Low & Bonar Share Discussion Threads

[time_traveller] 21/9/2019 10:26

I think it needed to be above the fund raising offer price of 15p to be palatable. Glad I topped up when it was about 6p so only a small loss overall.

[spectoacc] 20/9/2019 18:47

I think that's a fabulous offer considering the accompanying t/s - well done holders.

[kinwah] 20/9/2019 18:21

Yes well done brave shareholders! Freudenberg are a good company with substantial operations in the North East of England as well as all over the world. They bought George Angus many years ago. This is a remarkable outcome for LWB bearing in mind it is still short of cash.

[tiswas] 20/9/2019 17:49

Well done holders who bought recently. I was building a position via a SB but it was still piddly in size.

[baner] 30/7/2019 14:59

spectacular fiasco for Sterling Strategic ! they could of course save their face by bidding for the shares in L&B they do not already own (at a 30-40p average cost......).

[time_traveller] 30/7/2019 11:26

At least the stated aim is to enhance "shareholder" value, and not "stakeholder" value, as Thomas Cook took to saying shortly before hanging the shareholders out to dry.

[nick rubens] 30/7/2019 08:41

"Progress on Strategic Actions - raised £50m Feb 2019"

I don't think I would have stated that as progress.

Very disappointing for a UK Plc. Todays Interims have reminded me what can and usually does happen with many listed PLC's that rack up debts for shareholders and good salaries for directors.

Maybe time to rethink as to whether I want to own any shares in anything at all.

[baner] 30/7/2019 07:43

NET DEBT SHOULD NOW BE CA 80M. RUN RATE EBIDTA PROBABLY 25-30M. SO NO FINANCIAL CRISIS. AT 6 TIMES EBIDTA EV IS 150-180M AND EQUITY VALUE 70-100M OR 10-15P/SHARE. REPORT STATE BETWEEN THE LINES THAT THE COMPANY IS OPEN FOR A BID, MY READING. SHARES LIKELY TO TRADE DOWN TODAY WHICH MAY TRIGGER SOME ACTIVITY.

[spectoacc] 30/7/2019 07:40

Hard to escape the impression the management are doing the job of liquidators. Still too early to tell if LWB can pull through - is a lot in the price if they can. Quite a few moving parts - trading (obviously, & still poor, but only one more strong comparative), debt (coming down but still high), costs (doing well), RoE.

[kinwah] 30/7/2019 07:34

Time traveller about 6 months. Truly shocking interims.

[time_traveller] 29/7/2019 10:25

In the current buyout frenzy, how much longer can LWB remain listed?

[meijiman] 25/7/2019 10:35

Some great posts..but are the shares a buy? I was lucky to catch some in the 6p level when it looked to be priced to go under. still think attractive up to about 15p though it might take a few months.

[time_traveller] 25/7/2019 10:14

But if you compare the achieved price compared to LWBs NAV per share, it looks rather better.

[spectoacc] 25/7/2019 09:43

Not sure what to make of it. £15m for something that made a profit of only £1.2m sounds OK, until you read they were expecting it to make a profit of £2.8m this year, and had assets of £31.1m. So someone's paid half NAV, and perhaps 5.8x current year profits. Doesn't do to be a forced seller.

Assume it's been bought on a debt-free basis, but any effect on the pension fund I wonder?

Should be another kitchen sinking set of results coming, then might be worth another look.

"In the year ended 30 November 2018, NPNW recorded a profit of approximately EUR1.3m (GBP1.2m), out of Civil Engineering underlying divisional profits of EUR0.1m. Management had expected NPNW to make a profit contribution of cEUR3.1m to the Group in the year to 30 November 2019. At 30 November 2018, the assets of NPNW were approximately EUR35.2m (GBP31.1m), out of a divisional total for Civil Engineering of EUR46.9m (GBP41.4m). The transaction will generate an estimated GBP10.1m non-underlying pre-tax loss for the Group."

[baner] 25/7/2019 08:15

Kinwah

I totally agree with you - a really low price realized however they have now sold the Civils for in excess of £20m in total. Net debt should now come down to below £80m. With EBIDTA of say £30m pro forma, and TNAV of £110m-ish, L&B is now out of danger financially and this should be reflected gradually in the share price. Once the dust has settled we should see the company making 1-5-2.0p/share. Unless the shares comes back to the issue price or better, i guess there will be a bid on the table in a not too distant future. At 7xebidta the equity value should be ca £130m or nearer to 20p/share. To get to 15p you would need an ebidta multiple of ca 6 which given the good quality niche businesses left in L&B should be attractive.

[kinwah] 25/7/2019 08:03

A poor price has been achieved for the needle punched nonwoven business. It would be interesting to know the cash and inventory levels of the companies sold. My guess is the venture capitalist buyer has paid in rough terms for the stock and cash and got the business for free. A 10 million pound loss on disposal says it all. Hopefully there won't be too many other disposals like this or there'll be nothing left for shareholders.

[dplewis1] 25/7/2019 07:06

I guess the next leg up will be today then?

[boyleslaw] 16/7/2019 14:17

Am out. Can't be bothered waiting for next leg up.

Good luck to all

[boyleslaw] 12/7/2019 16:03

Oh well, maybe the 15p will be next week? Lol

[cc2014] 11/7/2019 10:10

Well done. A masterclass in how to trade.

Volume going thin but someone still wants to buy at least in limited quantities anyway. Another UT gone through at 12.55. I sense a few sellers at that level but they seem happy to wait for the market to come to them.

[boyleslaw] 10/7/2019 16:57

Well done to you. A little rest today to take the steam out of it. Looks more presentable to the FCA.

15p by COP Friday :)

[spectoacc] 10/7/2019 14:03

Now out, best of luck to holders. Plenty of upside if LWB can sort themselves out.

[dplewis1] 10/7/2019 13:02

It does appear that the algo buyer has woken up again

[cc2014] 10/7/2019 12:23

Someone still wants stock. Those 2m sell orders at 14, 15 and 16 which appeared yesterday afternoon and have returned this morning are desinged to try and hold the price down for the buyer. They are too far off the money to ever get filled and completely fake imho. If the price pops up close to 14 we will soon see them get pulled or moved to say 18.

[dplewis1] 10/7/2019 11:23

I'm not convinced that algo buyer is finished. Was happy to lift 12.5 yesterday and this morning.. might just be giving it some breathing space and allowing it to dip a bit before resuming.