The Local Shopping Reit Share Discussion Threads

[kooba] 05/4/2019 20:36

99.63% Think that was the previous vote they are referring to..no?As this time 36% voted against resolution it seems and THAL only have just over 25%...Still a big majority voting for lower exit , anyone know when we get ALL the money out on this scheme IF it gets court approval AND does not go to appeal?Just LSR aren't known for speedy delivery

[scburbs] 05/4/2019 19:35

Much bigger majority than I expected. Hopefully the size of the majority is relevant for court decision.

[hindsight] 05/4/2019 16:48

Lot higher turnout than agm too, guess lot like me missed agm cutoff but made this one on time

[frazboy] 05/4/2019 16:37

99.63%, Thalassa excepted. Pretty conclusive to my mind.

[hindsight] 05/4/2019 13:31

but thus far LSR shareholders seem to be paying for it.

Agree frazboy, but think Thal shareholders are paying a even bigger price going by the Thal mail heap on my desk

[frazboy] 04/4/2019 19:31

"Exbroker, presumably you took advantage of all the concerns that you cite in buying the LSR shares at a substantial discount to the expected payout in order to make a turn. You must have been fully aware of the risks when you boug"It's an interesting point gfrae. When DS announced he was going to do very well out of LSR shareholders, sorry, his LSR shareholding, the market price did not shift - possibly because the market had already priced that in? Regardless, what I find objectionable, is the fact that no value is being added by the actions of Thalassa, only advisors/QCs nomads etc are being enriched, but thus far LSR shareholders seem to be paying for it.

[exbroker] 04/4/2019 19:18

For me it’s about the numbers. Sale price - purchase price, better jam today than jam tomorrow.

[kooba] 04/4/2019 17:12

I have spoken to DS in the past but not for some time and not always on a positive note and I have found him open and engaging ..do read the chairman's statements!He is unable to talk to shareholders LSR or THAL I understand during the takeover offer I have been told , otherwise I would advise people to give him a call to discuss their reservations. When I have previously raised points I have received answers that have stacked up.Probably why I am less concerned than others I guess.

[kooba] 04/4/2019 16:49

Placing certainly more accurate! :)Maybe look at it from THAL point of view.So you pay cash and use treasury and some new paper to buy LSR cash at a small premium but overall your nav if it all goes through is still at a premium to 100p ..then you can carry on buying from those that do not want to hold at 80p..they have paid higher prices.Note though that THAL have indicated they want to keep the listing I believe...so you could stay a minority holder.Every time they buy stock back they are enhancing their asset value hence the long term buyback plans.There is every reason why they will keep on buying in the market as they have said because it is value accretive.I do not believe this financial engineering to maximise THAL value from its holding and in the process providing a better exit (in my view) than LSR can muster is the extent of THAL ambitions and I believe they intend further value accretive moves through acquisition and using the vehicles they would have available,You may think DS a sharp operator but I never use that as a criticism on backing managements....clever is good especially if they are aligned.

[stemis] 04/4/2019 16:37

I'd expect the meeting to pass the resolution tomorrow. What have shareholders got to lose? It doesn't mean they won't (or even will) accept THAL's offer though. I've accepted THAL's offer but I'd have also voted for the resolution if Selftrade weren't so inefficient at these sort of things...

[exbroker] 04/4/2019 16:21

kooba
Maybe it would be better viewed as an exchange, I give DS my shares in LSR with cash on the balance sheet of about 31p and he gives me half back in cash and some magic beans. He then says he will buy the beans back from me but won’t tell me when or for how much and won’t give me more cash as part of the offer.
If you wish you could call it a placing of shares with us lucky enough to have LSR stock.
Given the low level of acceptances at the first close I suspect that holders have a similar view to mine.
It will be interesting to see what the result of the meeting is tomorrow.

[gfrae] 04/4/2019 16:15

Exbroker,that is the punt,all we know is that he will spend £6m.

[kooba] 04/4/2019 16:12

But being an ex broker surely you want to demonstrate correct use of terminology ..clearly not a rights issue.

[kooba] 04/4/2019 16:10

Not sure they are issuing new shares as mentioned.

[exbroker] 04/4/2019 16:03

kooba
No!
The result is the same.More THAL shares in issue and more cash in its bank account.

[exbroker] 04/4/2019 16:01

I was indeed aware of the risks; my judgement was that they were mispriced by the market. As others on here have expressed the main beneficiaries of this tussle seem to have been the various advisors.
gfrae what price will DS deem necessary when he has control of LSR and its cash, that the bit I don’t like?

[kooba] 04/4/2019 15:57

a rights issue ?an issue of shares offered at a special price by a company to its existing shareholders in proportion to their holding of old shares.Do you want to use a different expression because that is substantially incorrect isn't it.

[gfrae] 04/4/2019 15:45

Exbroker, presumably you took advantage of all the concerns that you cite in buying the LSR shares at a substantial discount to the expected payout in order to make a turn. You must have been fully aware of the risks when you bought.
Of course, Thalassa are not going to guarantee a buy back price, it would be bad for existing Thalassa shareholders to pay more than necessary.

[exbroker] 04/4/2019 15:41

This is a rights issue from THAL, issue paper and get cash, just a slightly longer route.

[kooba] 04/4/2019 14:54

I've not seen share buybacks set a price is that normal practise?Think the use of paper in the offer is to do with the share buyback if you look..treasury sharesNot sure THAL are issuing much new paper so limits dilution but reissuing shares they have purchased in the market at average 70p over last few years ...presumably one of the things that makes it work for them I guess.Dyor

[exbroker] 04/4/2019 14:44

There is no stated price, it could continue at 30p if DS decides, also it could be "suspended" at any time. If the intention is to have this cash available for LSR holders WHY is it not part of the mix and match, that the part that worries me. This combined with all the other points I have repeatedly mentioned above has all my alarm bells ringing, I want CASH for my LSR not paper that I find hard to value.
I am a recent holder of LSR having bought in for the return of cash, the more I see of THAL and read about buy backs, 10 votes per Pref and Senior QC`S opinion the more I am reminded of the way a man who fell off his yacht operated, it don’t feel right!!

[kooba] 04/4/2019 13:59

That's how I had interpreted , exbroker can you clarify your comment..is there a get out clause I am missing?'The buyback can be discontinued at any time there is no guarantee that it will be there after the deal completes if it indeed ever does.'

[deepvalue2015] 04/4/2019 13:52

FYI:
Thalassa Holdings
Response to LSR announcement
RNS Number : 8891T Thalassa Holdings Limited 25 March 2019 Page 2

'The Thalassa Board has committed (as a post-offer intention statement under the Takeover Code) to maintain the Programme following completion of the Offer and until at least such time as the full £6 million has been utilised. '
...'The Programme will continue to provide liquidity for Thalassa Shareholders, including LSR Shareholders who accept our offer but do not wish to hold the Thalassa Consideration Shares issued to them as part of the Offer.'

I read this to mean the buy-back continues post completion up to £6m.