Real Estate Credit Inves... Share Discussion Threads

[my retirement fund] 27/7/2023 00:00

It's not unusual to see a massive transaction split into 2 equal parts.

[cwa1] 26/7/2023 16:06

Good volume today but two of them for the same size exactly. Some kind of riskless cross from one account to another for a fixed, negotiated, fee?

[davebowler] 20/7/2023 10:43

NAV +0.6% MoM
LIBERUM Analyst: Bjorn Zietsman

Mkt Cap £281m | Share price 122.5p | Prem/(disc) -18.2% | Div yield 9.8%

Event
Real Estate Credit Investments’ NAV per share of 149.9p, as at 30 June 2023, represented a monthly NAV total return MoM of 0.6% (+6.6% NAV TR over the last 12 months). The change in the NAV for the month largely relates to 0.9p of interest income. One loan to a hotel and golf club house development repaid £11.3m during the month.

The portfolio comprises 47 positions with an aggregate value of £310.5m. The weighted average LTV has increased to 60% (+0.5% for the month). RECI had cash of £27.8m at the month end. The gross and net leverage ratios were 17.2% and 9.8% respectively at the end of June.

RECI’s latest investor presentation showed: (i) The portfolio experienced no defaults; (ii) Cash reserves are targeted at between 5 and 10% of the NAV (June’s cash levels are c.8% of the NAV); (iii) The outlook is positive, guiding for a growing opportunity set as bank lending becomes more constrained. RECI stated they have a strong pipeline of floating rate senior loans.

Liberum view
June’s performance is in line with expectations. The opportunity set for new investments is very strong in this environment and the current 9.8% dividend yield represents attractive relative value, particularly given the focus on senior loans at low LTVs. We expect the company to continue rotating its bond portfolio into senior loans as it views senior loans as offering better risk adjusted returns.

[cwa1] 14/7/2023 08:24

Another one appeared later on as well. It was bigger...slightly :-)

[renewed1] 14/7/2023 08:20

Hardly pushing the boat out but still nice to see!!!!

[cwa1] 13/7/2023 13:14

Director purchase

[brucie5] 13/7/2023 12:33

Yup, me too.

[hindsight] 13/7/2023 12:13

Brought my first tranche here today, think the peak in interest rates is now in sight

[kev0856153] 12/7/2023 18:33

Picked up some of this filth today.

[spangle93] 12/7/2023 14:45

Still over 120p to buy

[brucie5] 12/7/2023 09:36

It's just joined the 10% club.
hxxps://www.theaic.co.uk/companydata/real-estate-credit-investments

[skinny] 12/7/2023 07:19

Price / NAV

[cwa1] 12/7/2023 07:10

I wouldn't disagree with that bt

[chucko1] 11/7/2023 23:22

Yes, I learned little from the post to which you refer. Perhaps there is a higher plane of thinking that's not shown itself down my way.

[chucko1] 11/7/2023 17:30

Profound, yes - going on incomprehensible!

[cwa1] 11/7/2023 17:12

Profound bt, profound ;-)

[badtime] 11/7/2023 17:10

I've just checked the tea leaves and they are saying I need to pour another cup

[brucie5] 11/7/2023 16:35

Below 1.20 will be popping a 10% dividend, I believe. And isn't this 'senior debt'?

[my retirement fund] 11/7/2023 15:58

The 8000 buy just now, me

[cwa1] 11/7/2023 15:40

Just taken a few more at under 120p. Very weak share price Had thought this sort of price was in the rear view mirror...but clearly not :-(