Jpmorgan Indian Investment Share Discussion Threads

[graham1ty] 21/2/2020 10:40

I have reread the Tender document and the RNS and there is nothing about a higher % getting bought out. In some cases, to “clean out” smaller shareholders, they will buy 100% of smaller amounts, and large institutions get a tiny % less bought out. However, this does not appear to the case here.

Think we will just have to wait and see. It is not being done “week beginning 17 Feb”

[graham1ty] 21/2/2020 09:57

I have the same ( leaving a pathetic amount). However not sure HL have got it right. I wondered if my whole holding had been moved into an escrow account, until they know the strike price. It would really complicate matters if anyone sold now, so assumed they had just moved them “out of reach”. But that would not explain why 4% left behind

[1nf3rn0] 21/2/2020 08:46

I tendered all of my shares and just noticed 4% have returned to my account. 96% acceptance which is much higher than I expected. (Hopefully we receive within 5% of NAV)

[graham1ty] 21/2/2020 08:25

Well, nothing today. So, either they just paying out, without an RNS on the Tender price, or anything.

Or there is a delay, which surely gets an RNS ?

[graham1ty] 19/2/2020 07:32

Have found this in Circular:
“In the absence of adverse market conditions and assuming that the Distributable Profits Condition has been satisfied prior to the realisation of the Tender Pool, it is expected that payment for the Exit Shares will be made to Tendering Shareholders in the week commencing 17 February 2020.“

Does not give them much time.....they have to get the Company interims out, announce the Tender Price......in the next two days ?

[graham1ty] 14/2/2020 16:07

Can anyone explain the exact timing ? It sounds as they are now selling 40% of the portfolio, to raise enough money to buy out the tendered shares ? How long will that take ? And are any of them illiquid investments, where it will take weeks ( and hit prices) as they sell stock ?

Then, when is the final NAV taken, the one on which we get paid out ? And does anyone have a rough idea what the payout will be ?

[sllab101] 12/2/2020 14:23

Thanks Slugesurfer.

[sludgesurfer] 12/2/2020 08:57

hxxps://citywire.co.uk/investment-trust-insider/news/big-tender-exits-leave-baillie-gifford-and-jpm-on-tenterhooks/a1321383

hxxps://www.morningstar.co.uk/uk/news/199208/the-outlook-for-investing-in-india.aspx

hxxps://citywire.co.uk/investment-trust-insider/news/jpmorgan-s-big-india-trust-set-to-slim-with-25-tender-offer/a1310005

[sludgesurfer] 09/2/2020 12:22

I've read the same about Barclays elsewhere. Just make sure that you have e-mail alerts enabled for corporate actions.

Regarding the offer, not a bad result. Seeing 40% of AUM disappearing no doubt won't please the trust managers but fair play to them in having a performance scheme against which they can be judged. Happy to take some off the table....but what to do with the cash....despite the recent drop, I'm not seeing much which screams good value to me. Although I'm looking at Shell's 7.4% yield....

[nk104] 06/2/2020 16:06

It's too late now as the results came out yesterday. Your broker should have sent you something about it.

[sllab101] 06/2/2020 14:36

NK104, thank you, I have a large amount of these shares, is it worth putting them up for up for tender.

[nk104] 06/2/2020 12:58

Say you have 400 shares in JII and tender all of them

The basic entitlement is 25 per cent - so 100 shares.

Of the remaining 300 you will have successfully tendered 134 shares (300*.448).

So you will have 166 shares left.

[sllab101] 05/2/2020 20:16

NK104,thanks for the information, can you give me an idiots guide please.

[nk104] 05/2/2020 17:04

The results of the tender offer are out.



The Basic Entitlement of all Shareholders who have validly tendered their Shares will be accepted in full and excess tenders will be satisfied to the extent of approximately 44.8% of the excess Shares tendered.

[essentialinvestor] 03/2/2020 17:30

Fat fall in GBPvIR today.

[essentialinvestor] 03/2/2020 17:27

I hold both, more of Aberdeen New India, thanks for the view.

[sludgesurfer] 03/2/2020 17:25

History would suggest not. Pretty uninspiring performance. 3rd quartile in their sector over 3 and 5 years and lagging the trustnet benchmark for the sector....all with an OCF of 1.16%. Although the discount to NAV on some of these indian ITs does look interesting.https://www.trustnet.com/factsheets/t/qt57/aberdeen-new-india-investment-trust-plc

[essentialinvestor] 03/2/2020 12:14

Anii a better play on India?.

[sludgesurfer] 03/2/2020 12:13

And today is the record date. So assuming the tender offer is approved at the AGM on Wednesday we should receive 796p minus costs for (at least) 25% of our holding.

[sludgesurfer] 03/2/2020 12:10

NAV reported at 796p this morning.

[chc15] 15/1/2020 14:58

Thx, I'm getting older, and prefer less risky investments, so will tender all mine..

[sludgesurfer] 15/1/2020 08:08

It will be NAV minus fees of around £320,000 minus costs. I'm thinking around £8 but I'm perhaps being optimistic. In truth we won't know until early Feb.

[chc15] 14/1/2020 19:42

Yes I've geld these since the days of Fleming inv trusts. So basically we'll get the nav price if we tender? Any ideas what that could be approx..

[sludgesurfer] 13/1/2020 16:53

I was looking to trim my holding here anyway having held for nearly six years. The discount to NAV (818p) is 9%. I've tendered all my shares, hopefully I will be able to tender them all but even if I only get 25% sold, it's a nice wee new year bounce for me.

Trustnet has this trust as 3rd quartile vs its peers over 3 and 5 years. The chairman's statement isn't exactly compelling either....

From the Chairman's note from the circular:

Investment performance and outlook
As set out in my Chairman’s statement in the 2019 Annual Report which accompanies this
document, the year to 30 September 2019 was another positive one for Indian investors, as
measured by the Company’s benchmark, the MSCI India Index (in sterling terms), which returned
+10.8 per cent. The Company outperformed the Benchmark, producing a total return on net assets
of +11.4 per cent. over the year. In addition, the Share price rose from 630.0 pence to 744.0 pence
and the discount narrowed from 14.5 per cent. at the beginning of the year to 9.3 per cent. at the
year end, resulting in a total return to Shareholders of +18.1 per cent.
Whilst underperformance in recent years means that the Company has underperformed the
Benchmark over three years by 15.4 per cent., thereby triggering the Tender Offer, it has
outperformed over five and ten years. The key factors affecting the portfolio’s performance, as well
as the Indian economy and equity market over the last financial year are set out in the investment
managers’ report on pages 9 to 11 of the 2019 Annual Report.
While there are pockets of growth and opportunity, economic growth has recently been
disappointing by historical standards, and there are no immediate signs of a cyclical recovery.
8
India retains the potential for long-term rapid growth because it has untapped human resources.
India has a relatively young population, with large numbers reaching working age each year, and it
remains a mainly rural society, with great potential for productivity gains from migration off the land.
Whether these resources can be effectively channelled into a rapidly growing economy depends on
structural reforms of a scope that have often been beyond what the Indian federal and state
governments can deliver.
Despite these challenges the investment managers see many investment opportunities ahead, with
value emerging from the bottom up and can identify new stocks – both smaller and larger
companies – to add to the portfolio.