Impax Asset Management Share Discussion Threads

[rambutan2] 15/3/2006 12:26

means potentially more fum...

IMPAX ENVIRONMENTAL MARKETS PLC - RESULT OF EXTRAORDINARY GENERAL
MEETING

Further to the announcement of 20 February 2006, the Board of
Directors announces that, at an Extraordinary General Meeting of the
Company held earlier today, shareholder approval was given to the
resolutions granting the directors of the Company authority to allot
relevant securities and disapplying pre-emption rights in respect of
any allotment of equity securities made pursuant to that authority.

Application has been made to the UK Listing Authority and to the
London Stock Exchange for the block listing of 7,047,390 Ordinary
Shares of 10 pence each in the Company. The Company may issue any or
all of these shares for cash from time to time subject to guidelines
produced by the Board and provided always that no such issue will be
made at prices below the then prevailing net asset value per Ordinary
Share.

[robsy2] 07/3/2006 16:01

Yes just noticed that when I got my copy today. It can only help things along.
The word is getting out.
Robsy

[charmer1_23] 03/3/2006 17:15

Tipped in I.C today, chart moving in the right direction. ;--))

[robsy2] 26/1/2006 09:02

HI Grim
Do you know what the details are . What do you get the right to if you buy them at 96p?
Robsy

[grim] 25/1/2006 21:20

Message for Mr Robsy2.

IEM warrants are excercisable at 96p until 15/6/2010.

regards,
GR

[russianlinesman] 20/1/2006 14:49

why are the cnvs spread out across a few years? I thought they were only convertible one more time in 2006 - they are redeemable later than that, but the next chance is I think the last chance to convert.

[rambutan2] 19/1/2006 23:44

hi russian, yes the cnvs are pretty dilutive, but are spread out over a few years and im happy to accomodate them.

from 9 jan onwards there has been plenty of big trades in what i read as a bout of institutional reshuffling. also been a few announcements of share reductions but none of increases or new substantial holders as yet. price has stayed fairly sold though. bodes well imho.

re iem, another £4m of assets to earn our 1% on...

Impax Environmental Markets plc

The Company announces that it has today issued 3,995,000 ordinary
shares in the Company for cash at a price of 98.0 pence per share.

The number of shares in the above class following the issue of these
shares is 119,544,454.

[russianlinesman] 10/1/2006 16:07

hi ram

I have reduced my stake to a quite small one now that I have looked more closely at the convertible loan out there. Basically it effectively the same as raising 2.5mil Pounds at 4.5p and is therefore going to cause great dilution (approx 50% of the company will go to the convertible holders). I expect some of these shares will flow back into the market come June, thereby depressing the price down to maybe 10p again.

[rambutan2] 10/1/2006 13:56

these creeping on on instit activity.

[robsy2] 16/12/2005 20:25

On she goes!
The solid graft is going in and its looking good. I'll put this down as my interfamily( just me and my brother)best stock market tip of the year for 2006 as well as 2005!
happy Xmas from Bcn
Robsy 2

[rambutan2] 25/11/2005 17:02

noted a 500,000 buy today at 11p.

[rambutan2] 23/11/2005 02:10

not very generous...
The Majedie Asset Management business has had another strong year with assets
under management increasing from £884 million at the start of the year to
£2.3 billion by the end. As already reported, during the year the business generated a net profit of £2.1m - this compares with a loss of £0.6m in 2004. Majedie Asset Management now has 15 employees and this August moved into new offices at One Carey Lane.

As profitability has increased so your Company's shareholding has reduced in
line with pre-agreed targets - this year from 65% to 55%. The Board has
assessed the value of the Company's investment as at 30 September 2005 as
£10.1m and this is included in the Company Balance Sheet. However, as Majedie
Asset Management Limited is a consolidated subsidiary, this value is not
reflected in the Group Balance Sheet.

[russianlinesman] 21/11/2005 10:16

50k buy at 12p again this am - seems still hard to buy at the 'quoted' market price anything more than 10k.

found the attached....

Investors show confidence in renewables (14 November 2005)

An investment company dedicated to environmental markets has more than doubled its backing for renewable energy as global confidence in eco-friendly technology surges.

As reported by edie last week, investment in renewables is at an all global high of US$30 billion (see see related story).

Now eco-financiers Impax Group plc has announced it has raised a further £60 million for investment in renewable energy and other environmental markets to add to its existing pot of £45 million.

