Lms Capital Share Discussion Threads

[hugepants] 25/2/2016 11:39

unless I'm reading this wrong the majority of the portfolio is in unquoted investments? Id suggest that's the reason for the discount. LEAF is a good example of what can happen to the value of unquoted investments when you try and sell them.

[badtime] 25/2/2016 10:40

Added yesterday...and remind me why they still hold 'that' stock

[skyship] 25/2/2016 10:22

Running through the discounts on the Private Equity trusts; and cogniscent of the currency rates, I've added to my LMS holding again today.

Even allowing for the fall in one of their principal holdings (WFT...again!!!), the NAV there is now likely to be up at the 100p level. So at 70p they trade at a full 30% discount - this for a trust in liquidation mode; and just 2weeks away from the Finals which will confirm the NAV, the Strategy and, hopefully, even put a timetable to completion.

Clear value in a Market where value is still at a premium...

[skyship] 16/2/2016 16:18

Last chance to BUY back into LMS sub 70p?

I've been waiting patiently but unsuccessfully for a cheap, final top-up ahead of the LMS Finals in early March.

With those Finals I'm hoping for:

# An actual timetable for the completion of the liquidation

# News of the next Tender, or clear progress to such

A clear timetable would of course be a great benefit to those investors wishing to postulate Gross Redemption Yield calculations.

Unfortunately I've today had to pay 69p for my last top-up, as that respected Investors Chronicle columnist Simon Thompson has flagged up the very clear VALUE for buying now ahead of those March finals. Unable to post the content as its a paid site; suffice to say, it's a very clear and well-justified BUY recommendation.

I'm glad to once again be loaded up with a full allocation...

[skyship] 04/2/2016 18:08

Well, well, well.....a 20% jump in WFT. As I type they have recovered back up to $7.50. On the other hand the $ is retracing some of its recent strength.

[skyship] 01/2/2016 09:53

MF - as I said in my 737 above, I wrote to the Chairman on 11th January. Will advise when I receive a reply & if anything to report. I raised 3 points:

# Brockton
# WFT
# Liquidation timescale

....should have thought about the fees aspect; but I recall the fees/bonus arrangements were fully reviewed and implemented back in 2012.

They've never put a date on the completion; however after 4yrs and the sale of 2/3rds of the assets, they ought to be able to do so now.

[mad foetus] 01/2/2016 09:20

Next month we get the full year results and in May the AGM.
We know WFT has done fairly badly, but it would be good to get valuations on Brockton and the real estate funds, which should be doing well.
I suspect the major shareholders (and the smaller ones) will also expect a significant reduction in management fees given the smaller size of the company and the shambles last year. Plus clarity on the next distribution.
So while it goes against instinct to invest in a company whose board you harbour doubts about, I think there could be news to come that lifts the share price
Not sure why a company in wind down mode wouldn't sell the quoted investments mind, but clearly having held WFT since 1984 the board believes it is worth more than the market thinks. Hubris, perhaps?

[my retirement fund] 07/1/2016 19:32

I would be in like a shot if they had any credibility

[eeza] 07/1/2016 19:22

Problem is, Sky, that gives the untrustworthy BOD 3 years to engineer another scam.

[skyship] 07/1/2016 17:12

On a more serious note; I'm buying back into LMS at this level. Paid 68p for some today; missed some cheaper stock at 67p...

Will be adding if they trade lower.

$ strength will be negating the declining WFT valuation.

At 68p the NAV discount to an unchanged 97p = 29.9%.

Finals will be early in March, so I am writing to push for some liquidation timescale declaration with those Finals.

A 3yr liquidation to 90p at 31st Dec'18 would give a GRY of 9.86% - that is my minimum expectation; and I would of course hope to strip out another profitable Tender well before then...

(92p by the earlier date of 30th Jun'18 would deliver a GRY of 12.98%)

[skyship] 07/1/2016 17:01

L - sorry, enigmatic....I was referring to Anonymous. Another Greek word.

Nano is derived from the Greek as well:

[leonasdad] 26/12/2015 11:20

lost in translation

[leonasdad] 25/12/2015 05:53

Who invented the word 'nano' ?

[eeza] 25/12/2015 02:58

Yes, some platforms invest in computers.

I mean how long does it take a computer to work out an equation - nano seconds?

[badtime] 24/12/2015 23:56

Fortunately Youinvest were quick and I sold my balance at 74

[eeza] 24/12/2015 20:34

Wasn't suggesting that he did that - only pointing out that he may get left with a tiny holding by tendering just above the minimum.

Tendered 100% of my holding with TDW - filled ~38%'
Tendered !00% with Sharecentre - filled ~35%.
Sold full holding with HL pre tender @ 78.65p.
Sold all residual @ 69.56p - can't trust the management.

[badtime] 24/12/2015 16:29

But he would gain far more from the higher pay out ...not with you on that one Eeza

[eeza] 24/12/2015 16:08

@pastybap

Re: your earlier post - You would be well advised, imo, to only tender the EXACT minimum - else if there was no overage, with your particular broker, you would then be left with an insignificant holding with disproportunate costs to dispose.

[pastybap] 24/12/2015 14:27

Skyship,

Agree in general on both your points. However re:1 there was coverage from Simon Thompson in the IC. This was inevitably going to bring in a lot of short-term traders, who inevitably would jump ship immediately after. re:2 this related specifically to my broker, who are notoriously slow at administering corporate actions, and who also appear to have achieved next to no overages for me. I even filed a complaint with them, and no response so far. New broker required I think....

[skyship] 24/12/2015 13:26

Pasty, two things:

1. The share price doesn't always "drift away" as it has done on this occasion due to rather specific reasons

2. ALWAYS best to Tender 100% so that you can best benefit from potential overage

I've been buying into these Tender opportunities for some 4 years now - mainly with the four private equity liquidations of HPEQ, LMS, MTH & NRI - see the SL and PE threads...

[pastybap] 24/12/2015 10:43

Indeed Skyship. Even though I have been investing and trading for nearly 20 years, this is my first ever tender offer. I have learnt two things from it. 1. X-O My broker is extremely slow at administering them. 2. Don't tender 100% of your shares with them, but rather an amount just slightly above the minimum. That way you can actually sell the remainder before the price drifts away.

[skyship] 24/12/2015 09:22

hence the overages lottery I was referring to. Annoying that some brokers so slow to complete matters...

[mad foetus] 23/12/2015 20:30

Technically it is because brokers will pool their client holdings into a single holding through a nominee. So it isn't fair but as the company doesn't know the underlying holders it is the only way.