Sequoia Economic Infrast... Share Discussion Threads

[cocopah] 26/6/2024 16:01

Mine was the question about increasing the dividend (which I believe we had been led to believe would be increased again following the recent increase).

It was disappointing to hear that this was a “no”, however the continuing buyback program should eventually result in the NAV discount narrowing. So now might be the time to top up any shareholding if investors believe in the story and have the funds to do so.

DYOR as usual but with dividend cover of 1.07 at present, nominal interest returns from lending at c9%, low default rates and good recovery rates (especially when compared to the market) hopefully we should be set fair for improved total returns again this year.

[spangle93] 26/6/2024 07:14

Finals issued



The presentation at 8am had already started by the time I'd read to the bottom :-(

[panshanger1] 18/6/2024 16:31

Finals 26/6

[cocopah] 17/6/2024 17:04

I noticed from the update that we used the revolving credit facility in May, not sure we’ve done that before.

We have also restructured a deal (valued at 5% of our NAV) but not declared it as a non-performing loan.

I don’t think either of the above are anything specifically to worry about … but it was an interesting departure from recent updates. 🤔

[spoole5] 17/6/2024 15:16

Would be in the 60s without the buyback

[spoole5] 17/6/2024 15:12

Market clearly doesn't agree this afternoon!

[williamcooper104] 17/6/2024 10:09

Nice; no reason why this shouldn't be trading at/close to NAV

[speedsgh] 17/6/2024 07:42

NAV and Investment Update -

30 April: NAV 92.46 pps
Interest income, net of expenses: +0.82 pps
Asset valuations, net of FX movements: +0.98 pps
Subscriptions / share buybacks: +0.04 pps
31 May NAV: 94.30 pps

[cocopah] 13/6/2024 15:56

Seems as if the recent surge in bond yields is hurting the share price again. Think it’s a bigger issue in the USA … but I’m not sure that the two main parties over here are doing anything positive to suggest borrowing will not expand. On a different topic, I have submitted a question for the meeting, asking when/if the dividend will be increased.

[cocopah] 10/6/2024 18:30

Surprised at the recent negative share price action. The buybacks have all been of a lower amount until today (presumably they are using all spare income to purchase shares as when the income arrives). Including the original shares which were cancelled I make it somewhere in the region of 12% of shares have now been removed from the market. Admittedly the bond markets have been a bit topsy-turvy but one would hope that the share price starts to improve sooner rather than later. As far as I know there have been no more negative developments on asset quality. 🤔

[spangle93] 06/6/2024 09:11

Latest research offering from Kepler



I don't think it's saying anything particularly new

[cocopah] 16/5/2024 08:34

Thought the capital markets seminar was very informative and it’s well worth a listen, either on the LSE or the SEQI website. As an income hungry investor, it was pleasing to see that they are still considering an increasing dividend. I was also impressed by their approach to lending due diligence, asset allocation and loss management and recovery.

[cocopah] 29/4/2024 06:28

Having bought back just over 9.5% of total shares in issue and held them in treasury the company has now cancelled all these shares … and continues to buyback and add to treasury. Presumably the hope is that by permanently cancelling the shares it will put a floor under the share price. Still hoping for a divi increase here though. 🤔

[panshanger1] 22/4/2024 08:38

Taken a few more this morning

[speedsgh] 18/4/2024 11:09

Dividend Declaration -

The Directors of the Company have declared that an interim dividend of 1.71875p per share will be payable to holders of Ordinary Shares as follows in respect of the three-month period ended 31 March 2024:

Ex-Dividend Date: 25 April 2024
Record Date: 26 April 2024
Payment Date: 23 May 2024

Dividend per Ordinary Share: 1.71875 pence per share

[cocopah] 12/4/2024 20:53

9.2% of shares now in treasury. With buybacks at 850,000 shares a day it won’t be long before that’s 10%! No wonder there was a director buy today. If I wasn’t so stacked, I’d have a few few more! I wonder if they will increase the dividend or just keep the share buybacks going once they hit 10% of issued shares in treasury?🤔🤔

[cocopah] 28/3/2024 07:17

8.7% of shares in Treasury now, golden star in the long-term chart, good risk management of NPLs, tight run ship on costs … yes interest rates higher for longer doesn’t help the share price but positive on income.

[panshanger1] 27/3/2024 18:28

As with a lot ( most ) of infra / renewable trusts significant sellers out there atm Regardless of quality I might add Just have to hold on and wait for interest rates to come down Eventually there will be a re rating GLA

[spoole5] 27/3/2024 18:18

Where would this be without the buyback

[cocopah] 15/3/2024 16:37

Yes, we are nearly at 8.5% of issued shares now in treasury, so one would expect an improvement in the share price. However, one only has to look at BP to see that share buybacks do not always deliver! Definitely very good news on the Bulb investment and of course we could earn more from the technology. I was surprised that there was no news at all about the hotel in Scotland that is underwater. At the previous update they said that the improvements involved would offset the issue with the hotel but no commentary on it today at all? I still believe this is a quality investment and as a long-term holder I’m very happy with the due diligence being applied to lending and the frugal approach to costs. Let’s hope we see some upward momentum on the share price!

[catch007] 15/3/2024 09:50

Overall an excellent recovery from the BULB position another £2m secured. Hopefully the share will eventually rerate as it has stabilised and offers an excellent yield supported by buy backs currently.

[cocopah] 04/3/2024 15:45

8.05% of issued shares now held in treasury, seem to have added impetus to the ‘daily’ buyback (used to be c600,000 shares, now 850,000), good news on Bulb (slightly offset by the hotel in Scotland) … the BOD must be staggered that the share price isn’t 85p+ now! 🤷‍a94;️🤔

[cocopah] 20/2/2024 13:21

I emailed the MD (as you know they run a tight ship so no investor comms dept) to ask if a review of shareholder returns was in the pipeline. He replied the same day, obviously couldn’t be specific but from his reply I think they will simply keep on with the share buybacks focusing on reducing the NAV discount (in as much as that is possible whilst interest rates remain elevated). I’m happy with that tbh and we now have roughly 8% of issued share capital in treasury so I expect that to increase to 10%. Lots of execs have skin in the game above 80p so I guess if they can get the share price to the mid 80s that will be the short-term goal. 🤔👍🏻

[neilyb675] 19/2/2024 15:18

80.40 - 80.70 (GBX) at 15:01:47
on Market (LSE)