Duke Royalty Share Discussion Threads

[melody9999] 20/9/2021 18:18

Thanks to Egrid for drawing my attention to Intec. Having looked again at this, I think I am comfortable. 1 The Jul21 RNS suggested Intec had been trading for 5 years - so not a start up. 2 The initial funding was based on known revenues / profitability etc from Intec's investments. 3 The follow on funding is based on Intec investing in a business trading since 1996, and DUKE must have seen a proposal from Intec based on the financials of the business to be acquired. So I'm OK - but if you do not trust the DUKE management I can understand you would exit. GLAH

[piedro] 17/9/2021 16:27

FY2021 Financial Results Presentation September 2021 hTTps://www.dukeroyalty.com/wp-content/uploads/2021/09/FY21-Duke-Results-Presentation.pdf Recording of todays' web conference ... hTTps://presentations.investormeetcompany.com/investor-meet-company/DUKE-ROYALTY-LIMITED-Results-for-the-year-ending-30-June-2021?bmid=38b37123bfe8

[kadvfn1] 17/9/2021 08:50

Another article from ST https://www.investorschronicle.co.uk/ideas/2021/09/16/bargain-shares-a-royal-high-yielding-investment/

[piedro] 16/9/2021 09:56

No, but there is another one tomorrow by 'Investor Meet Company' - sorry no link

[kadvfn1] 16/9/2021 09:16

anyone got link to the webinar?

[piedro] 15/9/2021 10:55

A reminder ... RNS Number : 0742I Duke Royalty Limited 10 August 2021 Notice of Results and Analyst Presentation Duke Royalty, a provider of alternative capital solutions to a diversified range of profitable and long-established businesses in Europe and abroad, will announce its audited results for the year ending 30 June 2021 ("FY21") on Thursday 16 September 2021. Details of webinar for equity analysts There will be a webinar for equity analysts at 09:30am BST on Thursday 16 September 2021, hosted by Neil Johnson, CEO, and Hugo Evans, FD. Any equity analysts wishing to register should contact SEC Newgate at [e-mail] where further details will be provided.

[piedro] 07/9/2021 10:32

egrid1, sorry to see you go. In cases of disagreement I like ​to make contact with someone on the Board to get their point of view. We are part owners and should act accordingly.

[egrid1] 07/9/2021 09:20

More investment into InTec (in my last post I spoke of CreoTec - has it changed its name or did I use the wrong name last time?) Well I was not too happy about the last deal, and I am not too happy about a further 2.2M going into this new "follow on investment" - it appears that Duke has become the funding provider of a start up closed investment fund. With the partners in the investment fund taking a good deal of the profits and Duke taking the tisk on the funding of them. Who does the due diligence on the subsequent purchases by InTec as it requests funding for these deals from Duke? If both Duke and InTec then it seems that the job is being duplicated and an expensive way for Duke shareholders to invest in companies. I also don't like the lack of a track record for InTec - which is not in accordance with a key part of Dukes mission statement "Duke Royalty provides profitable, well-established SMEs with a long-term and flexible source of growth capital." InTec is not "well established". I had made a reasonable profit on Duke in the 14 months of ownership, but have sold out today.

[johnroger] 23/8/2021 16:48

A bit more excitement today with buyers paying up to 48p

[kadvfn1] 12/8/2021 09:20

ST just post about Duke so hopefully we'll see more action higher today

[piedro] 11/8/2021 16:11

carcosa, perhaps you would be good enough to explain. TIA

[carcosa] 11/8/2021 12:36

FCS it's not ambiguous. It's clear as day.

[piedro] 11/8/2021 12:12

I'm back looking for clarity. The statement ... "At closing, Duke received back net cash of £6.9 million, delivering an IRR of 29.4%" ... is ambiguous. Do they mean that on exit they have been paid £6.9m or that the £6.9m includes the monthly payments (which I calculate at c.£1.7m) ?

[melody9999] 02/8/2021 22:46

egrid - yeah I think we need more clarity on aspects of the deal. Whilst I am confident DUKE will have covered the ground, it is a slightly different arrangement. The 18.75% equity stake could prove valuable on top of the monthly royalty payments.

[piedro] 02/8/2021 13:36

Hello, I am trying to get my spreadsheet of monthly payments up to date. In May 2020 forbearance agreements were made with 5 of companies. Of these we have been updated for Temarca, United Glass and Pearl & Dean but I have no information for the situation of neither Trimite nor Interhealth Canada. Can anyone help? TIA. Piedro

[egrid1] 02/8/2021 11:27

As a holder of Duke, I am struggling to understand this latest deal. It seems to me that effectively, Duke has delegated the role they play, to a third party. The money has been provided to Creō-Tech for them to go out and find their own deals in the way that Duke is supposed to do. Ok, so we know what the first two deals are, and no doubt due diligence could be carried out against those two companies... is the loan ring-fenced against those deals, or can Creō-Tech borrow from third parties and invest in further deals, affectively diluting the relevance of the first two deals? If, as stated above, Canadians invented the model, why did they need to come to the UK to arrange such financing? Has Duke stole the business from under the noses of the Canadians, or did the Canadians turn their noses up to such a deal? While the companies that have been invested in by Creō-Tech are established, the holding company and its management is not. How can it be shown that the managers of the holding company have the ability and strategy to perform and manage the holdings in their company long term? It seems to me that in lending to a company with no track record, Duke has gone against the first point that they note in their mission statement: "Duke Royalty provides profitable, well-established SMEs with a long-term and flexible source of growth capital." Have I misunderstood this deal?

[btgman] 02/8/2021 11:07

This is now pointing to an increase in dividends for the next quarter. Duke are doing exactly what they set out to do. They have a good track record with their investments AIMHO GLA BTG

[igbertsponk] 02/8/2021 10:31

Canadians invented the business. Neil learnt the trade there and came to UK to replicate. Quite amusing he's now gone back there to steal deals from the established operators!

[melody9999] 02/8/2021 10:28

Creo - given Neil Johnson is Canadian, I suspect he likely knows these guys very well. Worth asking the question when we get chance. Whilst Creo is a new holding company, I note the 1st 2 acquisitions have "longstanding operations and predictable revenue streams". So whilst I'm always concerned that EPC companies can suffer losses on projects, the 2 acquisitions have been trading for 18 and 25 years.

[carcosa] 26/7/2021 08:01

Seems to me they are only 5% short of total contracted income. Excellent news. The £3.2m also assumes no further business in Q2; which seems somewhat unlikely. Good progress.

[bwm2] 26/7/2021 07:27

Excellent trading update particularly of Q2 prediction and pipeline

[bwm2] 22/7/2021 20:45

This holding is one to lock up and forget, but.... it is getting interesting and I am enjoying the Journey

[swiss paul] 22/7/2021 19:47

Nope cos not everyone is tuned it at that time and sometimes it does not show BTG - have a rec

[piedro] 22/7/2021 11:59

btgman, I think that the majority of investors interested in DUKE would have read the RNS at 7:00 a.m. this morning. Repeating it at 8:51 only clogs up the thread. AIMHO.

[carcosa] 22/7/2021 09:41

So this £3.7m short of expectations but I guess they are hoping to make up for that in follow on investments. If DUKE signs up the Agreement with Canadian Engineering company before end of month then that will make a nice end for the month SP of 50p? Max you can reasonably expect is x1.4 NAV IMO. Hope you are right though