The extra investment reflects a growing interest in eco-technology as renewables and water management innovations are seen as less of a gamble and move towards acceptance into the mainstream fold.

Keith Falconer, chairman, Impax, said: "This fund-raising confirms investor appetite for high growth stocks in the renewable energy, water, waste and other environmental markets.

"It reinforces Impax Group's position as the leading AIM-listed environmental investment manager."

Ian Simm, chief executive of the group added: "Our fund-raising shows that mainstream investors are increasingly aware of the growth opportunities in environmental markets and of our ability to seize these opportunities on their behalf.

"Renewable energy and other environmental companies are rapidly increasing shareholder value because of rising demand for the solutions they provide."

By Sam Bond

[robsy2] 14/11/2005 15:35

Thanks Rambutan
So applying the ratio, we have the 220 million they have under management at 5% gives 11 million.I am not sure how many shares are issued at present and prefer to work on the fully diluted basis, assuming the convertable is converted and the share scheme is fully awarded.
On that basis there would be around 110 million shares in issue by december 2007.
For the share scheme to award the share price will have to reach 14-15p this means a market cap of 16.5 million and funds under management of 330 million compared to 220 million now.
This looks do-able because they are expanding aggressively,funds undermanagement have tripled in the last year, they have other funds that they can expand and the funds themselves should grow organically as well.
Their specialisation could mean a lower cost model and that combined with the growth factor menas that the company gets a premium rating.
Another point in favour is that the above scenario doesn't take into account earnings from two other sources , firstly the corporate finance side, which did a million pounds of turnover in the year ended 30.9.04 and secondly the residual revenue from the sale of oil assets 2 years ago which will bring in a total income of US$5.45 million between now and 2011. The loan notes produce a minimum amount receivable in 2005 of 132,000 pounds.
Add the fact that they won't be paying taxes for a while as they use up tax losses brought forward and you have a lot of upside on the share price.
Say an extra 10 million on the market cap to cover the average cash receipt on the loan notes plus the income from corporate finance and you have a potential share price of 24p.
Over to you guys
Robsy

[rambutan2] 14/11/2005 14:18

raised £60m - which fair result...



re fum valuation, here's one i came across today...
The one unquoted equity, Lindsell Train Ltd., continues to make progress reflected by a rise in funds under management ('FUM') to £240m from £187m at the end of March. Profitability has improved especially as these additional FUM incur few extra administration costs. In June 2005, following a review of market valuations of similar businesses, the Directors refined the FUM iteration of the valuation formula by reducing it to 2% from 2.5% on the proportion of Lindsell Train's FUM not subject to performance fees. Those funds that are able to earn performance fees continue to be valued at 5% of FUM.


and another...
The formula of picking the stars has worked. With Jonathan Hughes-Morgan, his co-founder, Porter has won a flood of money from those who advise the world's wealthy. Today they look after $7.25 billion (£4.2 billion) in conventional funds and hedge funds.

Thames River has grown in leaps, spilling out from a Georgian townhouse in Berkeley Square into two mews houses behind. Porter has his eye on another as the headcount rises above 80.

It has brought big rewards. The founders, along with Sir John Beckwith, the property magnate and sleeping partner, own around half the business, which is probably worth £200 million or more (ie 5%ish of FUM).

however, TR is big into performance fees and some of its hedge funds earn hefty ones. likewise, LTI values FUM at 5% with performance fees, but 2% without. The IPX funds don't earn performance fees.

[robsy2] 13/11/2005 12:05

Nice posts.I think you've covered most of the main points in the story.
AS you will know from previous posts I am bullish. This share has been kind to me so far but I am a firm buyer at this level,as the story unfolds the dissapointments of the past are stripped away and people will wake up to this company.
The word is beginning to get out.News flow should be pretty positive from now on so we should see some upside in the share price
I don't really have much idea of how fund managemnnt companies are valued so am looking forward to hearing more from you guys about how IPX could be valued compared to the sector.
I can see a rosy couple of years ahead and frankly the see the possibility of it being taken over on the cheap, as more of a threat than anything.
Have a a nice day
Robsy

[rambutan2] 12/11/2005 20:37

hi russian, a quick response. im v surprised that new star managed a valuation of 4.6% of fum. seems a bit toppy to me. i'd thought about 3.5% was as good as it got. although being successfull in a growing specialist niche (ie ipx) would presumably deserve a top value. hmmm, i will have to do some checking.

re consulting. i believe that they've pretty much given up on that for the time being as least - the main man is away working for the govt for a few months.

like you, i am sure that whichever way you look at it ipx offers a v interesting play on a long-term growth area of the mkt, and that one way or the other it will reward buyers at the current price.

