Raven Property Share Discussion Threads

[irish_neris] 13/6/2021 15:21

I think they have more then enough to block a takeover but for us little guys i think the only way we will see any where near anything resembling a return will be a takeover

[gfrae] 10/6/2021 14:48

Now that the management have been allowed to allot themselves vast amounts of cheap shares, could they be taken over, or do they have sufficient to block ?
With the £ falling slightly against the Rouble and with Russia looking economically attractive, and logistics being highly valued, you would have thought there might be some interest.

[irish_neris] 09/6/2021 08:41

Alot of what management seem to do is a complete failure so nothing new there.

[gfrae] 08/6/2021 16:55

If someone is flipping them. I doubt it is the magement.

[zangdook] 08/6/2021 15:04

The purpose was to commandeer the overhang and profit from it.

[gfrae] 08/6/2021 14:53

If the intention of the managements purchase of cheap shares was to remove the overhang, then it would seem it was a complete failure.
Well offered as usual.

[edmonda] 07/6/2021 08:21

Raven Property has removed a perceived drag on its equity and uncertainty. That should bring focus back to the positive dynamics of its predominantly Moscow-based warehouse and logistics portfolio, and attractive yield on its shares.

New note out from Equity Development here:

[irish_neris] 27/5/2021 09:58

What are these price monitoring extensions about?

[flyfisher] 25/5/2021 15:09

2020 directors incentive scheme vests after an almost halving of the s/p.

[irish_neris] 21/5/2021 09:35

Not going to bother selling not worth it financially so just have to hold even longer

[tradertrev] 19/5/2021 12:42

Broadly neutral in my opinion - might tip the balance of negotiating power slightly away from RAV in a weak market, but we're not in a weak market (despite the perception to the contrary!)

[gfrae] 19/5/2021 10:40

The number 2 retailer Magnit is merging with the number 3 Dixy, and the number 4 is merging with the number 5 Billa.
Is this good /bad/indifferent for Raven ?

[my retirement fund] 13/5/2021 17:51

Tipped in shares mag:

The most generous yield on
offer is from Raven Property
(RAV) at 8.6%. The shares have
been weak for a while and that
could have pushed up the yield.
Raven invests in logistics
assets, which have been boosted
by the acceleration of the growth
in online shopping during the
pandemic, but also derives its
rent in rubles and reports in
sterling. This makes its results
highly sensitive to a Russian
economy and exchange rate
which, in turn, is affected by
movements in the oil price and
economic sanctions imposed on
Russia by the West

[gfrae] 11/5/2021 12:35

Now it is done (despite my vote ), I suspect the tone will change, eg more emphasis on replacement value NAV, and perhaps more emphasis on the fact that the Russian economy is looking pretty good, having come through Covid in a lot better shape than the namby pamby West, with a middle class that needs to be pacified with a bit of an economic boost and a state with the means to provide it.
This could be one of the best ways to play Russia.

[gfrae] 29/4/2021 13:41

For what it is worth, I have voted against the deal. I notice that the GM is not being held on Zoom so we cannot ask for any explanations, an £8m instant paper profit for the management on the placing shares seems to require a bit more of an explanation to me.

[gfrae] 23/4/2021 17:41

Another way of putting it might be : The company allots 100m shares at 21p plus 32m Preference shares at 90p to management which are at todays price showing a paper profit of £16m then the management goes back to the company and asks them to lend them £51m in return for which they will cut them in for half the profit, whilst leaving any losses with the company !

[igbertsponk] 23/4/2021 16:20

Something had to be done and it had taken years with no takers for the Woodford stuff. I guess all buyers wanted to pay half of what Invesco wanted. So to remove the issue the company had to act.
Well done them - the board have put even more of their eggs in the company basket.

If you have the slightest distrust of the board you'd best invest elsewhere.

[gfrae] 23/4/2021 15:17

I am fully aware of what has been going on with this share. Despite RAVC cancellation, Woodford/Invesco selling and overhang etc. I can not believe it is right that 3 or 4 large shareholders agree with each other to allot 50,000,000 shares plus 16 million prefs using money borrowed by the company to buy shares for management.
Why don't management separately and in their own names borrow from VTB to buy the shares ?
Moreover this arrangement does not necessarily solve the problem of the overhang, we don't know what they are going to do with the shares, they might dribble them into the market until all are sold depressing the price for ages.
I realise something had to be done but for Schroders, Quilters et al to agree to management buying 50,000,000 shares at about 50% of NAV and Prefs yielding 13.33%, especially when these are warehouses in hot demand with 93% occupancy and next to no bad debt in a rapidly expanding market seems a little extreme.

[zangdook] 23/4/2021 13:57

I think there is room to blame the management if, as it appears to my admittedly unprofessional eyes, they are using the situation to advantage themselves over the shareholders in general.

Leaving aside the JV, why are so few shares being bought back for cancellation, and so many placed? I accept the company may not be able to buy them all, but they could certainly have bought back more and placed fewer - every 90.8p spent on a pref saves them 12p a year.

Is there any reason to think Invesco were actively looking for buyers other than the company? Isn't it rather the case that they approached the company, the company said yes, we'll take them, then after a long while the company said no, we can't, how about this deal instead?

[cc2014] 23/4/2021 13:14

gfrae. You are very late to the party here. As flyfisher says Invesco have been trying to shift their shareholding for a long time. Perhaps 18 months and for whatever reason they wished to shift it all in one lot rather than dripping it into the market. During the 18 months they were trying to shift it they didn't sell even 1 share into the market at a higher price.

The story is alot longer than this and involves RAVC too and the whole Woodford mess.

You can't blame the management for taking advantage of the situation as no-one else wanted to take the shares off Invesco's hands.

Presumably Invesco have their reasons for wanting to do it this way. It's utterly beyond me though and I'd never buy an Invesco equity fund unless the discount was massive, say 20+%.

[flyfisher] 23/4/2021 11:22

The issue is, the shares could not be placed easily, invesco have been trying for a year.
Perhaps the poor quality, self serving management is part of the issue.

Were i an ordinary share holder, i would vote against it on principle.