John Laing Share Discussion Threads

[skinny] 15/6/2015 07:03

Further to John Laing Group's announcement dated 15 April 2015 that the East West Connect consortium, in which John Laing Group has a 30% shareholding, had reached an agreement with the Victorian Government in the form of a non-binding Heads of Agreement, John Laing Group today announces that the consortium has agreed a final resolution to the East West Link project.

Under the terms of the agreement with the Victorian Government, John Laing Group's investment commitment of £60.7 million (sterling equivalent at 31 December 2014), which is made up of cash collateral and a letter of credit, will be returned shortly in full. As previously disclosed, John Laing ascribed no value to this project in its portfolio valuation as at 31 December 2014.

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[dual313] 10/6/2015 18:08

Nice and quiet here. Usually a good sign :)

[jonwig] 16/5/2015 08:49

New infrastructure ETF which might be worth following.
Thread here:



The EPIC is "GIN" which might be the most interesting thing about it!

[skinny] 12/5/2015 17:00

A strong finish and a new high @228.50p.

[miti 1000] 12/5/2015 16:04

Hopefully we are finally through 225.

[jonwig] 09/5/2015 07:57

FT:

Over the past few years bond yields have fallen sharply. So the technical shortfalls in the pension funds have been soaring.

The result? A large number of companies have become hostage to their pension funds. Some 5,000 are in deficit and by the middle of last year six FTSE 100 firms actually had pension liabilities greater than their market capitalisation. To satisfy the regulators they have had to pour hundreds of millions of pounds into them.

At the end of last year the total deficit for FTSE 100 companies was £80bn and the constituents of the index were forced to pay nearly £7bn to cut it. If bond yields keep rising that should stop. Anyone looking for long-term beneficiaries of the change in this trend might want to go pension deficit hunting.



The JLG deficit at present is about £78m, not much, but could evaporate with a small rise in 10-yr/25-yr gilt rates. Next review is 31 March 2016.

[tenapen] 24/4/2015 19:12

Up circa 14% since coming to market.

:)

1st May and still rising

:)

[miti 1000] 22/4/2015 09:37

We should also get some news on renewable energy projects in the next month or so.

[dual313] 22/4/2015 07:48

Thanks for your input mate

[jonwig] 19/4/2015 07:40

dual - I think they key is "years" rather than months.

"Profits" are generated by increasing asset value rather than revenue, until an asset is sold, when you get reinvestment into new projects.
Obviously when things go wrong, an asset value is impaired, but the biggest risk falls on the constructors. So it's a long-term view we need to take.

Over the past few years they've managed to increase asset value by consistently large amounts, and I think the dividend stream will be pretty predictable. Also, a lot of governments see the need to get economic growth moving by spending on infrastructure ... opportunities in the EU should be significant.

We were exceptionally lucky that this was floated at such a low price! The two brokers covering the stock have 230p - 240p target prices, which I think is reasonable for now, and this stock would be fairly defensive in a market downturn (no group debt).

DYOR, of course!

[dual313] 18/4/2015 10:09

Daft question but ill ask itIm sitting on a healthy profit at the moment with this but how much higher can this go in next few months/years.Thoughts from you more experienced guys would be welcome

[tenapen] 15/4/2015 21:02

There was me expecting jlg to be a slow and steady investment. I realy am rubbish at this game.

:)

[konkel] 15/4/2015 09:19

Agreed....thanks.

[jonwig] 15/4/2015 09:11

konkel - my reading is that the project was valued at zero, but the investment at £60m or so. (In balance sheet under "Investments".)

Unfortunately the 2014 annual report doesn't contain any mention of this. A sudden discovery of £60m would increase net assets by over 10%, which would have been reflected in a 20p share price gain by now.

[konkel] 15/4/2015 09:01

Notwithstanding the previous disclosure, surely something that was previously valued at zero and now is being valued at £60m, is good news??

[skinny] 15/4/2015 08:22

I assumed that's why they said "As previously disclosed, John Laing ascribed no value to this project in its portfolio valuation as at 31 December 2014."

I see this a purely an update on 'where we are'?

[jonwig] 15/4/2015 08:17

From what I can see, these numbers were provided for in the prospectus - in other words, they aren't £60m better off than they were yesterday.

[skinny] 15/4/2015 07:48

statement re: East West Link project, Melbourne, Australia.

John Laing Group plc announces that the East West Connect consortium, in which John Laing Group has a 30% shareholding, has reached an agreement with the Victorian Government in the form of a non-binding Heads of Agreement providing a satisfactory resolution to the East West Link project.

The agreement enables the Victorian Government to acquire the East West Connect project companies for a nominal consideration. The agreement also enables the sponsors of the project companies to cease work on the East West Link project.

John Laing Group expects its investment commitment of £60.7 million (sterling equivalent at 31 December 2014), which is made up of cash collateral and a letter of credit, to be returned in full. As previously disclosed, John Laing ascribed no value to this project in its portfolio valuation as at 31 December 2014.

John Laing Group looks forward to pursuing future projects in the State of Victoria.



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[skinny] 02/4/2015 08:26

Just the two from the 25th - pretty decent start again today.

[jonwig] 01/4/2015 18:39

There were lots of trades today, mostly PI-sized, but about 2m were bought (?) in eight large trades of 250k or 500k.
I didn't spot any obvious sells.

Any more brokers, Skinny?

[martini] 01/4/2015 17:57

Yes very nice chart. Looks like a little patience is paying off.

[skinny] 01/4/2015 16:37

An excellent candle.

[miti 1000] 01/4/2015 10:13

So almost half the disposals target for this year achieved already. Excellent.

[skinny] 01/4/2015 07:06

John Laing Group plc ("John Laing") - disposal of three investments in renewable energy assets



London, 1 April 2015 - John Laing, the leading investor and manager of international infrastructure projects, today announces the disposal of three investments in renewable energy assets to John Laing Environmental Assets Group Limited (JLEN) for an aggregate cash consideration of £42.5million.

Branden solar parks - disposal of 64% stake

Branden comprises two separate solar parks in Cornwall, with a total generating capacity of 14.7MW, together accredited for 2 ROCs. The sites have been operational since March 2013.

Wear Point wind farm - disposal of 100% stake

Wear Point is located near Milford Haven in South Wales. It comprises four Senvion MM82 turbines with a total generating capacity of 8.2MW and is accredited for 0.9 ROCs. The site has been operational since June 2014.

Carscreugh wind farm - disposal of 100% stake

Carscreugh is located near Glenluce in Dumfries and Galloway, Scotland. It comprises 18 Gamesa G52 turbines with a total generating capacity of 15.3MW and is accredited for 0.9 ROCs. The site has been operational since June 2014.

The cash consideration of £42.5million exceeds the combined portfolio value of the investments at 31 December 2014. The aggregate returns achieved are consistent with John Laing's track record of returns from disposals of renewable energy investments.



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