Digital 9 Infrastructure Share Discussion Threads

[genista71] 27/3/2024 17:48

Except this isn't an investment trust, it couldn't be further away..it is an operating company..the fact that this operating company allows the manager to make up a "nav" and charge fees off it is tantamount to robbery..this is on the board, they are useless..Triple point are making out like bandits..and as we know they are hopeless.

[williamcooper104] 27/3/2024 17:05

Good - keep going It is a total shambles and a blight on the UK investment trust sector

[donald pond] 27/3/2024 13:33

I'm speaking to the telegraph at the moment

[cousin jack] 27/3/2024 12:59

It would also be good to generate interest in the financial press if possible Donald.

[alan pt] 27/3/2024 12:49

Seems like a long shot, but credit to you for trying

Might be worth contacting Citywire to see if they will add some of your comments to their story (and/or approach the resigning directors and board for comment)

[daveoz1] 27/3/2024 12:40

Well done donald, I wish you the best of luck, it's great to see someone sensible taking action. I'm afraid that I haven't the technical financial knowledge to help much, but I will certainly provide encouragement whenever I can.

[donald pond] 27/3/2024 12:09

The farce continues, as the 2 adults appointed to sort this out - Messrs Boleat and Miller - have both stepped down, leaving the incompetent original board still in place. I think this demands action and so have written the following emails. I would be grateful if anyone who shares my concerns and views on a likely solution writes in a similar vein. The more who do this, the better the chance of success.

To Triple Point

[e-mail]

Thank you Charlotte and I note that I have yet to receive a response within the 20 day period outlined in your letter.
I wish to expand my complaint further to cover the recent abrupt and unexplained departures of Richard Boleat and Brett Miller. They were appointed specifically to bring fresh blood to the board and to see them step down so soon is extremely disappointing.
I have a large social media reach and from multiple platforms it is clear that retail investors have lost all confidence in the board and in Triple Point. This has been exacerbated by the recent reckless and incomprehensible spending on financial advisers, with £17m accruing to Goldman Sachs alone, and Liberum, Peel Hunt and JP Morgan all appointed to provide services to the company. It appears that the focus of the board is on spending as much money on advisers as possible. This is, in my view, grossly negligent and indicative of an emphasis on protecting the directors, who appear out of their depth and floundering, from any further liability rather than acting in the interests of shareholders.
The focus fn the board should be squarely on minimising costs and maximising the proceeds of sale of the remaining assets held by DGI9. At first glance, the proposal of Messrs Boleat and Miller to become a self-managed investment trust had merit and many shareholders are frustrated that this could not have been explored further.
The frustration investors feel at Triple Point continuing to accrue fees based upon an NAV that has no credibility is embarrassing. That the board and Triple Point have not addressed this yet is a gross failure of governance and of the fundamental duty to treat investors fairly.
I would at this point like to put myself forward for the role of director at DGI9. I am a Jersey qualified advocate and was for 10 years a director of GCP Infrastructure Fund, a FTSE 250 company. Given the disastrous performance of DGI9, it is surely time for a new board to be constituted who can look afresh at the decisions made that have led to an investment that was widely perceived as a relatively safe play losing over 80% of its value.
I would suggest a board of Messrs Boleat, Miller and myself would at least create confidence that all avenues to protecting shareholder value are being pursued.
I am sharing this email on social media and with the Jersey Financial Services Commission and encouraging others to write to you in support of this approach.
Yours

To: [e-mail]

Dear Sir/Madam,
I used to work in a senior role at the JFSC, and thought I would share the above complaint with you, a copy of which is attached.
Digital 9 is a Jersey company listed on the LSE that has lost over 80% of its value and become an embarrassment. The board appear unable to hold the manager to account and, most worryingly, Richard Boleat and Brett Miller, two experienced professional NEDs brought in to sort out the mess have stepped down after they clearly felt that they were not being listened to.
This is causing a huge loss of investor confidence on top of the destruction of shareholder value. It is clear that the manager, Triple Point, did not understand the financial implications of one of the investments and they made, and the board did not have the wherewithal to hold them to account. It is hugely concerning from a corporate governance perspective that the board that were unable to understand what they are doing are still in place, while the directors appointed to bring new expertise have left.
The time has come for the regulator to step in, both in order to assist investors and to support the reputation of the Island.

