Hydrogenone Capital Growth Share Discussion Threads

[amt] 11/12/2024 17:02

They should have a lot of expertise now on board

[amt] 11/12/2024 16:56

Why did they say to continue to create shareholder value. So far all that's happened is a massive diminution in shareholder value. Its been catastrophic, down from 1 quid to 24p

[amt] 11/12/2024 16:54

Perhaps save on overheads. Now the investments have been made, do they really need more than one person to look after the portfolio ?
Amazing they didn't address the huge discount.

[kooba] 11/12/2024 11:43

Well the short notice investor call was a waste of time..i asked three questions and none of them answered.A/ does the new owner of the manager have a solution to the over 70% discount to nav the company trades at ?B/ will the high fees be reduced since all the funds have been deployed?C/ has the been any change in valuation methodology since the write off of HH2E?Only cherry picked easy questions and blabbed on about now is the time to scale up investment...with what exactly. HGEN is a close end fund that is trading at a huge discount to NAV how are they going to get funds into this structure to make new investments?They cant issue paper down here as it would crush the nav per share..so we will sit and wait until they can find exits...then there is no point in reinvesting ..clearly the market values £1 invested in hydrogen assets at less than 30p right now ...so the best use of excess funds would be share buybacks or even a tender...but that shrinks AUM. So they are conflicted as they earn money from their adjudged valuation of the portfolio not from how the market values it.Shares down again after the "exciting and important" news...for who exactly??

[kooba] 11/12/2024 07:30

Seems the investment managers are looking after themselves after what has been a dreadful share price performance. As to what benefits feed down to shareholders from this acquisition is unclear ..they have spent all the funds and are now reliant on the underlying performance and valuations of investments already made.it is now somewhat of a passive role ! Having sold an investment to pay the managers fees for a year or so it appears they are more focused on their returns rather than their shareholders.

[livewireplus] 11/12/2024 07:22

RNS out: HydrogenOne Capital Growth PLC Investment Adviser acquisition by Cordiant

[cc2014] 04/12/2024 10:34

I suggest it reflects Gresham House optimistic valuation methodology

NESF have managed to sell 3 assets at NAV with the latest one 27% above NAV and SEIT managed to sell 1 at NAV.

So, a reflection on the fund manager.

[pj84] 03/12/2024 21:19

Not sure whether this might have something to do with today's further falls



but if it does, I would have thought the current discount already more than compensates for it and I haven't seen any further negative news affecting other HGEN holdings but there is a new interview with the chief strategy officer of Cranfield Aerospace Solutions.

[pj84] 28/11/2024 16:49

The M&A process will begin with an initial exchange of information with potential bidders, several of whom have already expressed interest following recent press coverage.

[pj84] 28/11/2024 16:38

"With Earnest & Young, HH2E plans for the M&A process to start with exchanging information with potential investment bidders, and eventually conclude with submissions of indicative offers.

A shortlist of the most competitive bids will be finalised, with the process hoped to be concluded by the end of January 2025."

It would be good if something is concluded by the end of January 25.

(I suspect Earnest is a typo or translational error and should be Ernst & Young)

[golden prospect] 25/11/2024 18:05

Written by Global Cement staff, 22 November 2024



Interest clearly to HiiROC Limited, 2nd largest investment for HGEN

[kooba] 25/11/2024 16:33

Price cant get a foothold..looks like folks have lost faith in the valuations ...might buy a few but there appears no hurry.Very disappointing. Nice that they raised enough from an asset sale to pay there management fees...perhaps management fees should be set relative to market valuation rather than the assets they say are there??

[pj84] 20/11/2024 09:46

Nice update on Sunfire



The ADVFN buys and sells have been very misleading over recent days I topped up yesterday at at 24.204 and the spread has been much narrower than indicated and currently you can sell at about 24.2 and buy around 24.7 or above so there are more buys than it appears.

[pj84] 18/11/2024 09:03

There is no significance to the change of registered office, as I have had the same notification on another completely unrelated share I hold and I am sure there will be lots of others and it looks like a company managing virtual registered office addresses has moved.

[31337 c0d3r] 16/11/2024 18:34

Worth keeping in mind that institutions don't need to declare changes to holdings once they've reported being below 5%.

[pj84] 16/11/2024 16:28

I have been looking at the major investors.

On p.60 of the last full year’s accounts is a list of 5 investors holding more than 3% at 17 April 2024.

Ineos …19.4%
Rathbones … 10.99%
City of Bradford … 6.6%
Stichting Juridisch … 4.69%
F S Wealth … 3.42%

At the time the top 5 investors held 45.1%

Looking at the RNS’s since 17 April 24 Rathbones reduced by 1% to 9.99% on 10 June and City of Bradford increased by 0.41% to 7.01% on 18 June 24 and I can’t see any other major holdings RNS’s since 17 April 24, so it looks like the top 5 investors still hold 44.51% of the total shares.

They will all be nursing significant unrealised losses and lets hope that some of them (Ineos in particular) will be applying pressure for the managing partners to press ahead and realise one of the other holdings at, at least close to NAV, if not a premium.

[pj84] 14/11/2024 19:07

Yes, monetising one of the other investments is key to restoring shareholder value.

Understandably the managing partners are always optimistic on the prospects and the following must be taken with a pinch of salt, but in the Q & A last week Richard Hulf, when asked whether after the Gen 2 sale, that was it for 24, replied, “this is it for now, but we haven’t finished 24 yet.” And JJ Traynor when asked, have you any other asset sales planned? Answered “yes, that’s our business model.”

I am always wary of catching a falling knife but will be tempted to top up when it looks like it has finally reached the bottom, as the current price is virtually pricing insolvency for the majority of the holdings.

[kooba] 14/11/2024 15:56

Oh well maybe the write off of the holding wasn't expected by all !! So we move to a 73% discount to remaining nav of 92p.Dead for a while i guess until they can monetise something meaningful.

[confused _gerbill] 14/11/2024 14:42

pj84. Ah yea I was trying on the App while I was out, Much obliged!!

[pj84] 14/11/2024 13:15

I can at the moment but previously I found I couldn't get quotes using the app but I could by logging in to my account on my PC.

[confused _gerbill] 14/11/2024 13:03

Anyone else having trouble buying or selling this on HL? I can get quotes on Fidelity and ii but my top up money is in my HL ISA!

[kooba] 14/11/2024 10:29

True and it looks like that was already discounted by the market. Question might be here whether an activist steps in and tries to extract value by trying to force a sale of assets ..its not as messy as all that as the holdings are concentrated so doable? It's a while till first continuation vote though.."HydrogenOne Capital Growth's continuation clause states that the company's directors must propose a resolution at each fifth Annual General Meeting (AGM) to continue the company's business. The first proposal must be made at the 2026 AGM"But with assets now at about £120m and valuation at £35m i would imagine that it might get some attention soon enough ..also the management fees and admin costs relative to valuation looks wrong with an ongoing charges ratio of over 2.5% that seems steep even for PE asset management.

[pj84] 14/11/2024 09:46

For now at least HGEN's working assumption is the NAV is now about 92p and they are not expecting to recover anything from HH2E.

[craigso] 13/11/2024 09:19

I suppose that receiving an EU grant is good news.

But it's a terrible time to remind the market that an investment making up 18% of NAV requires EU grants to scale up...