Titon Share Discussion Threads

[rainmaker] 23/7/2015 09:39

WD, I seriously do not see any other outcome if the performance of the Company continues to improve in leaps and bounds but the share price does not follow.Titon's failure to take full advantage of the situation and purchase shares for cancellation is a major disappointment.Similarly I feel the exactly the same way about the lack of a quarterly trading update.

regards

[wad collector] 22/7/2015 16:38

I am rubbing my hands in eager expectations of a takeover now , all this talk has got me excited! I've just set a limit sell for 180p and confidently expect it to be filled within the next decade or two...

[rainmaker] 22/7/2015 15:10

Thanks Gunner, IMHO its a shame because historically Titon has only really traded in reasonable volume on the release of results and trading statement and then becomes moribund for six months.In life, there's lots of things we don't have to do but nevertheless are in our best interest to do.Have you read my posts on my Value thread about Titon to Mario Gabelli's Private Market Value? If you value Titon in line with Volution's recent purchase of its double the current price or apply rival Volution PLC p/s rating then its circa 500p.

You could fire them off a letter suggesting that they purchase the shares for cancellation, explaining that at current levels it would boost earnings and net assets per share, cut the cost of the dividend as well being the most tax efficient way of returning value to shareholders.

regards

[gunner_ni] 22/7/2015 14:51

Phoned the Co today to enquire about an IMS as they issued one on 29 Jul 2014. Was told they won't be issuing a quarterly one anymore as they are no longer required to do so.
I agree that they seem very much undervalued and I also intend to sit back and await developments.

[rainmaker] 22/7/2015 10:42

SOABS et al-I've come to the firm conclusion that Titon can't possibly retain their independence. They've made excellent progress and have a great deal going for them- cheaper foreign manufacturing facilities and exposure to the growth sectors of the ventilation market through MVHR but if the share price doesn't respond acccordingly then something has got to give.£300mln market cap rival, Volution, trade at roughly three times annual turnover so have a rating of five times Titon Holdings. IMHO a MBO is also a distinct possibility but in a year time I don't expect them to be a separate listed Company, period. I believe the current CEO and the founder own approximately a third of the shares which makes a takeover difficult but not impossible. I have no intention of selling at current levels and will just sit back and await developments.



AIMHO, DYOR

regards

[rainmaker] 21/7/2015 23:40

SOABS-good luck with that..........you never know, you can only try and if you don't ask,you don't get.I'm sure we all agree that Titon Holdings are deeply and demonstrably undervalued.

regards

[rainmaker] 21/7/2015 23:31

Friday 10 July 2015



VOLUTION GROUP PLC

ACQUISITION OF VENTILAIR GROUP INTERNATIONAL



Extending our footprint in Europe

Volution Group plc, through one of its wholly owned subsidiaries, ("Volution" or "the Group" or "the Company", LSE: FAN), a leading supplier of ventilation products to the residential construction market, today announces that it has signed an agreement for the acquisition of Ventilair Group International BVBA ("Ventilair") and its subsidiary operations in Belgium and the Netherlands1. The consideration for the acquisition is €16.3 million2 (approximately £11.6 million), on a debt free, cash free basis, to be funded from the Group's existing cash and banking facilities.

Headquartered in Kuurne, Belgium, Ventilair is a leading manufacturer and distributor of residential ventilation products, including centralised systems with heat recovery, primarily in the Belgian and Dutch markets. In the year ended 31 December 2014, Ventilair generated revenue of €14.3 million (approximately £10.2 million)3. The adjusted4 earnings before interest and tax were €1.5 million (approximately £1.1 million) and gross assets were €11.5 million (approximately £8.2 million), of which, €5.9 million relates to goodwill in Ventilair. The transaction is expected to be immediately earnings enhancing, and will be reported under Volution's Ventilation Group division.

Mr Kurt Declerck5, founder and owner of Ventilair, will step down from his role as Group Managing Director on completion of the transaction, but has agreed to support the integration of Ventilair into Volution during the period immediately following the acquisition.

The acquisition is expected to complete on 5 August 2015.

Commenting on the acquisition:

Ronnie George, Chief Executive Officer of Volution, said:

"We are delighted to sign this agreement to acquire Ventilair which has been a trading partner of Volution for approximately ten years. In that time it has developed into one of the leading ventilation providers in the Belgian market; focussing extensively on central system ventilation, mainly with heat recovery. The acquisition of Ventilair increases Volution's exposure to this growing market sector as well as widening the Group's existing product portfolio. This additional access to market and enhanced product range will greatly assist us in our future plans for growth."

