Juridica Share Discussion Threads

[trulyscrumptious] 23/12/2014 15:38

Nicely up today.

[jonwig] 11/12/2014 09:36

True.

Discontinuation is proposed every three years (so next is Nov 2016).

So far they have not actually done enough to maintain the size of the company, let alone grow it, to persuade me to vote against. (Patent diversification isn't big enough.)
A handful of new cases, perhaps with their partner, would give me some hope!

Based on 30 June, NAV is 114p (xd).

[speedsgh] 11/12/2014 09:10

the additional discount will be the time-cost of waiting another 12 months to secure the next payout + the uncertainty over the level of any distribution in Jan 2016 (no formal progreesive dividend policy in place). would not be surprised to see it drift lower over the next few months notwithstanding any new info that may be released by the company.

[jaws6] 11/12/2014 09:05

down more then divi of 20 p .

[speedsgh] 09/12/2014 10:14

Looks like some have decided to take the capital gain rather than the income.

[casino444] 09/12/2014 08:58

When's the last day to buy if you want the dividend ??

[orchestralis] 07/12/2014 15:03

Expect it to drop by 20p on 11 Dec.

[pillion] 07/12/2014 12:20

Yes ex divi 11/12/2014

[alter ego] 07/12/2014 10:18

ex div next week I think

[jonwig] 07/12/2014 08:35

Falklands - your question has been discussed here, not too long ago.

At present they are not investing in new cases so dividend payouts are crystallising assets which already exist. The 20p isn't a "one off", but not is it a constant stream, as things stand.

However, they do plan to invest in new cases, judging by recent announcements (5 Nov) and have diversified into intellectual property; not in a big way as yet.

[falklands] 06/12/2014 12:16

So from investors view do you think juridica will produce 20p dividend or above year in year out going forwards ?

Or is this a one off ? Unlike normal dividend shares it's hard to estimate what the hell is going on internally to forecast returns.

Be interested to hear holders views.

[jonwig] 25/11/2014 11:22

speedsgh - You posted a comment yourself in June (post #451) on the original stake.
There was some discussion at the time about JIL possibly being encouraged to support a shell called NBNK in legal action against LLOY or HMG. Nothing came of that.

Memory - tell me about it ...

[speedsgh] 25/11/2014 11:00

jonwig - thanks for flagging that. shows that i should always read announcements myself rather than rely on comments from others prior to posting!

Crystal Amber may still be offloading seeing as the share price appears to be struggling to match the cum-div heights of 12 months ago when the payout was 14p vs this year's 20p.

[eeza] 24/11/2014 18:52

Lol !!!

That was how I read it also.

[jonwig] 24/11/2014 18:46

But they have actually reduced their holding from the 4,935,000 announced on 26 June which was over 4%!

[flying pig] 24/11/2014 17:57

From the Crystal website.
See final paragraph.....



MAJOR HOLDINGS This holdings list and comments was included in the Fund's 2014 Annual Report.


01. Sutton Harbour Holdings

02. Tribal Group

03. Aer Lingus Group

04. 4imprint Group

05. Leaf Clean Energy

06. Thorntons

07. Juridica Investments

Juridica Investments
Juridica is a listed investment vehicle that provides capital for corporate claims in the US. In the US, corporates are faced with high costs of litigation. Shareholders, however, expect an efficient use of cash flows. To facilitate litigation without overburdening corporates, US law firms developed contingent fee litigation models, also known as 'no win, no fee'. Law firms take a case and assume their own costs over the legal process for a share in the proceeds of the settlement. In the process, law firms take considerable funding risk, as they need not only to cover their own high operating costs, but also the expenses incidental to the process. If defendants avoid early settlement, cases can continue beyond the expected timescale. Some law firms have failed as they entered a death spiral of low cash generation, a growing contingent claims book and turnover of key income generating partners.

Funding vehicles such as Juridica can contribute to paying for the case's expenses, reducing the financial risk to the law firm, without reducing the claim value. Litigation funders will acquire a share in the claim, similar to buying equity in a company. As the US legal system does not provide for adverse cost awards, in case of loss the litigant will not have to pay for the legal costs of the other side.

Juridica raised $210 million in two tranches in 2007 and 2009 to invest in what was then a developing asset class. It has since invested $189 million in 31 cases, and contrary to other listed vehicles, these are all in the US. Its defendants are mostly Fortune 500 companies, with deep pockets and likely to settle. The portfolio has generated gross cash proceeds of approximately $194 million before tax. $ 64.3 million has been returned to shareholders by way of dividends. Ten complete exits to date have generated a blended IRR of nearly 40 per cent.

Juridica looks for strong cases with potential for large damages, probability of settlement and case leadership in the hands of lawyers with good track records. The deal structure is also critical to the success of the investment. For example, Juridica structures a deal so that it will be the first party to be paid back from the claim proceeds, ahead of the law firm and the claimant, limiting its downside.

A typical case turns over in three to four years. Having invested substantially all of its initial funding proceeds by 2008, and the 2009 fundraising over that year, Juridica now has a maturing portfolio.

In our view, Juridica has succeeded in demonstrating the process and the potential for returns. As its portfolio of cases turns into cash, decisions need to be taken whether to reinvest the proceeds generated by the current vehicle or to restructure it. The Fund opened this position in December 2013 and we look forward to engaging with the company on those issues to maximize shareholder value.

[speedsgh] 24/11/2014 17:37

Agreed re Crystal Amber.

[nw99] 24/11/2014 16:56

Crystal Amber stake news very good

[portside1] 15/11/2014 14:18

110 million shares in issue
82% held by funds and management
less than 20 million shares in open market

[portside1] 14/11/2014 19:55

tug yes 148 875p will phone you sunday around 6pm

[portside1] 14/11/2014 16:48

ex div 10th dec

[tugwil] 14/11/2014 16:48

Well done port, you mean 148.875 of course in your 585 article.
My small buy in ENTU was shown as a sell like the others too.

[portside1] 14/11/2014 16:44

the companies future profits makes the share price worth over 220p