G.R.(Hldgs) Share Discussion Threads

[dell314] 02/6/2006 09:53

tob - excellent post!

Rgds
dell

[tiredoldbroker] 02/6/2006 09:06

Simontemplar, no haughtiness on my part, and no 200% rise for you yesterday either, I'm afraid to say. A 200% rise would mean the price had trebled. You stated that you thought I was wrong about there being a difference between an xd date and a record date, and I put you right, Sorry if that puts your nose out of joint.

Oh, and there are further fundamentals you maybe should have checked out. With about 13.17m ordinary shares in issue, the dividend of 72.1p per share they've just paid will cost about £9.49m, while at the time of the last figures, they had apparent cash of £12m, leaving them maybe £2.5m. But they also have Preference shares in issue, about £1.5m nominal as I recall, with a whopping 10.5% coupon (interest rate). In case you don't know, if they do decide to wind up the company, they have to pay off the Pref holders before the ordinary shareholders get anything else. If they are lucky, they may be able to pay them off at par (£1); if not, with such a high coupon, they may have to offer way over the £1 face value to get the Pref holders to accept repayment. At best, this leaves £1m for the ordinary shareholders. If they keep the company going, with or without a quote, the burden of paying the Pref dividend will make a big hole in what the remaining cash is worth.

Now, even at 20p (and I suspect you paid a fair bit more than that for your shares), the Ordinary shares had a market value of £2.6m, at 40p that's a staggering £5.2m, which just doesn't look right compared to the cash they are entitled to. You can't just ignore the Preference shares, the holders rank ahead of the Ordinary shareholders in law and in any winding-up, and may even have the right to challenge any further moves by the company to pay out cash, if they feel it endangers the security of their investment.

Meanwhile the ongoing businesses of G.R. - Morland sheepskins and some property dealing in the USA) made a half year loss of £190,000 on turnover of barely half a million.

Simontemplar, you may choose to edit your earlier comments in an attempt to hide your original idea and intentions, but you are really only fooling yourself. A little research is often a good idea.

[simontemplar] 01/6/2006 20:54

It doesn't really make any difference. The stock was still tightly held and at least when I bought it was trading at a big discount to cash after having taken into account the dividend.

[ntv] 01/6/2006 20:47

st
hate to disappoint you but you can sell as soon as a share is quoted xd .you do not have to wait for the record date to be entitled to receive the dividend
some cash shells go to unbelievable premiums oto nett cash and others sit at discounts
it just depends how the shareholders value a particular company

[tiredoldbroker] 01/6/2006 18:49

dell314, I imagine that there may be other people who haven't understood the difference between xd date and record date, or who imagine that it will have some sort of exciting future. But with the directors owning 91%, and seemingly having given up on looking for an acquisition, I suspect that this is just going to be another stock where little punters get it a bit wrong.

[wiganer] 01/6/2006 15:56

It does look most bizarre, especially when you compare it to the experience of other businesses that have done the special dividend thing, where normally if anything there is an overshoot of share price below difference between market cap and special divi. TGM being a good example.

[dell314] 01/6/2006 15:52

Have I missed something obvious here?
Why have people been chasing this back up today?

What's left after the special divi payout doesn't look to be worth anywhere near the £6.6mln mkt cap at current share price Also, they look quite keen to delist....

Most bizarre!

All IMHO, DYOR etc.

Rgds
dell

[vision88] 31/5/2006 12:58

the x factor on to night

[wiganer] 31/5/2006 11:42

I think we've just disproved the efficient markets hypothesis...

[tiredoldbroker] 31/5/2006 11:06

simontemplar, I am a retired stockbroker, I do know what I am talking about. The XD Date is different from the Record Date. If you need convincing, click on the Financials button at the top of this page, for the data on GR Holdings; scroll down to the section headed "Dividends", and read across from the announcement dated 23 May to the column headed "Ex Date", where it will say 31 May. So from today onwards, you are buying the stock "Ex", (i.e.'without rights to') the special dividend to be paid on 30 June.

That's not the definition of a punt.

[simontemplar] 31/5/2006 10:57

If you're right I've lost a few hundred quid and if you're wrong I'm made a few! As simple as.

[tiredoldbroker] 31/5/2006 10:53

simontemplar, do you mean you're not convinced that buying today means you won't get the dividend ? or that you're not convinced it won't end up being de-listed ?

[tiredoldbroker] 31/5/2006 10:53

simontemplar, do you mean you're not convinced that buying today means you won't get the dividend ? or that you're not convinced it won't end up being de-listed ?

[simontemplar] 31/5/2006 10:48

I'm in for a few. If tiredoldbroker is correct then I've lost a bit of cash but I'm still not convinced. We shall see!!

[tiredoldbroker] 31/5/2006 09:47

Yes. either someone doesn't understand the situation or it is being ramped somewhere. Probability is the Board will de-list it next.

[double6] 31/5/2006 09:36

So - possibly de-listing - share price 85p previously - special dividend 71p - current share price = 39.35p - LOL!

[inod] 31/5/2006 09:25

it's gone xd

[inod] 31/5/2006 09:25

it's gone xd

[c0nn0r] 31/5/2006 09:24

So, if the share has gone XD and you buy you will not be entitled to the special div. That would seem to be the case this morning. IMHO.

[davidlloyd] 31/5/2006 09:03

When do you have to have bought to be on the register at 2nd June?? THink that would explain it.....

[encarter] 31/5/2006 08:35

THIS CAN'T BE RIGHT?

"The Board has pleasure in declaring a Special dividend, of 72.1p for the year
ending 30 June 2006 on the ordinary shares of the company. This will be paid on
30 June 2006 to those shareholders on the Register of Members at close of
business on 2 June 2006."

It's only 31st May???????????????? and the price has bombed

[still waiting] 31/1/2005 22:24

Nice for those already in... Well Done.