Porta Communications Share Discussion Threads

[kimboy2] 12/9/2018 20:43

Winner: Newgate Communications (Porta Group)

It wouldn’t be quite right to say that it has all been smooth sailing since Citigate veteran and Porta Group founder David Wright launched Newgate Communications seven years ago—the past few months have seen the departures in quick succession of Porta CEO Steffen Williams and Newgate leader Gavin Devine—but it is reasonable to claim that the Asia-Pacific operations have been perhaps the most consistently successful part of the operation, expanding geographically, rising in the Mergermarket rankings of advisors to M&A transactions, and earning the respect of longer-established competitors in the region.

The firm launched its Hong Kong operations in early 2013, under the leadership of former Kreab Gavin Anderson exec Richard Barton, tapped another KGA veteran Terrence Foo to expand into Singapore a few months later, recruited a team of 20 from Gavin Anderson to launch in Australia the same year, expanded into mainland China with a Beijing office in 2014, and added a Shanghai presence under Asia-Pacific co-founder Grace Zhang earlier this year. Much of that leadership team is still in place—Barton, Australian managing director Brian Tyson, Foo, and Sue Vercoe, who leads the research group out of Sydney—and were joined last year by 25-year veteran Raj Seth as partner in Hong Kong and Clarence Fu, who brings two decades of corporate and financial experience to Singapore.

The Asia-Pacific operation contributed about $23 million of Newgate’s 2017 PR fee income, about half of the $47 million total, and grew by about 37%, with new business coming from Hillhouse (China's largest asset management group), global consulting firm Alvarez & Marsal, and e-commerce company Pinduoduo in Greater China; electrical distributor Endeavour Energy, travel company Expedia, and GOLDOC (the Brisbane-hosted Commonwealth Games) in Australia; and IHH Healthcare Berhad, Azalea Asset Management, Cromwell European REIT and Super Group in Singapore.

As is often the case, the financial transaction work—high-value, high-margin assignments in a super-competitive space—were the most eye-catching, with Newgate coming in at number five in Asia (excluding Japan) in terms of the volume of transactions worked (23) last year and number three in terms of the value of those transactions. Other highlights included Newgate Hong Kong's work with AIG and its Director's & Officer's Insurance product, and PR for Pinduoduo's NASDAQ IPO; Newgate Australia’s work with Sydney Metro, Australia's largest public transport project; and Newgate Singapore’s IPO campaign and stakeholder plan for Cromwell European REIT. From M&A to IR to strategic corporate communications, Newgate is now firmly established in the front rank of Asia-Pacific consultancies.

[graham1ty] 11/9/2018 09:13

He used to hold 24.78%.On 25 June that dropped to 22.36%. Holders of over 3% are meant to notify the Company within a few working days. Not three months

[go_baby_go] 11/9/2018 07:57

Graham what was the change in Morton's holdings and disregard for what rule.

[graham1ty] 11/9/2018 07:17

The latest RNS on Morton’s holding showed his total disregard for the rules. The change of holding happened on 25 June and was not notified until 5 September.

I suppose he would say he just forgot, or did not notice.

Surprised no one has reported him to the Regulator. Or fact that he was “Cold Shouldered” in 2017 means no one will act for him ?

[speedsgh] 04/9/2018 10:18

Interim Results 2018 -

[kimboy2] 03/9/2018 19:20

They said 'refinancing' so I expect it to be kicked out to long grass, or at least longer grass.

[guildedge] 03/9/2018 19:16

I doubt they would convert those loans at these prices as it would hand control of the company to Morton. Their last results suggested a reduction in the loan rate. So maybe 4-6%.

See what tomorrow brings.

[markie7] 28/8/2018 10:43

yes, they are going to end up with quite a few shares...

[qs99] 28/8/2018 10:01

What are they going to do with Retro Grand convertible? "The Company is also having positive ongoing discussions with its lender, Retro Grand Limited, regarding the refinancing of the GBP5.2m convertible 364-day loan that matured on 29 June 2018 and expects to provide the market with a further update in due course."

£5.2m convertible, at what price? At today's price, shareholders are pretty well wiped out (more than they already have been!). Can Emma Kane and Board pull off an equity price higher than today as convertible? Can they push it into a long-term debt at attractive rates?

Who knows........still not holding, but a decent RNS on this (which I doubt) could see a bounce....DYOR

[guildedge] 03/8/2018 19:18

There have been a lot of 1m, 500k and 400-450k trades all shown as delayed publications.
Buys wise 2.480m shares.
Sells wise 3.2M or so.

Pretty sure this is no coincidence. Assuming these are not arranged trades. So far I figure overall 6-7m shares have been sold and likely from the same seller.

This is one of the reason no one bought in on the TU. As they knew it would be sold into.