[donald pond] 27/3/2024 10:19

I don't think an EGM would be possible unless a big institution backed it. I think the best approach is to apply pressure by social media, and writing to Triple Point, the company and the regulator, the JFSC. If I have time I'll put up some templates later that people can use.

[williamcooper104] 27/3/2024 10:11

Could be something in that - given they paid a dividend until they got to going concern issues Key thing is to get a new board to appoint a new manager; anything from TP is on top ofOf course current board is conflicted

[williamcooper104] 27/3/2024 10:09

Yep could well be that or just the speed of the wind down I suspect TP haven't given up hope of keeping the show and fees on the road Best to get a new manager in incentivised on a wind down

[tiltonboy] 27/3/2024 09:33

hxxps://www.linkedin.com/posts/paul-de-gruchy-4565a42a_investmenttrusts-jersey-activity-7178382158418313217-kkb6/?trk=public_profile

[loglorry1] 27/3/2024 09:25

@donald do you hold a 5% position or have support from others that do?

[skyship] 27/3/2024 09:20

dp - wish you the very best with this action. Incidentally, how do you progress matters. Via an EGM perhaps; if so does that require a 5% or 10% support?

[cc2014] 27/3/2024 09:19

Usually when directors leave like this it is because they cannot form an agreement with their fellow directors and are outvoted.

[donald pond] 27/3/2024 08:55

I disagree. When there is unanimity among brokers and commentators that they failed in the basic duty of diversifying risk and understanding the implications of a disproportionately large investment that is primarily facie negligent. It is precisely why regulators require investment managers and directors to have insurance. Triple Point put themselves forward as professional managers and charged significant fees for doing so. This is not the same as a trading company going bust. It is about a professional firm failing to be competent.

[invisage] 27/3/2024 08:30

Could the bust up / resignation of the two directors be due to TP fees going forward in the wind down?

[loglorry1] 27/3/2024 08:17

There is zero chance of any sort of recovery from TP. At best you might get to put some pressure on them for them to reduce their fees during wind down. I guess it might be worth doing that.

[donald pond] 27/3/2024 07:10

It's not self confidence. I just think the way to maximise value isn't to hire a fourth investment bank but to spend £50k with a lawyer examining actions against Triple Point and the original board.

[keith95] 26/3/2024 19:15

How much experience is needed to pick up the phone to Goldman’s and ask them to sell a few businesses for 5% of the sale value going to Goldman”s?

[rimau1] 26/3/2024 17:01

I admire your self confidence Donald, thats all i've got.

[donald pond] 26/3/2024 14:23

We need to get this lot out and me on

[wskill] 26/3/2024 14:05

Well said Donald unfortunately this shower of directors are only concerned in covering their own failures the only single thing they excel at is making investors cash disappear .

[donald pond] 26/3/2024 13:33

I've drafted something about this on LinkedIn. I think the best solution here is for the whole board to step down, Brett and Richard come back, and then I'd be happy to be appointed to make it 3. Please read and add a comment suggesting as much if you agree,
hxxps://www.linkedin.com/posts/paul-de-gruchy-4565a42a_investmenttrusts-jersey-activity-7178382158418313217-kkb6?utm_source=share&utm_medium=member_desktop

[donald pond] 26/3/2024 12:55

I think Brett and Richard came along with new ideas and the existing board are too close to the manager

[rambutan2] 26/3/2024 04:19

Agree that a worringly unclear rns re the surprise (to me in any case) director resignations. But it did make me think of this para in last week's interims from SLFR and the need for "free rein".

In posing the question: “How is the realisation proceeding?” it is worth recalling the background. With effect from 31 December 2020, the current Directors constituted a majority of the Board and from that point Brett Miller then had free rein to really work with the portfolio manager initially and then subsequently with the consultants and employee on running off the portfolio and returning cash to shareholders

(pg9)