Matrix European Real Estate Share Discussion Threads

[karldinnel] 20/9/2010 15:49

I had to pay over 100p...

[n1mgn] 20/9/2010 15:13

Karldinnel ,

u topped up ? what price ? i am 99 bid only got 1000 or so , so far . i got so many of these and still cant resist adding a few more , i just got an email from cenkos about investor meetings in october .

with those numbers this thing will in ,my opinion get bid for just when and how much , 2.10 my guess ,any one else

[kramch] 20/9/2010 14:14

Been to their website where you can cut and paste the url and open the pdf.

Had a v. quick look, can't see any surprises. They are taking a very conservative view of Europort and Nice, but still have a strong rent-roll vs interest & management charges. Interest rates caped very low but getting hit bt FX swaps. K.

[karldinnel] 20/9/2010 14:03

LOL n1mgn. Sharedealing is very infrequent in MERE.

If you are a long-term holder like me you should be just hanging on to your shares and collecting the 8% per annum income. One day European commercial property will hit the big boys' radar and that's when we'll see these fly.

Until then, I am happy to collect the divi...

[n1mgn] 20/9/2010 13:56

wakey wakey market ,

[karldinnel] 20/9/2010 13:49

Still at a discount of 60% to NAV and they are talking about growing the dividend - currently 8p per annum.

Meanwhile, they've factored in a lot of negatives when working out whether they can afford dividend. Clearly a good forward-thinking management team here:

DIVIDEND ASSUMPTIONS
In setting the current level of dividend, the following assumptions
have been made:
• Net valuation income as at June 2009 and following the IZD
sale at €30.2million.
• Debt at €239.9million and an average total cost of funds at
5%.
• No income from Nice to allow for tenant break.
• High levels of vacancy at Europort - in excess of current levels.
• The loss on the FX Quarterly trade continues to be funded
from income.
• A further risk margin is allowed to cover unforeseen events.
As a result, the income distributed is more than 2x times covered
which enables the Company to:
• Be confi dent that the level of dividend is sustainable and can
be grown over time.
• Provide an attractive return, whilst still building cash reserves.
• Have the fl exibility to deal with the portfolio (selling assets for
example) without being required to reduce dividend levels.


I've topped up...

[asmodeus] 20/9/2010 12:55

Has anyone else been able to open the document re: presentation today?

[karldinnel] 16/9/2010 17:09

I'm happy holding for now. I'm hoping it track sideways/downwards for a while so that I can accumulate enough funds from elsewhere to top up ahead of the next divi announcement...

[ydderf] 16/9/2010 15:29

more like a spike down methinks!

[geng] 16/9/2010 14:41

About due for another spike up - I reckon somewhere around £1.45 - any other guesses?

Looks oversold and now divi equates to over 8%

[karldinnel] 16/9/2010 08:03

OK. Someone on another share discussion site has posted a Google translate version of Spanish news about Panrico, one of our tenants.

My own Spanish is pretty good (spent quite a bit of time out there and in South America over the years), so I've looked through a few articles on Google Espana and it appears that Panrico has successfully restructured its debt - which suggests it's going to be around for a bit. It has also reported that it is now set up for a new phase of growth!!

Panrico, by the way, is a food manufacturer: donuts and the like. It operates out of three of our properties in Cordoba, Murcia and Valladolid.

[karldinnel] 01/9/2010 20:47

Sand. You and I know very well that this share can shoot up and down very quickly because it isn't very liquid. I got panicked into selling my entire stake when this hit 50p last year some time and then had to buy back in at 60p-plus or something soon afterwards. Not happening again...

As long as the business stays solvent I am happy...

[sand dollar] 01/9/2010 19:51

Enjoy the divi, capital appreciation will come later. If you are concerned about short term share price movements you probably shouldn't be in this share.

[karldinnel] 01/9/2010 16:46

I would not be happy at a low-ball takeover. This share is already trading at, what?, a 60%-plus discount to NAV. AND it is paying annualised dividends of 8p per share (i.e. 8% yield at current share price).

What would an offer come in at? 150p... maybe 200p? No thank you very much. When the property markets get stronger (as we know they will) in a few years' time, the NAV here will be much greater than three pounds per share...

Having said that, there have been news stories about sovereign wealth funds and US investors looking at European property over the past few months...

[johnv] 01/9/2010 16:40

Takeover would be nice, remember if the MMs get a whiff, they do the obvious tree shake. I see this in so many companies a dip before a decent rise

[geng] 01/9/2010 16:16

Wow - why the big sell off today - highest volume for ages!

probably a takeover about to be announced?

[karldinnel] 01/9/2010 15:29

So what? Let them sell the lot.

Now that we have a healthy dividend, happy to hold on here. I am being paid 7.5% to hang on until the market wakes up to the real value here.

I could go and put my cash in a savings account or premium bonds instead, I suppose...

[tim00] 01/9/2010 15:15

A sale of 3300 shares taking them under 5.00%! Who knows why they bother moving below 5%, unless it is so that they can sell more shares (while remaining above 4%) quietly without having to disclose it.

[karldinnel] 01/9/2010 13:47

In fact, it wouldn't surprise me if someone is selling their MERE shares in order to buy into ALPH, another European property play and one that is going ex-div soon...

[karldinnel] 01/9/2010 13:44

Well, we know that there will be another dividend in Feb, so I'm cool.

Problem with this share is that there is very little liquidity. So, when there's buying it moves up sharply and when there's selling it falls quick too.

There's obviously a seller who needs the funds elsewhere at the moment...