Even with all these buys there seems to be a downward pressure on the shares indicating the seller is not done yet. Wonder who the seller is?

I think this will continue for next 1-2 weeks.

On a side topic Sec raised just over 1.2M from their share issue. So maybe directors will be making up the 1.8m shortfall? Wasn't in the RNS.

[markie7] 03/8/2018 13:46

A £13,000 trade. Yippee. Game changer.

[go_baby_go] 03/8/2018 13:33

465k buy, again someone is picking up stock.

[guildedge] 02/8/2018 17:30

Looked a good trading update.
Adjusted ebitda last year in H1 was £1.16M. Less 15%=£1M. So how much are the other costs related to these cost savings?

Debt is a big worry. They paid another 400-500k for Redleaf and any costs from restructuring will be added to the debt? How much has current debt gone up? 1-2m?


On Plus side they are not making so many payouts to third party investors. 20% of 600k profits is almost £120k on Redleaf alone. Gradually they are reducing payouts to third parties. I think loan costs will come down too soon. Maybe 4-6%? End of Day Morton wants his money back and he wonn't do that at 2p.

We might also see a reduction in D and A soon.

I think H2 could be very strong if we expect 1.45m of savings to be added back to the bottom line. (Half of 2.9m.)

We know revenue will be lower but by how much? I would suggest the Asain businesses are still doing well. Especially with new offices in China.

So what are 1m of non performing costs? Likely job losses! Would need to be quite a few to save 1m. A lot of those senior staff hired last year or so would not of been cheap. It looks like most have now gone. (Charlie Chichester is still there.) Including Steffan Williams. Which could be part of that 1m saving.

Share trades today. I still think the bulk of them are large shareholders trading shares. It's the way they have held the share price at 1.7-2p. Directors won't buy till this has been cleared up. I doubt the 2 CEO will buy now they both have millions of shares.

See where this goes. I like fact results have moved forward here to early September. Could see full results gradually shift to end of March.

[go_baby_go] 02/8/2018 08:29

2.9m in saving. I think this ship is start to turn.

[guildedge] 31/7/2018 21:05

Well if it is a buy that would be interesting. Not the usual trade for Hales Hargreaves. Could be a PI, Gary Wyatt or even a director. I doubt a director as if my SEC theory is right they would all be locked out anyway.

Sec will conclude their share issue on 02/08/2018. With maybe 1-2 days till they announce it. Then a question of is that money for Porta?

See what happens. I expect more big share trades tomorrow too. Maybe even a delayed late sell trade. Otherwise you had nearly 1.6m buys today with 500k sells.

[go_baby_go] 31/7/2018 20:27

Pretty sure that's a buy. Otherwise it would of been down 15-20%. Plus 2 hrs+ delayed. So it's probably what pushed the offer 2.3p

[guildedge] 31/7/2018 19:19

1m trade at 2p 15:56 showing as delayed publication. With share ending down today it could easily be a sell. Or an agreed trade.

[guildedge] 31/7/2018 17:51

Briefly went above 2p. Someone cleared about 500k of stock near close of play. I think this will continue as share price recovers as the seller gradually clears out. Could be a private seller. Hard to know.

About 650k buys today vs 500k sells. Most of trades at start seemed to be buys due to price.

[go_baby_go] 31/7/2018 08:58

Looks like some continue buying this morning. Looks we will creep over 2p this week then.

[guildedge] 30/7/2018 17:02

Still think it will go another 20-40% more here. They dropped the share to allow them to dump shares and shake tree. Now Hales Hargreave seems to be buying back shares gradually.

There was a test sell on Nexexchange today so likely a seller still in background.

[oldie52] 30/7/2018 12:54

A slight improvement in the share price but still at a painfully low level. Emma Kane is sitting on a 40% paper loss on the investment she made in May so has alot to do just to get her money back!

[go_baby_go] 28/7/2018 12:51

I think there is still a big seller here, but who. Someone whats out for what reason. If we are about to turn the corner why sell. Seen this so many times with Porta.

[geraldus] 27/7/2018 22:20

Thanks for all the info Guildedge.I think there's life in this old dog now it has had the flea treatment.

[guildedge] 27/7/2018 21:46

Newgate advising on an US$1.63 billion share issue in China.


I think share will creep back over 2p next week. These sell off work in stages. The seller clears large chunks of the shares lowering price rapidly. The buyer in background then gradually buys back stock. Seen 2 buys this week of 440k or so. Think more buys will arrive next week. A friend thinks the large 793k? trade was their final sell. Always someone trying to sell here.

Crucially they will want to raise share price before any new share issues are made.

Can't be sure of this new investment from SEC but seem likely given they want to merge/takeover with Newgate. Guess we will know in next few weeks.