Purplebricks Share Discussion Threads

[rogthepodge] 21/2/2018 02:21

nobody going to answer Nick Rees question?

TW is usually not short of inventing a response, to almost anything

[rogthepodge] 15/2/2018 14:45

as this chap comments under Tom's Estate Agent Today article above

Nick Rees 13 February 2018 11:48 AM
Interesting piece...and I hope your analysis transpires to be correct, however, once they have optimal awareness and traction on their existing model what prevents them from moving over to a no sale, no fee model and implement a more traditional structure?

[bobmonkeyhouse] 15/2/2018 13:21

Well that 800 quid justifies a billion pound market cap!

[bobmonkeyhouse] 15/2/2018 12:14

I skimmed through an article at the weekend but I forget where and don't have the link

It was comparing Seekers estate agents to purple bricks and saying this is why this will fail

Seekers came in with much cheaper estate agency fees and initially took off, but it is now bust.....

[dangersimpson2] 15/2/2018 11:29

They'll be asking him for a trustpilot review:

"I saw one of their signs near me." 5 stars from ltcm1. Verified Order.

[andy] 15/2/2018 11:12

Ramper alert! :-)


I wondered why the price was rising again, obviously they must have informed the market of the sale....

[buywell3] 13/2/2018 17:05

uk housing market from Evening Standard
London leads house price plunge into 'the red zone' as market ...

Evening Standard-4 hours ago

London has led a nationwide slump in house prices, prompting a warning that the “dial is in the red zone” on the housing market. Fresh data today showed annual UK house prices fell for the first time in six years at the start of 2018 amid a slump in demand. Values dropped 0.4% in January compared with a ...
UK house prices show first annual decline in six years
Property Community-Feb 12, 2018
View all

[dangersimpson2] 12/2/2018 11:28

I don't think there is a restriction on the unquoted companies in the Equity Income Fund (at least not what I can see from the prospectus.)

I think it is the Patient Capital Trust that has the issue but not in the way you think. It's prospectus says 'investment in unquoted companies will be limited to 60 per cent. of Net Asset Value at the time of investment;'

So although the unquoted amount is around 70% in WPCT at the moment (based on last declared holdings & recent price changes) this shouldn't cause sales (and of course selling listed companies would make this worse.) This potentially is going to stop WPCT putting fresh money into unquoted companies which removes a big source of the uplift in valuation of those companies. So although this could be a big problem for WPCT it won't affect purplebricks.

What is a more immediate problem for WPCT is the gearing limit. From prospectus:

The Company does not intend to deploy long-term gearing but may employ gearing of up to 20 per cent. of Net Asset Value, calculated at the time of borrowing, for the purpose of capital flexibility, including for investment purposes.

By my calculations unless WPCT sells something they will be in breach of this limit. If they need to sell something then being one of the recent winners purplebricks would make sense.

In the past it seems the buyer of these sales has been the income focus fund. e.g. it appears this has taken the whole of the allied minds stake that WPCT fund held. There has to be a limit to how much this fund can bail out the others without losing credibility though.

[ltcm1] 12/2/2018 09:04

There's a rumour going around that Woodfood has too many unquoted stocks in his income fund which he can't offload so he has to sell some Purp to raise cash to pay down a covenant.

rog I don't want you not having the latest information.

Caveat Emptor!!!

[rogthepodge] 10/2/2018 13:18

it's useful having an uncle at 'The Eye'

the market is reasonably, taking a rather different view

time to make a few more calls to journo friends?

[bbmsionlypostafter] 10/2/2018 12:36

The current Private Eye.

[andy] 10/2/2018 00:45

Thanks Rog.

[rogthepodge] 09/2/2018 23:42

good luck boys, with your shorts and homeless/carlessness.

[ltcm1] 09/2/2018 23:34

buywell Neil Woodfood is buying housebuilders so a massive confirmation sign in my book!!!

Just look at Carpetright shares. Traditional bellweather of a housing crash!!!

rog clearly you didn't experience the negative equity that dogged the first half of the nineties.

Caveat emptor!!!

[rogthepodge] 09/2/2018 22:58

i.e. a hobo

good luck

many have tried this technique before

and failed

be careful

[bobmonkeyhouse] 09/2/2018 13:40

CC

Of course I'm not going to tell you!

[andy] 09/2/2018 13:36

Does anyone know if you can short PURP on Finspreads currently please?

[andy] 09/2/2018 13:36

bob,

PM me how it's done please.

[cc2014] 09/2/2018 13:25

Which broker can you do that with Bob?

[the oxford whale] 09/2/2018 13:22

Plenty of shares to borrow for shorting on interactive brokers fyi (shares or CFD)