Lok'n Store Share Discussion Threads

[moscowtrader] 19/12/2006 11:46

RNS - Audley now own 10.2%

[wan] 19/12/2006 07:53

BYG's current pricing @ 80% premium to NAV (takeover or not) appears to make LOK a relative bargain at no premium to NAV. If BYG is taken out, or indeed has perhaps peaked, then we could see some money flowing across here to LOK, which could have some way to go in share price terms to even replicate 'part' of BYG's performance.

If I am anywhere near right we could/should see some further holdings announcements from this pm onwards, time will tell.

[moscowtrader] 18/12/2006 12:12

BYG - bid rumours of takeout at £7.00

[moscowtrader] 17/12/2006 09:06

Very sharp rise in share price of BYG on Friday - up nearly 5% - no one seems to know why. I'm sure we'll find out soon the reason for this.

[wan] 15/12/2006 07:13

So yesterday a broker paid over the ask price, interesting if not unusual.

The three trades totaling 650k of shares represents circa 2.6% of the issued shares, so given the activity to date, we will probably see further holdings announcements.

A two horse race, or acting in unison?

Dresdner Kleinwort Group Limited - 9.24%

Audley European Opportunities Master Fund - 9.06%

Total 18.3%

These holding might actually be higher after yesterdays trades, but lets see what happens there before further comment.

[moscowtrader] 14/12/2006 15:53

two 200,000 trades on today so far at 215p and one broker to broker trade at a little above 215p. Institution picking up stock - who is it? Stock seems steady at this level. Would not surprise me if price slips a little to around 200p/205p level before next leg up. MT/KT

[moscowtrader] 14/12/2006 14:14

Dresdners have picked up another 150,000

[wan] 14/12/2006 07:13

The wheels of the REIT machine are starting to turn faster. A few days ago I mentioned/suggested an investment idea/theme, and it appears someone else is in front of the curve -

Prospect of adopting Reit status lifts pub groups to record highs -
Pub companies Greene King and Wolverhampton & Dudley closed at record highs yesterday.

They gained 3.6 per cent to £11.11½ and 2.9 per cent to £17.90 respectively after Evolution Securities highlighted what it said was the huge valuation upside from adopting real estate investment trust (Reit) status

Full story in the FT -



REIT status for LOK must surely be high on Audleys list, but is a 9% stake sufficient to push through change (and perhaps not 'just' REIT)? Probably not, given the directors combined holdings, so it is likely we will see further increased holdings announcements. Where is this taking us? Well strictly in my opinion only, LOK looks a likely candidate to become part of someone else's property portfolio.
And if Audley are not already in combination with others, they too could have a fight on their hands.

I believe we have not yet seen the best here yet (cue BYG's performance and indeed others who have confirmed REIT status), but please conduct your own research etc, as this is strictly my own opinion, which could be well wide of the mark, or completely wrong.

[wan] 11/12/2006 14:42

I did not think Audley were finished, RNS annoucement says that they picked up another 1% -

[moscowtrader] 11/12/2006 12:06

bid coming soon i think. MT/KT

[wan] 11/12/2006 08:16

Also with a few cross trades and broker trades recorded at the end of last week, we may see further holding announcements. Fwiw and given the Audley European Opportunities Master Fund's 'activist' status/purpose, then I cannot see they are done at a holding of 8%, time will tell.

[wan] 11/12/2006 07:16

Some further thoughts, 'ahead' of the crucial REIT date -

There must only be, 'at best', a handful of companies that are 'suitable' for REIT conversion but that have not yet committed to the process/idea of conversion. If I had the time I would scour the market for other smaller candidates that could grow into REIT, or simply become a target (I might do some research over the Xmas break, which might provide for a interesting and hopefully profitable investment theme), or indeed be encouraged/forced to convert, cue activists for example, cue then the recent interest/holdings in LOK?

My point is that the more I think about it, LOK not announcing/detailing even the consideration of conversion, appears to actually heighten the chance of becoming a target, dare I say a hoisting of the for sale sign. If you also consider that the chancellor announced that 'newly' formed companies that will be REIT's from conception, and will have up to one year to comply with the REIT parameters, then the likelihood of more than one company running the rule over suitable candidates/assets will intensify after 1st of January. Given the attraction of REIT's and indeed various reports that there could be a quite a few 'new' REIT companies, and with suitable properties (& existing companies) in short supply, then existing assets/companies will be, at the very least, fully bid.

Chuck in the fact that 25% of REIT income can come from development, and subsequently companies with 'additional' development potential and/or planning permission would perhaps be an even more attractive candidate for conversion. LOK's Kingston site would even sit well with being retained after development (or at least a percentage), as it appears to have excellent rental potential. Attaining planning permission on the Reading site, which appears to be a case of when and not if, could also fall into a similar category of being sold/retained within the parameters of a REIT. Food for thought, but in any case we appear to be moving up a gear as a growth story, and perhaps blipping on a few radar screens in the process.

As I said above, just airing a few thoughts ahead of what I see as a key period, however, I could be well wide of the mark, so please conduct your own research etc.

