Logistics Development Share Discussion Threads

[chrisdgb] 14/1/2022 07:48

Interesting announcement............

[zoolook] 04/1/2022 12:13

That’s the risk but the level of downside protection while we wait is unbeatable. What do you consider a long time? Two years ? Three years ? We all want money to work hard for us and DBay would be no exception. Can’t imagine them tolerating a long period with no attractive investments in sight at the current share price before considering options to allow them to extract their portion of the cash to deploy elsewhere.

[leopoldalcox] 03/1/2022 17:41

I am tempted here. But I'm concerned that the company could sit on the cash for a long time

[leopoldalcox] 03/1/2022 17:41

There is a lot of cash sloshing around the system at the moment. Good value deals will be hard to come by

[zoolook] 24/12/2021 12:43

I think we should assume they will use the cash to make an acquisition as that is the raisin d’etre of the vehicle. This will take time so patience required. Given the track record of Laxey/DBAY for making value based acquisitions at discounted prices so I’m assuming that whatever they buy will stand up well on value metrics. This means there will effectively be a double discount on the acquired company for shareholders who have bought in at the current price because of the significant discount to cash.

[zoolook] 24/12/2021 09:35

Depends who you mean by ‘management217;. DBAY don’t earn fees on it being a cash pile and as a major investor there also isn’t any incentive for them to put up with incumbent management taking a salary for nothing

[chinahere] 24/12/2021 00:58

I would be very surprised if the management did the 'right thing' and decided to wind-up rather than take on-going fees.

[zoolook] 23/12/2021 20:55

Even better if (as Eezymunny suggested) they bought back shares below 18p… and then returned the cash

[stemis] 23/12/2021 13:02

Any chance they could just wind this up and return the cash?

[ntv] 22/12/2021 13:19

Picked up a few today
Discount is not bad
Might add further if fall continues

[zoolook] 16/12/2021 19:46

At a wild guess logistics companies ;-)

How long before the sellers clear out?

[chrisdgb] 03/12/2021 08:24

Wonder what kind of target they are looking at...?

[eezymunny] 18/11/2021 22:17

There is no meaningful cash flow. Because this is a cash shell.

FFS.

[harithakur2710] 18/11/2021 18:57

I think they will give 1 pence dividend because they know that shareholders are looking for some positive news and with the cash flow they have they just might, obviously nothing is certain at the moment.

[harithakur2710] 08/11/2021 09:22

I don't know why people don't believe me when I say this LDG will hit .50 pence per share they are valued as per today at .19 pence alone and this is when they have not even given any dividend out. I have faith in DBAY that's why I bought EDDIE STOBBARD shares when they took them over and at that time ESL were running huge losses.

[chrisdgb] 08/11/2021 09:07

Crazy discount to cash now..........

[harithakur2710] 08/11/2021 07:05

lol, wait and see.

[ntv] 05/11/2021 08:54

What are you smoking?

[harithakur2710] 02/11/2021 10:27

Well they did mention they were looking to make or have more investments done with their cash. I bought there shares last year at (2020 May ) at .07 pence after ESL was taken over by DBAY and sold them all at .16 pence in JAN and then bought them again at 12 pence. I am holding at the moment and hoping that they will give dividend, if they don't these shares will not go up as they won't be attractive to investors. In order to be attractive to investors they will have to declare some sort of dividend. If they don't want the stock to be attractive than they might as well keep it the way it is and just do a cash buy back. If you read their statement when they did the 2020 Final results they mentioned in their statement that they have turned the company around which means they want to prove to the shareholders that they know what they are doing. I think it was a smart move to sell Eddie Stobart as logistics currently is nightmare, driver wages going up, Brexit, wafer thin profits and cash is king. The thing with DBAY is the only time they communicate is when they have something positive to say and when they are required by law to say something. It is not a company that regularly updates the market like cairn energy. Their financial year ends in NOV so by Dec or Jan they will declare some sort of news and if they have decided to give dividend then it will be great otherwise just invest in MANX financial for ISA (long term ). I am willing to give them chance because I have already made money out of them and they have delivered. Don't forget last year when they were offering discounted shares to existing shareholders lot of the board bought shares up to million shares and they would want them to go up as they have bought them in pennies and if they sell them in pounds they are sorted. They might not care about shareholders but they do care about the shares they have bought and want a healthy return. If I am not wrong they have bought those shares for .5 pence

[zoolook] 02/11/2021 10:03

In their current state as a cash shell what sense is there in a dividend? If they believed they didn’t require this level of cash for the next acquisition a tender offer at a discount to cash would be a better outcome for shareholders - both those wanting to exit and those wanting to hang on who will see a a rise in the TNAV per share. No idea how you think a 0.4p dividend will result in a 50p share price It’s not an ongoing business in its current form.

[harithakur2710] 02/11/2021 09:00

I don't think there will be a share buy back, if they were going to do that. They would have done it by now. They will declare .4 pence per share dividend. They want to prove to the market that they can turn the company around. LDG would hit around 50 pence or over if they offer .4 pence per share. Don't forget that when the company share price goes up so does the value of the company hence the shares which are owned by the owners their shares goes up. As someone once said in this chat room profit from logistic are wafer thin which mean it is ideal to be a investment company rather than a Logistics company. My bet is that they will declare dividend in dec - Jan and it will be around .4pence per share. Is they declare more than one dividend in the year more investment funds and pensions funds will be interested in this shares hence more people will buy thoer shares. I am happy to wait till Jan to see what happens, If you buy 1 million shares and you are getting .4 pence per share dividend do the maths.

[chrisdgb] 06/10/2021 12:02

These are cheap........

[eezymunny] 17/9/2021 21:35

Shouldn't be tax due. Check substantial shareholding exemption...

[pinkfoot2] 17/9/2021 19:00

Might the discount be due to tax on the sale of the shareholding?

[eezymunny] 14/9/2021 08:54

From the LDG Articles on website.

"43.2 Subject to the Companies Acts and any rights attaching to any class of shares, the Company may purchase its own shares (including any redeemable shares)."