Ocean Wilsons (holdings)... Share Discussion Threads

[neckygiraffe] 29/3/2011 17:37

I know Seymour Pierce cover them but I haven't seen an update from them taking into account these results.

[jodi17qad] 29/3/2011 17:10

Now that the share price has breached its 200 day moving average,is this the time to sell?

I am surprised at the continued weakness of the share price, given that Brasil is thriving and the company play such an important part in the infrastructure of the country and are so deeply involved in oil and gas exploitation.

Has anyone seen any comments(other than above) or broker opinions?

[strollingmolby] 28/3/2011 16:52

I can assure you there was at least one purchase today - mine! At £11.89, well under the £12.05 quote.

[jodi17qad] 28/3/2011 16:37

With only sales recorded today on LSE and Plusnet (albeit relatively small) it is, perhaps, surprising that the share price appears to have risen marginally, although within the spread.

[energiser01] 25/3/2011 11:12

prelims 28th march

[future financier] 25/3/2011 10:18

Anybody know when we get the prelims - need something to stop the price sliding!

[piedro] 13/3/2011 10:46

PRESS RELEASE
Wilson, Sons announces christening of PSV Torda, the 11th in our fleet of offshore support vessels.
The ship was constructed in the Wilson, Sons Shipyard in Guarujá and delivered to Wilson, Sons Ultratug Offshore (WSUT) in which Wilson, Sons has a 50% interest. The vessel forms part of an expected fleet of 24 vessels by 2015 and will be the 11th in operation with long term contract to Petrobras. A further 3 PSV´s pre-contracted to Petrobras are in different stages of construction in the Wilson, Sons Shipyard.
PSV Torda has specifications of 87.4 m length, 16 m width, draft of 5.95 m, 4,500 deadweight tonnes and speed of 15 knots. The vessel was built with technological and design input of Damen and financing of the BNDES as agent for Merchant Marine Fund (FMM).
To complement its strategy of building and owning vessels WSUT is also chartering two Anchor Handling Towage Supply (AHTS) vessels for a period of 90 days from the end of February 2011. The AHTS´s are chartered to attend a specific client demand.

[piedro] 16/2/2011 16:35

Petrobras announces the discovery of a new accumulation of good quality oil (26º API) in the Santos Basin pre-salt reservoirs.

[piedro] 26/1/2011 22:01

RELEVANT FACT NOTICE
Rio de Janeiro, Brazil, January 26, 2011.
Wilson Sons Limited (Bovespa: WSON11 or "Company") announces to all its shareholders that Intermarítima Terminais Ltda ("Intermarítima") has exercised a call option granted by the Company to buy 7.5% of the ordinary shares of Tecon Salvador S.A at a price of R$11,201,625.00 (eleven million, two hundred and one thousand, six hundred and twenty five Brazilian Reais) on the 26th of January 2011. The right of Intermarítima to exercise this option was subject to the Company gaining the right to operate exclusively in the area of Salvador's Port referred to as "Ponta Norte".
Intermarítima is an important inland and port logistics operator with activities in the major ports of Bahia state - Salvador, Aratu and Ilhéus. This alliance will facilitate the continued growth of Tecon Salvador as well as the exploration of new general and bulk cargo opportunities in Bahia, the sixth largest Brazilian economy according to data from the Brazilian Institute of Geography and Statistics.

[fatman4] 21/1/2011 16:41

bought few at 13.87.like the market/country wilsonsons are in and investments seem pretty daring and good-will keep long term

[salvorhardin] 14/1/2011 13:34

Thanks Angus, my mistake.

That'll teach me not to look at my notes before posting (fat fingers on the calculator caused the error and a hangover meant that I didn't spot it!).

It's definitely undervalued. I'm happier with that way now as I've got some cash coming in next month with which to buy some more and I rather buy when undervalued than fair valued :-)

Brazil is going to get a lot of attention in the next few years thanks to the World Cup and Olympics - that's when a lot of people will take a look at companies like Ocean Wilsons.

[angus duncan] 14/1/2011 11:14

Salvor,

Your calculation is wrong 1 OCN shares effectively owns 1.174 Wilson & Sons (41.44M divided by 35.3M) which works out at £14.16 + investment portfolio. That is a 30% discount

Piedro,

I would not say that Wilson & Sons is over valued at all, if you study the accounts going back several years you will see just how much money has been re-invested in the business year after year. For about the last 4 years, the total profits from the year have been re-invested over $100M a year for a company only valued at $800M. You'll be hard pushed to find another company anywhere that has re-invested as much compared to its market cap.

