Sagentia Grp Share Discussion Threads

[adejuk] 27/12/2007 14:55

i started to pyramid today
never a good strategy but it paid off with the subsequent rises
happy fest to all

[jonwig] 27/12/2007 09:41

More, including a likely valuation of TurfTrax (£17.5m):

[jonwig] 27/12/2007 09:06

I suppose this explains why they didn't buy before now - couldn't deal owing to IPO discussions.

On the 24th December, 2007 Christopher Masters, a non executive director and the Chairman of Sagentia Group AG, informed the Company that on the 24th December 2007 he has purchased additional 750,000 shares of CHF 0.10 each
in Sagentia Group AG at 2.75 pence per share. His total holding of CHF 0.10
shares now stands at 1,000,000 shares.


On the 24th December, 2007 Martin Frost, an executive director and the Chief
Executive Officer of Sagentia Group AG, informed the Company that on the 24th
December 2007 he has purchased additional 199,666 shares of CHF 0.10 each
in Sagentia Group AG at 3 pence per share. His total holding of CHF 0.10 shares
now stands at 495,463 shares.


On the 24th December, 2007 Gordon Edge, a non executive director of Sagentia
Group AG, informed the Company that on the 24th December 2007 he has purchased
additional 100,000 shares of CHF 0.10 each in Sagentia Group AG at 3 pence per
share. His total holding of CHF 0.10 shares now stands at 11,298,070 shares.

[jonwig] 27/12/2007 08:34

El G ... the competition is just a sideline to what we're really wanting!!

Agree with your four points - and No.4 (SGAI) is one you've mentioned often.

[elgordo] 24/12/2007 10:25

Jon, great write-up, and hope you win the TMF competition with your pick!

Was going to treat myself to an Xmas present by buying a few more this morning, but obviously should have got out of bed earlier!

The four things that will really interest me in 2008 are:

1) Ability to return to consistent profitability of the consulting arm (thus underpinning the whole business)
2) Whether they have got a revenue share of any of their more recent consulting activities, especially M-PESA
3) Further progress by their investee companies towards float or sale (Atraverda, Sphere)
4) Any signs that SGAI will become a significant source of revenues (in contrast to its near-invisible profile to date)

[jonwig] 24/12/2007 09:48

ade - I'm amazed it rose at all. I suppose I should re-read the parable of Lazarus.

Roy - many thanks. (I read just the other day of your elevation - I hope it will prove rewarding - in every sense!)

[adejuk] 24/12/2007 09:12

jon, our 2p buys looking v good now
got more this am but cost me 2.7
will have to sell the wallpaper paste now i think
happy fest to you and all

[25october1969] 24/12/2007 09:12

NIce write up Jon, see you have moved the price up 31% as I type

[jonwig] 24/12/2007 07:38

TurfTrax IPO in January.



Either a well-kept secret, or no-one was interested.

I don't know what the valuation of TurfTrax was before, as they don't say in the SGA accounts, but

Now, SGA hold 8.8%, post-IPO they will hold 7.3%.
TurfTrax will be raising £3m.

My TMF write-up.
Quite a bit of information missing - I didn't want to make it too long:

[jonwig] 22/12/2007 11:45

Have I got the ideas right here ... ?

The freehold (Harston Mill) was valued at £10.8m in Feb 2006 (not since) and generated a rental income of £1.375m in 2006. It was fully let at end-2006. The fact that over half was paid by group companies hardly matters, as it was rented at "arms' length".
That's a rental yield of 12.7%.
Now I'd have thought secondary assets outside London would have a rental yield of around 6.5% to 7%, and the Cambridge area is pretty much in demand.
So an open-market yield of (say) 7% would imply a valuation of £19.6m.

An extra £7m of assets seems unrealistic - it would be another 3.2p/sh. (!)

BTW ... in a single trade, 2m shares were bought on 20/12 @ 2.35p (on PLUS).
The more I look at this, the more convinced I am that we've read it right.

