that this was an inovative idea, but take up was limited. Maybe if they tried again they would get a bit better take up now markets are a bit more stable.

OT - Bisi is a bit on the dull side at the moment - unloved.

[bisiboy] 04/10/2009 18:33

my suggestion is something similar to what was done before
allow shareholders to buy property at a 1/3rd nav for cash with balance
paid in shares at 50% discount to nav
this would do 2 things 1/-increase companies cash to allow further development
2/-improve nav
3/-raise share price

[sammu] 03/10/2009 22:35

OK scburbs, I agree there should be a focus on asset sales, and to target a specific cash payment and timeframe would be of particular benefit to the shareprice.

I don't know how easy it is to sell projects in the current enviroment but I guess it should be possible.

Ideally the projects should be taken to the stage where no more value can be added by management and then disposed of in an orderly fashion. However the current share price and the tender offer should focus the mind and lead to asset realisations to highlight the value of the projects.

Maybe the board is taking the time to respond with an effective formal strategy, maybe with something similar to what has been suggested here.
Yesterday's announcement states that their is dialog between the board and hallmark, which will also delay a response.

[pscambler] 01/10/2009 11:39

Right scburbs!
Role
The Board is Dolphin Capital Investor's absolute decision-making body, approving and disapproving all investments proposed by the Investment Manager. The Board is responsible for acquisitions and divestments, major capital expenditures and focuses upon the Company's long-term objectives, strategic direction and dividend policy

Composition
The Board of Directors of the Company comprises five independent Non-Executive Directors and Miltos Kambourides

Dolphin Capital Investors Limited
Andreas N Papageorghiou
Chairman
Tel: [phone]

if anyone feels like contacting!

Share price drop is worrying as more folks are likely to tender I think.

I posted some stuff about BVI law over on III. Only scratches the surface, but it would appear that a "fair price" should be given under any squeeze out. In UK this could be a 3 month average share price. NAV would be irrelevant.

High risk hold. I can't decide whether I would pop in for tender at 44p!

[scburbs] 01/10/2009 08:26

Sammu, I wasn't suggesting they pay out the cash that they need for development! I was suggesting they set out how they plan to realise 40p of the NAV via disposals to be able to distribute cash for investors. If those disposals are at a discount to current valuations then it hardly matters given the level of the tender!

Its been 2 days since the tender announcement and the board still haven't made a recommendation. Given the offer is plainly ridiculous it doesn't look like the board is on the shareholders side!

[pscambler] 30/9/2009 21:48

1) The Panmure note is rubbish. Not in content, it's just lazy and I could have written it myself, in the absence of the results. They give a buy rec, but don't discuss the implications of the TO. They mention the d/c as if it was news. Jeeze.

2) Basically, it depends on the institutionals. If they don't sell, the delist control will not be there. However, this will be a small holding for them and they may be able to offload the lot at market price or over, when an open market sale of their total holdings would surely be done at a discount. I asked DCI for comment. I was told that the tender letter will mention implications for shareholders, but this will have been prepared by hallmark/BidCO, so Capesize cargoload of salt.

3) they can do it 'cos its legal. I pointed out the risk on the III board about a week before the announcement. The applicable law is British Virgin Islands. Overall, I think uptake will be reasonable, as some folks will go for 44p, but falling short of giving them 75%.

4) It's not always bad being in a privately held company. I held onto all my axiomlab rather than take the cash option and was handsomely rewarded post delist.

5) Agree Sammu - it would be daft to pay out cash at this stage in their development and the business cycle.

6) I support everything the management have done for the copmpany save the TO. But who can blame them, they are businessmen and this is an opportunity. Nobody foced anyone else to buy, and until they reach 75% no one can be forced to sell (squeeze out).

All comments welcome, at least the BB has woken up

[sammu] 30/9/2009 20:09

From the above their previous NAV forecasts were clearly duff as the dilution and currency effects were clear, but apart from that the above seems sensible.

There is no point in paying out the cash Scburbs, if you do that you hobble the remaining business such that firesales would be needed. A bigger focus on asset sales may however be useful.

Only leveraged desperate sellers should be attracted by the tender offer and I would think they would have already sold out, so I expect the takeup of the offer to be v. small.

[splash5] 30/9/2009 16:48

Why would institutions accept this offer unless they bought in at lower end of tender range which is unlikely. Presumably they will have to pay more for outstanding shares after the tender or keep buying on the open market which hopefully dificult to do. No way will I tender my shares as in excess of 50% down on my investment. Can't believe they can get away with it.

[scburbs] 30/9/2009 14:21

Well if the management (other than the tender offerors) had some spine then they would issue an announcement telling shareholders to reject the tender offer and setting out plans for realisation of some of the NAV to make cash returns to shareholders (e.g. give shareholders visibility of a 40p cash return and a continuing stake in the remaining business with a NAV of around 150p).

I suspect the main management are also those making the takeover and, therefore, this approach is very unlikely IMV.

[spectoacc] 30/9/2009 14:19

Problem with a foreign-domiciled AIM co I guess. Still in these too, most other prop co's have enjoyed a rally. This tender offer nips DCI's in the bud.

Not sure what to do; might tender a few at the higest price, but the discount to NAV is ridiculous.

[kimboy2] 30/9/2009 10:48

Anybody got any suggestions as to the optios open to the management ?

[sammu] 30/9/2009 00:13

Well you don't have to take up the tender offer, hopefully most won't given the derisory price.
The results were pretty good, no cash problems - 2yrs worth of cash even if no disposals, (and I expect there will be disposals). Some projects at advanced stage with marketing commencing early in 2010.

[splash5] 29/9/2009 22:15

Any shareholders out there. I hold this share because it is at such a discount to NAV. Its discusting behaviour by the directors. Same as Summit Group recently. Will institutions walk away. There is a huge conflict of interst between the Board and Hallmark. Can they do this!!!

[aishah] 10/9/2009 16:24

DCI resorts:

[afrorich] 10/9/2009 16:03

where are most of the properties based ?

[aishah] 10/9/2009 10:28

Nice move today

[its the oxman] 07/9/2009 23:44

cheap - seems totally forgotten and no idea what will ever get it going.

[tadska] 07/9/2009 19:36

Hi to all shareholders,
is this worth a punt?
Regards

[its the oxman] 27/8/2009 09:42

60000 SOLD AT 33P - someone still having to sell perhaps

[its the oxman] 25/8/2009 23:57

still falling - clearly the market thinks there is something wrong with cypriot property - no position

[spectoacc] 03/8/2009 12:22

Cheap by any metric - but impossible to know when it might move up. Continue to hold but haven't added.

[its the oxman] 03/8/2009 10:28

everything on a rally at the moment and this is left behind - noted a lot of their developments on my holiday to cyprus last year - surely there must be some upside if property is bottoming and cyprus is always going to attract the buyers if things pick up, even slightly. getting very tempted - views anyone?

[spectoacc] 07/7/2009 13:57

Thanks for that. Would be interested in seeing any update after today's news on the shares-for-assets.

Interesting point in that note that with 100m in cash, DCI only actually have 2yrs of development capital. Maybe that's what worries the mkt; if they can't make some realisations over next two yrs, then it's either mothballing or raising more money.

[rikreschem] 07/7/2009 13:32

I took this from DCI's website. I don't know if there is a later one.