Dunedin Enterprise Inves... Share Discussion Threads

[pvb] 18/2/2016 20:10

Just noticed this.

"In anticipation of the sale of CitySprint, the Board reviewed Dunedin Enterprise's investment strategy and has concluded, following consultation with major shareholders, that it would be in the interests of shareholders as a whole to conduct a managed wind down of the Company. Accordingly, the Board intends to seek shareholder approval for the new strategy at the Annual General Meeting, which will be held in May 2016."

So bang goes another one. It seems to be all the rage these days, for some reason.

[jhan66] 18/2/2016 17:29

Results due in one month hopefully including a chunky special dividend now.
I doubled up on this a few months ago after positive noises from the board and following the demise of a Parcel carrier rival. The fall was exasperating but I'm glad I stuck with it.

[strathroyal] 18/2/2016 17:29

BT - where did you get your NAV from? Morningstar has it at £5.15 and that is before today's transaction, which should take it towards £5.30.

[bit thick] 18/2/2016 16:46

Interesting, I'm thinking of selling to get out with a small loss. Maybe I should hang on asset value is around 430, i'd love to get that!!

[pvb] 18/2/2016 16:40

WTF? So has City Sprint come good?

Apparently:



We are not used to +14% in a day with this one!

[strathroyal] 18/2/2016 15:55

Had been considering buying these for sometime but put off by City Sprint's valuation/percentage of the fund in view of the industry it was in. Therefore this news is very welcome and I have invested today.

[skyship] 05/10/2015 16:48

EDISON research piece on DNE:

[topvest] 17/9/2015 09:58

Doubled up on these today. Management are under pressure to deliver on a juicy disposal - portfolio does look of reasonable quality and so they have to have a fair chance of getting a good deal done and reverse some of the recent under-performance. The large discount helps!

[jaws6] 22/7/2015 15:53

nice to see back up to 355

[rambutan2] 12/6/2015 09:56

Or perhaps L&G are a seller - wouldn't blame them for running out of patience...

[skyship] 12/6/2015 09:28

The Scottish aspect may have something to do with the sentiment here...

[pvb] 11/6/2015 18:30

320p close.

That is the price level of 3 years ago in 2012. There is not much yield to write home about. This seems to have morphed into a dreadful investment over the last few years.

[skyship] 23/3/2015 07:34

At least CDI became an obvious sale as the oil price collapsed. Now down at c320p they could well be oversold. Not prepared to take a chance on either at the moment...

[topvest] 22/3/2015 19:46

Yes, agreed this and Candover Investments have done poorly. Most of the rest have done well.

[skyship] 22/3/2015 17:58

Pretty rubbish performance from DNE last year. I suspect they earn the wooden spoon for the sector:
==============================================================================

"The net asset value per share as at 31 December 2014 was 510.6p, after allowing for last year's final dividend of 16.5p, resulting in a total return to shareholders of -0.4%. The share price total return over the same period was -15.8%. At the time of writing the share price is 342p, representing a discount of 33% to the net asset value per share.

The fall in the share price is disappointing. This has led to a wide discount to net asset value and is largely a reflection of the poor recent performance of the Trust.

A final dividend of 4.7p is proposed at a cost of GBP1.0m, which is payable on 22 May 2015 following the AGM. A reduced dividend is proposed this year due to a lower level of income generated from realisations."

[jaws6] 31/12/2014 07:44

just for info from DNE
hxxp://www.moneyobserver.com/opinion/how-private-equity-investors-add-value

[skyship] 29/12/2014 12:30

With the demise of CityLink. the valuation of CitySprint has to be a concern here - as per my P.No.27 on 31st October.

Either they will prove a major beneficiary of the CityLink demise, or the valuation will have to be reassessed...

[deepvalueinvestor] 17/11/2014 23:29

I keep buying but yes we need to see a bit more support before the Chartists push it higher again.

[skyship] 14/11/2014 11:05

Hm - didn't bounce on the uptrend. Not going as anticipated so cut my losses already; don't want to hang around and risk further falls.

[skyship] 02/11/2014 13:57

DVI - Glad to read we are in agreement here & thanks for the heads-up on the imminent NAV update - that should hopefully allay my fears on the Citysprint valuation.

Given the all-clear on that front, I'm looking for a 15% combined income and capital gain return here over the next year...

[deepvalueinvestor] 02/11/2014 08:03

SkyShip, after focusing on JPEL in recent years, I'm now looking at buying back DNE ahead of nav update on Thursday. I'm not expecting major changes. It won't get wound up for at least 3 years as they are only 2 years into a 5 year cycle of investing into the underlying Dunedin fund. Management fee is on the original cost of investment (£105m) rather than the current value (£94m) but on a three year view I now see modest upside, which suits my more cautious outlook on all asset classes. As you say, some income and another tender at the end of 2015 looks likely.

[jaws6] 31/10/2014 11:13

Thanks for info.

[skyship] 31/10/2014 10:43

My thoughts on DNE

I think the recent 10% fall may be down to one technical aspect and one fundamental aspect:

# FUNDAMENTAL:
16% of the portfolio is represented by the holding in Citysprint. They operate in an increasingly competitive sector; so I hope their valuation can be sustained.

# TECHNICAL:
As can be seen from the charts below, the 400p level provided critical support. Once that level broke it quickly dropped 5%, then rallied back to the breakline (a very typical chart move) before dropping away to the current level which is bang on the 2009/14 uptrend.

SUMMARY:
At this level the yield is 4.5% and the NAV discount is much higher than peers at 27.7%. There is also the benefit of an occasional small tender. The obvious value suggests to me that the uptrend will hold.

IMO DNE is clearly too small to continue operating in the sector. They should hold a Strategic Review and opt for liquidation.


free stock charts from uk.advfn.com


free stock charts from uk.advfn.com