Oakley Capital Investments Share Discussion Threads

[essentialinvestor] 20/1/2021 16:24

SM is an investment trust, understand the point you are making though.

OCI's long term record is good, so I'm guessestimating the market questions

sustainability and that may involve a key person 'risk' NAV discount.

How valid that may be, I can't say.


If anyone else can add a further view, would to interested to hear, thanks.

[essentialinvestor] 20/1/2021 11:57

3i Group trades at a significant premium to NAV.

[essentialinvestor] 20/1/2021 11:55

Really?, look at 3i.

[shaker44] 20/1/2021 11:53

Maybe just suspicious if private equity

[essentialinvestor] 20/1/2021 11:08

Why the continued discount - is it possibly the market assuming OCI performance

rests on a small number of key personal?.

[yellowstoneadvisory] 15/1/2021 17:13

OCI webinar coming up: Feb 10th at 12:00

Steven Tredget, Partner at Oakley Capital, will provide an introduction to Oakley Capital Investments (OCI) and an update on company performance following the 2020 year-end trading update on 27 January.

Register: hxxps://us02web.zoom.us/webinar/register/3016106378507/WN_n1ZtwZlBTFKxdpcETrXUTw

[speedsgh] 07/1/2021 13:26

Over the last 5yrs OCI has seldom traded a discount lower than 20% to NAV (discount reduced to just over 15% at end of 2019). Over the preceding 5yrs the discount was generally lower (end 2014 it briefly reduced to just over 5% discount). So the current discount is not unusual. So future value relies on management continuing to increase NAV and somehow making the discount reduce to lower levels.

[ali47fish] 07/1/2021 12:46

i knew even whe i took a position in this trust that the share price movement is ever so slow- does any one know why- nor am i sure as to when i should add despite the large discount!

[makinbuks] 07/1/2021 09:59

Daisy Group was quoted many moons ago and struggled to have its potential recognised. Interesting to see how it has survived and thrived in PE hands. Its also a lesson in how we accept PE managers valuations as if they are a fact. In this instance the valuation was proved conservative in the end (by selling to another PE manager of course!) but I suspect a market quote would have been much more of a boom and bust story

[crispfin] 07/1/2021 07:53

Pleasing to see another disposal above book value.

Would be interesting to know if management ever give any indication of their intentions with the cash.

Private equity is increasingly competitive, so would like to see some of that cash returned if it can not be invested.

[donald pond] 07/1/2021 07:35

Well, there's a small disposal adding 5p to NAV. And yet more to the cash pile.

[888icb] 30/12/2020 10:10

Yes indeed the Covid drop has been entirely recovered and a new high achieved.

[ny boy] 30/12/2020 08:58

Onwards & upwards!

[deadly] 07/12/2020 18:15

Thanks for that.
Performed better these last few days.
Should be lots more to come long term.
Dilemma whether to buy more of these or CGI.

[crispfin] 05/12/2020 15:36

Decent summary by Hardman:



As other posters have mentioned, at this level of discount, it is difficult to see significant downside risk, particularly when such a material proportion of the NAV is cash. The Hardman doc covers the potential for nice upside coming from disposals made above book value value. We will see.

Given nearly 10% of the available shares have hit the market from Invesco selling, it's very possible this is what has driven the share price to these levels. Now the selling is done, lets see what happens to the price. As much as I want to see it rise, I'd rather see more buy backs done at these levels...

[888icb] 04/12/2020 22:38

I believe it has had a buy recommendation in IC today.

[makinbuks] 04/12/2020 17:02

Invesco divested 180m while the company helped with 7m. Expect some more announcements in due course presumably. I love the way this company understands the negative impact an overhang can have and moves to sort it out. Meanwhile buying back at a discount helps the share price anyway. Great stuff

[spectoacc] 04/12/2020 16:46

With some of them bought back by the co. I'm long out of OCI but well done all those still in, has had a cracking bounce & removing Invesco is a big plus.

[cwa1] 04/12/2020 16:40

Invesco gone

[davebowler] 22/10/2020 09:09

Liberum;
£43m investment in WindStar Medical via Fund IV

Mkt Cap £480m | Prem/(disc) -27.6% | Div yield 1.8%

Event

Oakley Capital Investments has announced that Oakley Capital Fund IV has agreed to acquire WindStar Medical GmbH, Germany's leading over-the-counter consumer healthcare company. OCI's indirect contribution to the investment will be up to c.£43m, dependent on the capital structure at completion, and the transaction is expected to be completed by the end of the year.

WindStar Medical's platform, which is expected to generate over €120m in revenues this year, designs, develops and commercialises branded consumer health and private label products, with a track record of establishing best-in-class medical formulations and brands. The consumer brands segment of the business offers a wide range of premium high-growth branded products in Germany, including SOS (wound care / disinfectants), Zirkulin (gastro-intestinal care), GreenDoc (mental wellbeing) and EyeMedica (eye health). It is also a provider of private label products to the leading German drug stores and supermarkets, whilst also developing an international distribution footprint through existing and new partners.

Liberum view

The investment in WindStar Medical builds on Oakley's successful track record of investing in leading consumer platforms in the DACH region. The business has many of the traits Oakley looks for when acquiring a business, being an asset-light model with industry-leading operational capabilities and an attractive growth profile. WindStar looks well placed to benefit from the structural growth within the German consumer healthcare market. Market data suggests that the sector is growing at 5-6% a year, driven both by demographic trends, such as an ageing population, and a shift in consumer preferences driven by factors such as increased awareness of physical and mental wellbeing and willingness to prevent illness. There is also an apparent shift away from the pharmacy and towards traditional retail outlets. This is driving greater growth in the market overall and also a shift to white label products.


OCI is well placed to capitalise on further attractive investment opportunities with more than £200m of cash following recent acquisitions. The shares trade on a c.30% discount to our pro-forma NAV estimate, which we regard as highly attractive given the manager's track record and the NAV growth potential of the fund.

[brexitplus] 09/10/2020 11:28

Just watched Martin Sorrell talking about where he would invest now. OCI covers most bases except healthcare.

[brexitplus] 06/10/2020 07:46

Big buy-back today.

[makinbuks] 17/9/2020 15:24

Indeed, the cash pile is bigger than ever!

[ayl30] 17/9/2020 07:30

Nice disposal announced today

[shaker44] 14/9/2020 16:26

Why apply a haircut?? Why 5% 'just for fun'? Don't geddit