[moscowtrader] 08/12/2006 16:46

Upward price movement to 213p bis on very little volume. My personal thought is that a bid or at least an announcement that LOK is in talks is imminent. We should see 250p very quickly now.

[wan] 07/12/2006 07:26

Pgetty...I don't mention target prices very often, but given the trade activity and indeed activists, we could realistically see my earlier 'suggested' figure of 255p, a take out price could be a touch higher though at circa 275P. Strictly my own opinion though, and I could be wide of the mark/over optimistic!

Regards, wan

[pgetty] 06/12/2006 16:28

Well LOK has shot through my early new year target of 210p! I'm wearing my greedy/optomistic/thinking cap at the moment so will sit on the fence for a while longer but move the s/l to 190p.

Regards

[moscowtrader] 06/12/2006 09:14

LOK definitely going higher soon as got on-line qute to sell and market is bidding 210.75 for upto 10000 shares . Normally it is only 5000 online and the true price bid seems to be 211. Going higher. MT/KT

[wan] 06/12/2006 07:16

Since the last holdings in company RNS there has been a continuation a reasonably large trades, so we may be due further announcements? I also note how readily the market is absorbing any selling, which might mean that accumulation ahead of the AGM is indeed continuing? On that note I wonder whether the Audley European Opportunities Master Fund is acting in concert and indeed whether they will show their hand at the AGM tomorrow, given the previous description (see below) at least some change seems likey -


Audley European Opportunities Fund Limited is an advanced stage shareholder activist fund, co-founded by UK activist pioneer Julian Treger and private equity investor Michael Treichl. The Fund invests substantially all its assets in Audley European Opportunities Master Fund Limited whose objective is to invest in the equities of a limited number of publicly traded UK and European companies in the small and mid-cap sector, in a wide range of industries, and subsequently use its ownership to either drive an operational and/or financial restructuring or effect a "going private" leveraged recapitalization or similar transaction.


I would like to think that REIT status in on the agenda, if successful that should add another spring to LOK's step.

[wan] 04/12/2006 17:33

Mr Stock...You are a tad testing! Look at the vesting period, the start of which is two years away and runs for a total of 7 years! So seeing as it has escaped your apparent small mindedness let me explain. Options used correctly are a longer term incentive, in other words, it is a target to hit, a carrot if you like, that the company is run and performs well, which usually results in the share price performing well too, and further more it is obviously in the interest of the director concerned to actually be there to benefit. That aside get youself to the AGM if you have a problem with how the company is run.

PS...Just a reminder, I said to you on the 29th Sept 2006 that -

"I would be interested to talk about excess returns in a year from now! In the meantime LOK are in the growing phase, in a growing market that is 'far' from mature. And regardless of you thinking otherwise, a bid along the way cannot be conclusively ruled out. So I look forward to chatting, but a bit further out in time."

We are now some 35% higher than when we spoke about excess returns and that was only circa 8 weeks ago and we have another 44 weeks to go! One thing is for sure, given the options you quoted, the directors will be working hard to make sure the share price is heading in the right direction ;-)

Regards, wan

[mrstock] 04/12/2006 13:04

Interesting, the company continues to dole out stock options to its employees but still no dividends to its shareholders! A sure sign of something rotten.


Lok'n Store Group PLC

30 November 2006


Lok'nStore Group plc (the 'Company')

Grant of share options


The Company announces that, on 28 November 2006, it granted options over its 1p
Ordinary Shares to the following director:


Director Number of options Exercise price Vesting period

Colin Jacobs 25,000 205p 28/11/2009 to 28/11/2016

[wan] 04/12/2006 07:13

An interesting week ahead, Budget on Wednesday, which may also contain more details regarding the overhaul of ISA's and LOK's AGM on Thursday, so will more shares be bought up ahead of the voting? Time will tell.

[moscowtrader] 01/12/2006 19:53

Over 400,000 shares traded today - a significant % of the company.

[moscowtrader] 01/12/2006 08:42

25,000 options granted to Jacobs at 205p.

Interesting today - market size online is only 1500 shares. M/Ms getting ready for the buys on the back of IC article which will push price up again. Lood as though there is no stock in the market if size is being limited.

MAy even be 250p by end of month. MT/KT

[wan] 01/12/2006 07:20

LOK back in the IC again, highly rated with a buy rec in an artcle which includes some large players, also comments on the share price discrepancy compared with Big Yellow ie LOK 5% discount to NAV and BYG 60% premium to NAV.

I have quoted this before, if we give LOK a conservative 20% premium to NAV, because it is a smaller player/AIM listed and as yet there has been no confirmation of conversion to REIT, then that equates to a share price of 255p.

I still think there is a lot to go for here, as do the recent institutions that are building notable positions.

[moscowtrader] 30/11/2006 08:49

Going higher. Market is bidding upto 7500 shares at 207.5. normally the maximumum quote size is only 5000 shares indicating there is a bigger buyer out there looking to pick up stock. Will be over 210 bis before we know it soon. KT

[moscowtrader] 29/11/2006 15:52

207-210p already on little volume. Seems to be a big buyer out there talking higher. Will be 220p now very soon. KT