Litigation Capital Manag... Share Discussion Threads

[bigalan3] 14/5/2021 14:15

I cannot resist bought yet more. Now second largest investment - think I am right.

[someuwin] 14/5/2021 10:28

Adding here. 15% drop from 110p is overdone imo.

[hpcg] 13/5/2021 13:03

I've added quite a lot here. Admittedly I did trade out of a spreadbet at 108, so psychologically easy, but the turnover in 3 figures was on decent enough volume so I can see a return to that level as quite straightforward. Discount rate changes are really not so relevant to the likes of LIT given the IRR.

[connor23] 12/5/2021 12:31

Thanks Maddox. Unfortunately only in the Finance dept but have worked for a number of Firms. Litigation and Dispute Resolution were laid low by the pandemic (Banks/businesses had bigger concerns!) but as we come out of that period expectation is this will grow strongly from here. I happened to note from LinkedIn today the head of one of my old Firms talking about busyness levels rising. Talk of the upcoming (potential) Mischon IPO as trying to cash in on this as well, as they are positoned to benefit. I was looking to take a position in FRP as well as the Restructuring and Insolvency teams expect things to pick up Q3/Q4.

[greenknight1] 12/5/2021 11:11

Insolvency is a small part of LITs portfolio (slightly larger in Aus I believe). They tend to focus on dispute resolution.

[hpcg] 12/5/2021 10:49

Maddox r.e. 320, such is the ridiculousness of both the fund industry and in particular equity income as a concept.

[maddox] 12/5/2021 09:26

Hi Connor,

Welcome aboard, great to have a practitioner on the BB. The litigation market already appears to be booming looking at RBGP and KEYS - are you close to the insolvency market? What is your take on the current state of the market and timing of the potential upswing?

Regards Maddox

[connor23] 12/5/2021 09:15

Better late than never but just picked up a tranche. I work in legal so make sense for me to ride the cyclical upswing in Litigation!

[someuwin] 12/5/2021 09:07

No surprise to get a small pullback as we bounce off of previous highs.

Textbook stuff. And we know where this is headed once it breaks through!

[trotterstrading] 12/5/2021 08:17

Grabbed a few more - clearly buyers in play

[maddox] 11/5/2021 23:52

I believe that Miton were holding the shares in an Income Fund - so had little choice but to part company with LIT. Miton are specialists in the small cap arena and help get a large number of them launched on the market - so more a help than a hindrance to personal investors. Their interests and ours are far more aligned than most FIs. But yes, they will recycle their funds and sell-out, but hey don't we all?

[74tom] 11/5/2021 18:40

410k shares bought at 1.08 just before close - so was the price dropped just to fill this order? Looks like it...

[bigbaggy] 11/5/2021 13:09

News of their second (increased) fund would be fabulous but I agree, raft of case closures and cash in as they now come into their 27+ month maturity period is the key.

[adamb1978] 11/5/2021 12:54

Yes, I dont see why anyone would sell here. It was very, very cheap before and clearly someone know something about their somewhat lumpy contracts and hence the price moving up. A small number of those contracts could add substanital value to the company so I think it pays to hold on and see what the news is at the next results

[74tom] 11/5/2021 12:51

Indeed - think we're in a holding pattern so that II's can exchange / buy... same thing happened last week at 90p ish. Once through 115p things will get interesting, we are still very cheap vs the apparent potential. On current valuation we are £80m cheaper than Keystone Law, they have forecast post tax profits of between £6-8m for the next few years - so are trading on 30 x earnings. We would be trading at £3.36 on the same ratio - based on 2022 forecast post tax earnings of A$24.2M...

[trotterstrading] 11/5/2021 12:16

Plenty of chunky buys coming in despite the market sell off which bodes well for further share price growth

[rexrandi] 11/5/2021 00:24

Sory I peed on button 2 times.

[adamb1978] 10/5/2021 18:26

Thanks hpcg. Agree that the former sounds more likely...not sure that the second would cause this increase.

When you say 'Two on the other thread' - please could you let me know what other threat there is? I haven't seen one...
Thanks

[hpcg] 10/5/2021 16:52

Two on the other thread. I think it is an imminent large case with that someone well informed knows about. It reminds me of the buying in LEAF a couple of years ago; there was a legal case in Delaware about a put entitlement which made a 10x difference to the NAV and the relentless buying should have made it obvious to me I should have been adding rather than just holding. I opened some spreadbets here a week or two ago. So this is my hypothesis. Second one is another fund announcement, but personally I can't see the market being quite so enthusiastic.

[bigbaggy] 10/5/2021 16:32

Hi All. Just joined this site but have been investing in shares for a number of years. Friend showed me the FF video. This looks compelling. Have taken a position today. All three listed companies in the space (LIT, BUR and MANO) look well set for a good run. Think the market is only just starting to appreciate the uncorrelated and outsize returns.

[adamb1978] 10/5/2021 16:09

Any theories on the trigger for the (welcome) movement over recent days/weeks? I'd be surprised if its just that Arden note