St Peter Port Capital Share Discussion Threads

[zcaprd7] 24/9/2019 11:15

No news on the portfolio then...

[russman] 12/9/2019 08:44

The Directors are "employees" of Shore Capital.
It is just smoke and mirrors; just a Shore shell left.

[zcaprd7] 15/7/2019 11:21

Low as in 10p?

[russman] 13/7/2019 05:59

Mr Shore & his mates own 20%.
Just put in a low bid for the whole.

[flyfisher] 05/7/2019 07:16

Celadon info from OPP annual report.

Celadon Mining

Origo's 2016 Annual Report valued Celadon at over $20 million and described it thus:

Celadon is a China focused coking coal mining and development company. Through its Chinese subsidiaries Celadon owns three coal mines and a substantial exploration area in . . . Heilongjiang Province . . . [and] Chang Tan West which has total reserves and resources of approximately 1.05 billion tonnes in Inner Mongolia Province, northwest China.

Origo paid about $13.1 million for an 8.9% stake in Celadon, a privately held company domiciled in BVI. Celadon owns some sort of rights to mine thermal coal in northern China. Celadon has never released cash to its shareholders and has not produced an audited balance sheet in at least the time this Board has been in place.

Origo bought its interest in Celadon from another portfolio investor and has no contractual rights to influence the company or protect its investment. This Board meets and communicates with the controlling shareholder periodically. Origo also receives quarterly reports from Celadon's controlling shareholder. These reports seem to indicate that the company is endeavouring to sell itself for a substantial premium to Origo's carrying value.

In November 2017, when the Celadon asset was being carried at $9.8 million, OAL presented this Board with the following "exit strategy and monetization plan" for the Celadon asset:

In 2015, OAL together with [Celadon's] management, agreed to a) formalize the realization strategy, i.e., a sale of the company's assets and distribution of proceeds to shareholders; and b) implemented a strategic sale process. . .. Celadon's management anticipates that indicative terms may be concluded over the next coming months, which would likely represent the best available estimate of the fair value of the position for FY2017. Subject to the absence of any external shocks, we see limited down/upside (+/- 20%) for today's mark [i.e., $9.8 million]."

This statement like a lot of what OAL represented seems unduly optimistic. If the agreement referred to was in writing, we have never seen it, and the controlling shareholder does not seem in the habit of soliciting shareholder advice on how to run Celadon. Celadon's controlling shareholder now says he has entered into an agreement to sell Celadon's asset to an unidentified buyer contingent on that unidentified buyer obtaining financing. This arrangement appears to have been the status quo for some time and besides what the controlling shareholder states in the quarterly reports Origo has no real insight, and limited confidence, in completion.

There appear to be permitting issues, possible third-party legal claims in the event a sale is completed, issues regarding whether the unidentified buyer will obtain the requisite financing to complete any transaction, and issues regarding whether and when cash would be released from the BVI holding company in the event of an asset sale. Given these uncertainties, Origo has decided to write this investment down further to $1.129 million.

[flyfisher] 03/7/2019 17:02

And how should he do that?

[russman] 03/7/2019 16:43

Sad as I am, I have read the last Annual Report.
Frankly Mr Shore pls put us out of our misery.

[zcaprd7] 02/7/2019 10:44

You're right, I don't see why I can't sell either?

[russman] 30/6/2019 06:31

I would ask your brokers to send a letter to the SPPC directors reminding them of their responsibilities to their shareholders while they are still listed.
If they have to do some paperwork, get on with it, that is what they are paid to do.

[zcaprd7] 26/6/2019 09:54

I think I'll hold for now anyway... Not much point in selling really?

[zcaprd7] 24/6/2019 09:36

Yes, tell me about it, Hargreaves won't let me sell my holding...

[flyfisher] 21/6/2019 11:26

Difficult for the small investor to deal in this as the St Peter Port website states that the company is not planning on publishing a KID as it is not seeking to market its shares.

Why is it listed.

[zcaprd7] 17/6/2019 15:35

Looks like sonething brewing after August?

[russman] 16/6/2019 15:07

It is a ragbag of illiquid investments. The BoD have taken little action in the past year. Definitely not giving them capital for a "new theme".

[hedgehunter2] 14/6/2019 11:32

Maybe try use Crystal Amber to grab it, and shake it up a bit. Getting paid management fees to destroy wealth this fast you could'nt make it up.

[spectoacc] 14/6/2019 07:26

Going to stick my neck out and guess "cannabis". They're all at it.

[flyfisher] 14/6/2019 07:19

It is referred to twice.

We have for some time been exploring ways of maintaining the portfolio substantially intact whilst reducing what will become, absent a sale of one or more of our investments, an economically unviable company.

We are currently in the early stages of exploring adding a new theme to our investment strategy whilst continuing to seek the realisation of the Company's existing portfolio. To this end the Board is in discussions with a new investment manager.

[spangle93] 14/6/2019 07:06

It's at the end of the chairperson's statement.

If you ignore the investment vehicle (IT vs UT) it does seem analogous to the Woodford example, (which thankfully I escaped from a year ago with a profit) where lack of liquidity means that any valuation of assets is meaningless unless someone buys it.

TBH, I'm down about 80% on this, so I'm pretty much past caring. It was an investment tip by someone who used to be on these board, along with Globo and Naibu. Thankfully some of my own have done better...

[flyfisher] 14/6/2019 07:04

Is it an asset management company potentially reversing into sppc.

It happened at Gresham House and is happening at APT.

[spectoacc] 14/6/2019 06:53

Delisting would be sensible I think.

But intrigued by @Spangle93's quote - what on earth could a "..New theme.." be, when they can't realise the investments they've got?

[kev0856153] 14/6/2019 06:46

Reading that statement the risk of delisting is high

[pugugly] 14/6/2019 06:28

Agreed - Another way of looking at it might be "A value trap with no way of getting out" or not quite as bad as WPCT but valuations of investments subject (imo) to significant doubt!!

[spangle93] 14/6/2019 06:26

We are currently in the early stages of exploring adding a new theme to our investment strategy whilst continuing to seek the realisation of the Company's existing portfolio. To this end the Board is in discussions with a new investment manager. Should the Board progress the above changes, and there is no certainty that this can or will be achieved, we will send a circular to shareholders later in the year detailing the proposals. In the event either that such a circular is not sent to shareholders or that it is and the proposal is not approved by shareholders, then we will convene a General Meeting, to take place before the end of 2019, at which shareholders will be given an opportunity to vote on the Company's future

[spectoacc] 14/6/2019 06:23

"Lynn Bruce, Chairman of St Peter Port, said:

"Although most of our portfolio companies have reported positive news during the period under review, the fact remains that none of them have yet reached an inflection point that would allow us to unlock value at any sensible valuation. We have for some time been exploring ways of maintaining the portfolio substantially in tact whilst reducing what will become, absent a sale of one or more of our investments, an economically unviable company." "


About sums it up really.

[flyfisher] 13/6/2019 05:54

Brazil Potash - Chinese interest.

At the request of federal deputy Alberto Neto (PRB-AM), the National Integration, Regional Development and Amazon Commission of the Chamber of Deputies will discuss the issue of silvinite exploitation in the municipality of Autazes, Amazonas. The date will still be announced.

It will be in a public hearing, approved on this day 3, where they will discuss and present points on social, political, economic and environmental feasibility of exploring the mineral wealth of potassium in the Amazon.

Alberto Neto used among the arguments to convince members of the commission that the Chinese sought the State Government earlier this year interested in investing in the exploitation of the ore used by the fertilizer industry for agriculture.