[russianlinesman] 12/11/2005 09:29

Well, RNS re the fund expansion, coming on Monday.

My calcualtions for Impax are as follows (all rough without aid of calculator but not so important).

Funds under management (today) of approx 138mil - value at 4.5% of funds managed - New Star is listing at 4.6% and I don't see given Impax's niche sector any great reason for a lower valuation (though I admit I could do with some comparisons). Gives market cap of say 6.5mil

Say funds raised of 60mil, giving total funds under amnagement of 200m, gives market cap of 9mil.

Employees of Impax will get approx 20% of the company if they meet targets as follows - 9.5p average share price for 60 days following 2005 results, 12p for 2006 and 14p for 2007. Assume for our purposes these are all met, so current market cap of approx 3.3m owns 80% of the company.

On current funds managed, value of 'our' 80% approx 5.4m, approx 14-15p per share.

On expanded funds managed, approx 7.4m (out of 9m) equates to maybe 18p per share.

Given also huge incentive for management to meet above share price targets, this is a company where management incentives really are aligned with improved shareholder value.

Small size of market cap also makes this a very cheap takeover target if anybody fancies the sector, which as a sector has to grow due to world economic, political and oil situation.

The consulting/development part of Impax could do with paying its own way, and query for now what value it adds, but given board changes earlier in the year Impax is now to be valued as a fund manager rather than a project developer, and the market hasn't really noticed, although the move from 6p to 10p was a move towards fair value.

Given growth of sector (e.g. IEM is trying to raise about 150% of its current fund size again, and should have no problem investing it), one can assume Impax will continue to raise more funds, maybe in 6-9 months time.

At 10p there seems to be very little downside, even if IEM doesn't make its 25mil bottom line fund-raising target (though share price would probably fall).

Also note that with the most recent new fund, that Impax will be nearly in profit, and the expansion of IEM will make it profitable, so dividends can also be expected by 2007 latest. And they have about 500k in the bank as I recall.

So that's why I have a big (for me) position in Impax.

Any thoughts? Am particularly interested in comparable funds under management sector valuations.

[rambutan2] 10/11/2005 11:33

morning russian,

i've got high hopes that it will be near the top end. at least mkt seems to have recovered its poise a bit recently.

[russianlinesman] 10/11/2005 11:29

morning ram

EGM is at 10am Monday morning so have been expecting first white smoke in form of an RNS on Monday morning. Will be interesting to see where in the range 25 to 80 mil they have ended up.

Am expecting share price to rise on Monday and certainly post results. Will keep my powder dry until then as I want to buy a few more and getting hold of this stock has been very difficult lately.

[rambutan2] 10/11/2005 10:54

supposed to be completed today. an extra £0.8m in fees is significant...

The Placing, which is conditional upon the matters described in the
appendix to this announcement and which will be carried out by
Dresdner Kleinwort Wasserstein Securities Limited ("Dresdner
Kleinwort Wasserstein" or the "Placing Agent") as placing agent on
behalf of the Company, is expected to be completed on 10 November
2005, with trading in the Shares expected to commence on 15 November
2005.

[robsy2] 08/11/2005 16:25

The placing referred to above ( post 67) is expected to go well so this is definitely positive.I have topped up already.The market is very thin in this stock any purchase seems to push the price up.
This is a company that has found it's niche and is going places.
Robsy

[robsy2] 22/10/2005 17:46

This is more good news. Looking at the statement the thing that cauhght my eye is the fact that the trust is trading at a premium to NAV, which is extraordinary and a clear indication of the pent-up demand for the investmnet proposal they offer. The share price has slipped back a bit, no idea why . I would have expected it to have increased on this news.

[rambutan2] 20/10/2005 20:24

note...
Expansion of existing listed fund

Impax Environmental Markets plc ('IEM'), the listed investment trust which is
managed by Impax Asset Management Limited (the Company's asset management
subsidiary), has today announced a placing and offer for subscription to raise
additional capital of up to £80 million before expenses. The placing and offer,
which is not being underwritten and will not proceed unless subscriptions are
received in aggregate for at least £25 million, is subject to approval by
shareholders of IEM.

Impax Asset Management Limited will continue to earn an annual management fee of 1 per cent. of IEM's net asset value.

20 October 2005

and what the trust (iem) said...