[jonwig] 21/12/2007 14:28

Well, the theory is, then, that buyers now will reap the rewards!

With the work we've done on M-PESA (Vodafone) and HD-LED (hope we have a stake there ...) we've plenty going for us.
There will be a fall in the value of CMF to put into the revenue accounts, maybe offset to some extent by an increase in Atraverda (one I rather like), but we have to accept that the overall result will be a loss even with consultancy profits to book.

Looking forward, more sales (Atranova?, Turftrax?) and who knows? Even Sphere!!

Anyway, a happy Christmas and New Year to all Sagentia watchers.

[adejuk] 21/12/2007 13:37

agree jon - and ano in train

[jonwig] 21/12/2007 12:45

Surely not - only this week they confirmed trading.
You did say, ade, that there was 8 mill overhang or something. A large seller in the market seems the only explanation.

[adejuk] 21/12/2007 11:36

does some1 know summat we don't?

[jonwig] 19/12/2007 14:25

Today's PLUS trades. Will we get a rise ... ?:

19/12/2007 13:57:52 2.25 225,000 O 5,062.50
19/12/2007 12:33:58 2.05 20,000 O 410.00
19/12/2007 12:22:52 2.05 20,000 O 410.00 *
19/12/2007 11:36:08 2.05 158,866 O 3,256.75

* mine

[adejuk] 19/12/2007 12:45

btw - sphere float delayed until a least q4 '08
:-(

[adejuk] 19/12/2007 12:44

it doesn't make much sense does it jon?

[jonwig] 19/12/2007 12:40

I wrote this in post #166, end-Oct:

The NAV at end-June of 8.2p needs shaving by another 0.5p to take account of the further fall in CMF. So 7.7p it is.
A complete write-off in CMF would take another 0.5p or so.

So let's say we've written the NAV down to 7.5p.
Assuming Intrasonics was sold at £1.16m above book value (1.46 - 0.3), that's 0.54p added, giving a NAV of at least 8p.

[adejuk] 19/12/2007 12:35

i just bought enough to do ano room.

[elgordo] 19/12/2007 12:31

Doesn't look like the market much cares though.

Looking back at the interims, the whole of the "venture subsidiaries" (including Intrasonics, Sensopad, AtraNova, Sagentia Sensors) was £0.9m, so the Intrasonics sale will certainly create an increase in capital.

The downside is that it looks like the value of SGA's stake in CMF has fallen by - coincidentally - about £1.4m since the interims.

[jonwig] 19/12/2007 12:25

You can buy below mid-price (as usual). I just did ... 2.05p.

LOL, ade - you should at least have framed them!

[adejuk] 19/12/2007 12:23

jeez, i might have to start stripping them off the wall now!

[jonwig] 19/12/2007 12:16

We're both wide awake!

[elgordo] 19/12/2007 12:15

So, there was something up at Intrasonics.

£1.46m upfront for sale of Intrasonics, possible future payments up to £4.5m. No idea how this compares to how much has been invested in it, but with the business the way it is at the moment, it's good to see something being crystalised.

Also, fee income up 10% on 2006, and business "trading profitably quarter to quarter".

Edit: Beat me to it, Jon.

[jonwig] 19/12/2007 12:14

Very prescient, El Gordo!!
Intrasonics has been sold for at least £1.46m:



The last valuation I saw was in the 2006 Annual Report:

The fair value of Intrasonics, Sensopad and Atranova is not
shown in the consolidated balance sheet. The combined
BVCA value of the Group holdings in these venture subsidiaries
is £1m.

In the current climate, and considering that Intrasonics looked to be going nowhere, that's quite good news.

Even better at the end of the RNS:

Fee income order intake into the consulting business for 2007 is expected to
exceed £17.7m, more than 10% ahead of 2006 (£15.9m), and the business is now
trading profitability on a quarter by quarter basis.