Henderson Pr Share Discussion Threads

[spectoacc] 21/12/2011 13:21

Still awaiting the cash from Selftrade, though always takes time.

Looking forward to one more good year of HPEQ ownership; in theory the share price should tick up as anticipated final payment date gets closer (but it'll probably take disposal/redemption news).

[alanji] 19/12/2011 11:57

badtime
my account now showing tendered shares separately. Prices seem OK

[badtime] 19/12/2011 10:23

my sippdeal accounts still not showing just the balance..and most share price 's wrong hmm

[spectoacc] 19/12/2011 10:11

Selftrade appear to have got me even more than that, though they rarely get these things correct at the first attempt.

[alanji] 19/12/2011 10:03

Balance of shares now in my account and available to sell. Cash proceeds not yet received.
It looks like tender was accepted for 22.9% of my holding.

[badtime] 16/12/2011 20:56

Nice to c a couple of buys today

[spectoacc] 14/12/2011 20:45

Excellent, so 22.7% of tendered shares at 377p? Wasn't expecting an extra 5%.

[badtime] 14/12/2011 18:37

happy enuff...maybe i shud top up with som LMS now..providing i don't hav to pay the close of day offer price!

[skyship] 14/12/2011 17:18

Tender Offer results:

[spectoacc] 13/12/2011 11:50

@Alan - don't forget the NAV figure includes the manager's adjustment for likely profit/loss on disposal (a loss). And as far as I can ascertain, most of what's left is being held to redemption, meaning little or no actual discounts on estimated value.

Also the recent FTSE swings and Euro mess haven't affected the NAV at all - in fact it has risen. That gives me some confidence that HPEQ like to under-promise and over-deliver and that there's some leeway in the guesstimate of NAV. I strongly fancy around £3.77 return for the rest of the co (though probably not for a year).

[alanji] 13/12/2011 11:45

Agreed, Specto, there are several different aspects involved and I am certainly not considering selling at current levels (maybe some top slicing as I am a bit top heavy). Taking a post tender nav of 401, average pay back date of Oct 2012 and share price of 320 would give a return of 24% A 10% reduction in nav would give an 11% yield and a fall of 20% would mean a loss (figures after incentive fees).
There are no borrowings disposals so far have been at 113% of last book value. Negatives (for me) are we do not know how asset values have been calculated, the 'good' assets may have been sold first and there is the economic turmoil.
I think I might be tempted if the price rises above 350p.
badtime - it is the only blue in my current portfolio with an average cost of 295 (real cost 177 as I sold and bought back earlier this year).

[spectoacc] 13/12/2011 10:46

Fair point @Alan; there's perhaps a calculation to be done regarding the share price rise on the original announcement, vs the 17.5% back at 377p, vs the 20p rise in NAV recently reported, vs the slight rise in NAV post-buyback.

I find it easier to think what we'll have left - £4-ish NAV, with a likely 12 month return at probably again around £3.77 post-incentives. I can't see any reason to sell at £3.20-ish on that, though some might.

[badtime] 13/12/2011 10:28

ye i know what u mean alan..but for me even a drift back to 300p say would b fine

[alanji] 13/12/2011 10:17

I will be very pleasantly surprised if that is the case. And I agree the nav will slightly increase to 401p following the tender.
However, if there is not going to be much change in the sp, why were buyers not piling in last week? I did - well not exactly 'pile' but bought what I could afford. Then again, maybe it was 'piling' (for this stock, anyway) as the share price rose from 307.5 to 318.5

[spectoacc] 13/12/2011 09:36

Thanks @badtime.

[badtime] 12/12/2011 19:51

Thats how i c it too spec

[spectoacc] 12/12/2011 17:39

@AlanJI - my understanding is that there'll be little to no effect on the s/p, that the shares tendered will either be cancelled immediately, or go to Treasury (ie the remaining shareholders own the co that owns the 17.5%, if that makes sense).

You could argue that the 82.5% of the co that remains has a lower proportion of its NAV in cash; also that the buy-back of the 17.5% was at a chunky premium to the s/p. But it was also at a 5% discount to NAV itself, though granted that that represents an accrual for likely incentive payments.

So a co with an share price of £3.18, and a £3.98/share NAV, cancels 17.5% of shares in issue at a buy-in price of £3.77. The NAV of the remaining shares will rise slightly, on a per-share basis, notwithstanding that the remaining NAV may be seen as more risky. If it was a capital return (eg 50p/share) then it would be very different.

Open to debate on this.

[alanji] 12/12/2011 16:59

So, tender offer now closed but what is, effectively, the x-date?

Today - Record Date for Initial Tender Offer close of business on 12 December

Thursday - Result of Initial Tender Offer and Tender Price announced by close of business on 15 December

next week - CREST accounts credited with Initial Tender Offer consideration and any unsold uncertificated Shares week commencing 19 December

The price has not dropped today and there have been no transactions so maybe nearly all shareholders tendered 100% and have none available for dealing. Perhaps we should have tendered the 17.5% and sold the balance today?

As most shareholders will not be able to trade until they receive the balance of their shares sometime next week I guess we will not really see what the likely post tender share price settles at, until after then.

[skyship] 11/12/2011 17:30

I have started a Private Equity thread ("PE"):



I do hope that readers will bookmark this new thread and share their knowledge and expertise over there from time to time.

[badtime] 08/12/2011 09:54

It's sorted.....even allowing for my top up the amount wasn't right lol

[alanji] 08/12/2011 09:53

badtime - I suspect it is the t+3 problem but you should be able to sort it on the phone. I understand the only time there might be a problem is where Sippdeal clients hold no (or insufficient) settled stock in a particular security and someone buys with within 3 days of the cutoff date. Even then they say they will ask the mm to make the election, provided he has sufficient stock.
In future, to make sure, I would telephone to check before buying any stock within, say, one week of the xdate. I think it is only a problem with tenders as the election can only be made on delivered stock (hence the T+3 problem). Not sure about rights issues, though. Dividend xdate is not a problem.
Perhaps Tilts or another expert can confirm.

[badtime] 08/12/2011 09:02

Yes I will b .....unfortunately there secure message didn't include all my holdings.....so will b on the phone to them shortly

[alanji] 08/12/2011 08:06

Glad it worked out badtime. Not likely to be much at stake this time but could be important for the future.
Presumably you will be tendering all of your shares?

[badtime] 07/12/2011 18:13

Thanks for that Alan ...they even rang me up as well as sending a secure message.