Kurt Declerck, founder and owner of Ventilair, said:

"I am delighted to have completed the sale of my businesses to Volution, our preferred partner, and I am confident that Ventilair will continue to thrive and grow as part of this leading specialist ventilation group."



1 The transaction also includes the acquisition of a small legal entity in France (Ventilair SARL), a minor subsidiary of Ventilair Group.

2 The consideration includes the benefit of a negotiated two year rent free period to the value of €0.4 million and is subject to certain adjustments under an agreed completion accounts mechanism in the share purchase agreement.

3 If the business had been consolidated into the Volution Group for the year ended 31 December 2014 our Group revenues would have been increased by approximately £8.5 million after the elimination of sales from the Group to Ventilair on consolidation.

4 Volution uses some alternative performance measures to track the underlying performance of the business, such as Adjusted EBIT. The board considers that these measures which exclude exceptional and other unusual items give a more useful indication of the underlying performance of the business.

5 Kurt Declerck owns 96.3% of the shares in Ventilair, with his wife Els Feys owning the remaining shares.



-Ends-

[sonofbanjosinger] 21/7/2015 19:12

Thats good because i was going to place a large order over the next few weeks at around 78 to see if i could increase.

[rainmaker] 21/7/2015 18:49

That's a good point.....they no longer have to update the market.

regards

[sonofbanjosinger] 21/7/2015 15:14

I thought they had stopped doing trading updates

[rainmaker] 21/7/2015 14:48

Check it out but there was very recently an acquisition of Belgian Manufacturer and Distribution on an earnings multiple roughly twice that of Titon Holdings(TON).

regards

[rainmaker] 21/7/2015 14:40

Expect an imminent trading update which will hopefully get the share price heading north.Really I have to blame the Company's management, as they should have been buying back their own shares for cancellation, its a total and absolute no brainer and I'm really surprised it hasn't happened already since the current CEO and his predecessor are major shareholders. These guys have done absolutely everything right and are to be highly commended for all their efforts until fairly recently under enormously testing conditions.......but these days just doing a superb job running a Company isn't enough, there's also public and shareholder relations to consider, as well. I'm just amazed that we're still trading at such ludicrously low levels.Anyway, lets see where we are after the trading update.

regards

[rainmaker] 10/7/2015 09:55

Thanks Sladdjo, that's very useful and neatly highlights the severe undervaluation of Titon.We should be at +100p. Indeed on the basis of that takeover Titon should be trading at roughly twice their current share price!Ridiculous, IMHO there's no other word for it.

regards

[sladdjo] 10/7/2015 09:20

FAN - acqn of Belgian manufacturer and distributor of residential ventilation products for €16.3m, with '14 adj EBIT of €1.5m. Good for likes of TON, trading on ~8x p/e with TBV > mrkt cap

[patviera] 04/6/2015 09:19

Red armyHave u told anyone what I told u in confidence???!!Seems to have leaked!!Another 2 pct then the last rally to a high u may never see again if you are 75 yrs old!!!

[red army] 03/6/2015 23:20

patviera


SWEET DREAMS! :-)

[patviera] 03/6/2015 21:14

Another sign of a mkt topTakeovers!!It's all baked in the cake

[red army] 03/6/2015 18:29

My target is still 120p after taking a breather at or around 90p but nothing is guaranteed.

[mrx9000] 03/6/2015 18:23

red: yep i agree. I think we are potentially going to see a fair few takeovers this year and TON could be one of them.

[red army] 03/6/2015 18:18

mrx9000

I takes two to make a market so best leave these bears to believe what they like and one day in the future when the markets take a dip they can say "i told you so"

[sirhedgealot] 03/6/2015 18:17

Game on...

[mrx9000] 03/6/2015 18:06

patviera: the average PE on FTSE 100 stocks is only 15, hardly expensive. the VIX is very low at 14. we have a lot further to go in this market yet. people are just seeing the ftse 100 at an area of 7000 and thinking it will not go any further. it looks to be going a lot further just yet. thanks for your concern, but can we not stay on the subject of TON. if you want to take about the markets in general I can give you some links to some other boards...

[patviera] 03/6/2015 17:57

MrxAttractive valuations?You've lost the plot mateWe are now the second most expensive mkt everI will be buying all the stks you will be selling when ftse is 3kBe warned

[mrx9000] 03/6/2015 17:09

I disagree... the trend looks to have a long way to go, volatility is low, some decent companies on attract valuations out there.