Tavistock Investments Share Discussion Threads

[makeamillion3] 26/2/2022 08:12

QP- great stuff
Another ‘astonishing’ week and I may even BREAK EVEN after how many years!!
I have 12 shares in my portfolio and this is the only one that have been down for sooooo long.
‘More to come’. Good and I expect so. I hope you and your mate will spend the windfall wisely

[quepassa] 26/2/2022 06:54

Excellent to see Tavistock achieving greater investor recognition.

Now up an astonishing 65% in the two weeks since mentioned as THE TOP PICK in the Investors Chronicle 2022 Bargain Share List.

With more to come.

ALL IMO. DYOR.
QP

[aqc888] 26/2/2022 06:42

Quepassa, is always one sided and never answers questions. Just repeats the same infantile comments again and again. He’s been a plague on the Kromek board for 9years. Always makes wrong calls. A total loser looking at his history of investments.

[mandarin4] 25/2/2022 22:07

As usual QP you are one sided as the article also states

“He said Titan sees opportunity in the DFM consolidation space, as OPPOSED to the IFA consolidation sector which he said is a “crowded market”.

As Tavistock is now basically an IFA, doesn’t that article suggest that Titan wouldn’t be interested?

Now I know you never answer any question I pose but go on have a crack at this one rather than leaving your usual thumbs down vote

[quepassa] 25/2/2022 10:38

Tavistock's strategic partner, Titan Wealth buys Cardale Asset Management as Titan further grows and exploits sector consolidation opportunities.

Good recent article in FT Adviser about this latest acquisition by Titan as well as the sector in general where Tavistock is mentioned:-

hXXps://www.ftadviser.com/your-industry/2022/02/22/titan-wealth-buys-harrogate-based-dfm/


It remains an anachronism that the market cap of Tavistock still trades below the £40 million paid by Titan last year IN CASH for Tavistock's Fund Management business alone.

However, this anachronism is highly unlikely in my view to exist for much longer.

A fast moving and fast consolidating sector.

The following extract from the FT Adviser article is food for thought:-

" ...Titan Wealth is in active conversations with five firms around acquisitions, and will help it on its target to reach between £50bn and £70bn of assets under management and administration within three years."



ALL IMO. DYOR.
QP

[mandarin4] 24/2/2022 12:26

That obvious that you haven't shared with the rest of us though?

[countup] 23/2/2022 17:41

Due dilligence is done for a reason, pretty obvious to me what that bland statement means legally.

[russman] 23/2/2022 17:28

"The Transaction is no longer in Tavistock's strategic interests". So TAVI strategic interests have changed to what?

[smithie6] 22/2/2022 16:41

Btw

TAVI paid £7.7 million for County, turnover of £2.8 million, profit of ~£450k.
3x turnover.

-----

For Blacksquare TAVI paid £3.6 million 1-2 years later, based on later AUM

For turnover of £177k & loss of £485k (!!) at the time of acquisition.
Surely the co. paid way way over the odds ?? & could have picked up Blacksquare for small change since it seemed to be imploding. (But, the MD of TAVI owned about 1/3rd of Blacksquare. Perhaps that explains it. :-(.

The perf. of the acquisition improved in the 1-2 yrs until the perf. payment was made.

(I would have phps to tried/preferred to buy it cheap.
With a turnover of only £177k & £485k loss it would surely have been cheap for a cash payment).

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The company seems to have done well to grow these acquisitions from what I can see.

And done well to grow & sell the Inv. mngmt section for £40 million.

Maybe they can also achieve a good result from TAVI Plc ?
..looks like they have a £40 million injection to fund some growth/action.

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The valuation of TAVI is currently ~ 1 x turnover , for '21-'22 turnover !

Very much cheaper than anything that TAVI has bought, or the valuation of LEBC or of the Tavistock Investment section that was sold.

[smithie6] 22/2/2022 16:21

While some/many of us have concerns about the 2 exec. dirs phps being too dedicated to enriching themselves (options & more options, & combined 750k renumeration last year)

& O.Cooke does not appear to have a background in the advisory finance sector, his background seems to be more in gym membership cards & avoiding card fraud, (2 ventures of which not go well) so is he the right person to be the chairman ? (imo no)

While Brian Raven & his son were involved in running Blacksquare for some years before TAVI bought it for ~£2.2 million in shares.

the operations board looks to be full of experienced & qualified advisory finance sector people. :-)

hxxps://tavistockinvestments.com/executive-board/

[smithie6] 22/2/2022 14:40

Control functions.

That is perhaps just in the eyes of the FCA, such that it requires their advance permission, 'cause the TAVI 21% stake has first option on all the other shares.
Otherwise in the LEBC boardroom it just has 21% of the shares.

Whether will be incorporated into TAVI accounts adding in 21% of LEBC turnover, profit, debts, or via asset accounting, I don't know. My guess is via the latter.
Update. I'm sure that will be accounted for using asset accounting. So, if the shareholder assets at LBEC increase by say £3 million , after taxes etc,(since cash goes up because EBITDA has doubled, they expect that), then the 21% that TAVI owns increases by 21% of £3 million, = £0.63 million.
TAVI is paying £10 million, but £6 million & £4 million deferred.
So, the asset would increase in value in the TAVI accounts from £10 million to £10.63 million.

The +£0.63 million would count towards declared PBT & PAT at TAVI I think but would not be taxed at TAVI since it is only a gain on paper, not taken. (& tax would already be paid at LEBC)

[makeamillion3] 22/2/2022 11:51

I believe tavi also have 100% control functions. (Unless I understood that wrong). So common sense would be the assets on LEBC would go to platform and FUM?
I must admit; I liked that deal announced despite some negativity on here.
I have praised the BOD’s when required and questioned also.
QP doesn’t like that. It’s all one way.