The company's results dont truely reflect its assets. They have sunk a lot of cash into this logistics business which as yet is not really making a decent return on investment, they are still trying to scale it up, to the point where it does give a decent return. They have spent vast sums on the container terminals which now have the latest cranes etc etc and can handle much more traffic without them having to be upgraded (Rio Grand), meaning most of the increase in traffic which will occur as Brazil expands will feed direct to the bottom line.

The shipyard is a major asset.

Personally would like to see them buying other container terminals if possible, even if not in Brazil.

The shares are on a low multiple as it is, just watch what happens over the next 2 or 3 years.

[flyfisher] 14/1/2011 09:39

salvor
the IMS statement reported £17.33 nav at the end of october , at wson11 29.75r market price , since then the wson11 price has increased by about 8% and investment portfolio would likely have grown and the real has strengthened against sterling.

[salvorhardin] 14/1/2011 08:59

Wilson, Sons shares are currently quoted at R$32.00

Each 1 Ocean Wilsons Holdings share effectively has 1.013 Wilson, Sons shares

2.6482 Brazilian Reals to the pound

Thus 1 Ocean Wilsons share = 32 / 2.6482 x 1.013 = 1,224p worth of Wilson, Sons.

Add the portfolio on top (say 450p to be conservative)

1,224 + 450 = 1,674p. So the current share price of 1,440p represents a 14% discount which seems reasonable to me.

[piedro] 14/1/2011 08:23

AD
'the company is totally undervalued compared to its assets'

From the Wilson Sons 3Q Results
Equity = $455.11m
58.25% = $265.10m for OCN
35.36m shares in issue = $7.49 per share (£4.74 per share)
If my calculations are correct
It could be said that it is the WSON share price that is over-valued

[angus duncan] 14/1/2011 03:32

Time to say something.

The flotations of Wilson & Son's in 2007 was meant to enhance shareholder value, by having the Brazilian business quoted as a seperate entity.

However here we are in 2011 and the company is totally undervalued compared to its assets, indeed the current shareprice of OCN does not match the value of its holding in Wilson & Sons. 41.44M shares x R$33 = R$1,367 divided by 1.67 to convert to U$814M divided by 1.58 to convert to £515M or just over £14.50 per share.

Obviously the companies previous strategy has failed to work, as it has not invested any of the funds it had at its disposal in other ventures during the past 3 and a half years. Instead it has invested the funds via a fund manager into near enough funds of funds all of which receive management fees upon management fees before the shareholders get any possible return on the money invested.

It is time for change, the directors should be issuing bonus shares to shareholders via a 9 for 1 distribution. Thus creating 353M shares in issue.

At the same time the company should initiate a sharebuy back plan to acquire up to 25% of the shares in issue.

The cash/investments are worth approximately $250M or £158.25M or £4.50 per existing share, or 45p once the above bonus issue takes place.

Not only will the share buyback underpin the shareprice but as an example for every 1M existing shares bought at the current price £4.5M would be added to the overall value to be distributed amongst all outstanding shares which would increase there NAV by 13p

[davebowler] 06/1/2011 15:00

UTL at c.30% discount to asset value has UEM (8% discount) as one of its main holding which in turn holds a large chunk of OCN at 25% discount to NAV

[flyfisher] 04/1/2011 15:54

Advances in world markets since the IMS statement should have added about 5% to the investment portfolio , the WSON11 holding has performed well and the currency exchange rate has gone our way , NAV looks about £ 19.70 .

perhaps the trading update due in 3 weeks will highlight the value here .

[energiser01] 23/12/2010 12:32

WSON11 - WILSON SONS DR3
R$ 31.50 (12/22) Open: R$ 30.60
High: R$ 31.65
Low: R$ 30.51

This is up about 10% since the start of December, whereas the Wilsons Oceans Holdings, the parent company is only up around 2.5%. Wilsons Ocean Holdings own around 58% of Wilson Sons, so a bit of a gap opening up between the Sp's.
Could be due a catchup.

dyor etc..

[cg1953] 06/12/2010 09:03

melody9999.
you are quite correct about the spread........lol
but rarely any size in this counter.

[melody9999] 02/12/2010 23:41

cg - you may be right on most points but the spread is not that wide. would you be happy with a spread of 13.2 / 13.4 if this were a penny share?