[smithie6] 22/2/2022 11:21

Noticed some good news in the RNS about buying 21% of LEBC.

"Derek Miles, LEBC's Managing Director, said ; ".........
We expect EBITDA to more than double this financial year "

!!

------
TAVI has first option on any LEBC shares being sold by other holders. I wonder if TAVI might buy more. Looks like there are ~19% of other shares & then 60% in the hands of a corporate.
----

I wonder if LEBC might be backed in to TAVI ?

[makeamillion3] 21/2/2022 21:56

I think a simple google search would make it ‘clear’..
As QP says,
DYOR, All IMO….

[smithie6] 21/2/2022 21:35

Makeamillion3
Once upon a time, you wrote

"both Raven and Cooke leaving various positions under a cloud"

Can you possibly give any more info ?

[countup] 21/2/2022 07:52

Great news!

[quepassa] 21/2/2022 07:46

1.

Tavistock today announces that it has bought back a further 21,219,847 shares at 5.85p.

Consideration £1,214,136

Shares to be cancelled.

Earnings per share increases by 3.3%



2.

This follows the near 29 million buy-back of company shares on 17/9/21 at 4.7p for
for a consideration of c £1.36million


3.

Since the September announcement of the share buy-back programme ,Tavistock have now bought back some 50 million shares for near £2.6 million

This has reduced shares in issue by some 8.4% from 608 million to 557 million.


4.

Earnings per share have as a result been significantly enhanced.




These actions are highly supportive of the share price.

Taken together with the burgeoning market-driven demand for the shares, this bodes well for a very buoyant share price.


ALL IMO. DYOR.
QP

[smithie6] 19/2/2022 14:53

Price paid by exec. dir. O.Cooke for his shares.

As I said I would try to calculate this.
Interesting information I think.

-22.9 million effectively free. 31st July 2016. 5 % of the co. at the time, after issuing the shares.

-328.5k @ 4.4p. 24 june '21 = £14.4k

-1.08 million @ 5.5p. 15 June '21. £59.4k

-1.25 million @ 1.5p. 28 Jan. '21. £18.75k

- 0.8 million at 2.85p. April '17. £23k

- 1.6 million in 2013-4 ? Price ?. Let us say 1p just to put a number in the box, then check it later. £16k

= 27.9 million for £131.55k

= ~0.47 p/share !!

CONCLUSION
O.Cooke paid an average of 0.47p/share because he got 22.9 million free !
Versus market price now of ~6p.
Profit per share = ~5.5p/share
= £1.54 million paper profit !

Even though all the shareholders that paid 7.5p are still sitting on a loss !

& since 2014 when this venture started effectively no dividends have been paid. So, the 7.5p that subscribers paid X ago is phps 8.5-9p in the mobey of 2022. So, 2.5-3p/share loss.

----

(But there must be a few more share buys since his holding is >30.0 million I think. (30.4 million according to lse), buys missing for about 2.8 million shares, but as a % it is pretty irrelevant & has no significant impact on the average price paid per share)

[smithie6] 19/2/2022 14:49

Btw

Shares issued at 7.5p
(that I easily found, there may well be more ; the payment to Mr Raven in shares at 7.5p is probably missing, for around £2.2 million)

98 million
6.7 million
4.5 million
1.7 million
20 million

= 131 million shares

----

The 2 exec. dirs issue themselves 22.9 million shares each for free.

Now they want 70 million shares with exercise price of 5.25p.
Quite a way below the price that many people paid .
So, at 5.25p-7.5p these 2 dirs could exercise their options & sell them & pocket a profit, while all those share buyers would be sitting on a loss !

Reward for shareholders losing money !!

It is plain wrong imo.
Share options are supposed to reward performance that is above the average or normal, not for losing money.

[markgordon1] 18/2/2022 18:29

Please explain to me why my view is idiosyncratic. Strange word to use given my post contained purely facts. So are the facts idiosyncratic. I have viewed your previous posts going back to beginning of last year.The idiosyncrasies are that none of them present a balanced view. Always supportive of directors. Can I assume that for your purpose the directors have never done anything wrong or made any errors of judgment. That would be very unusual if not unique.

[smithie6] 18/2/2022 16:10

"LEBC has welcomed TAVI as a shareholder"

Big deal.

TAVI paid real hard cash for those shares in LEBC. They were not given for free.

------
TAVI has made other acquisitions & then later got rid of parts of them
One had a turnover of £7 million.
----

TAVI made a co-operation agreement with the Law Society.
Lots of drum beating.
"Aren't we super directors"

The agreement was later terminated because it didn't make any money !!

[smithie6] 18/2/2022 16:09

Quepassa

Institutions ?!

How many instis have >3% in TAVI.
0 ?

Ah, no, there is 1.

1 !!

No other insti wants to invest !!

-----

Give your opinions but please don't tell porkies.

[quepassa] 18/2/2022 15:48

You are welcome to your view.

However, it would appear to me to be a somewhat idiosyncratic view and at odds with reality. Otherwise it would be hard to square away your view with the multiplicity of professional/institutional opinions and corroborative evidence to the contrary where:-

- Titan was very happy to forge a strategic long-term link with Tavistock.
- LEBC Holdings have welcomed Tavistock as a SIGNIFICANT SHAREHOLDER.
- Team Asset Management were convinced enough to launch a bid.
- Investors Chronicle are confident enough to place Tavistock as TOP PICK.

If you believe that none of the above would have satisfied themselves as to ESG of any counterparty, I think that you are mistaken.


Good Luck.


ALL IMO. DYOR.
QP