Victoria Share Discussion Threads

[castleford tiger] 20/8/2015 16:57

you need to leave ue e mail on here and then come back to delete?
Tomorrow midday?

[rotrader] 19/8/2015 16:30

No - have you got the link

[castleford tiger] 18/8/2015 18:25

the brokers note........have you seen it>?

[rotrader] 13/8/2015 20:16

tiger
brokers note - you had it - sorry you have lost me.
Great tip

[castleford tiger] 13/8/2015 17:36

Not a bad tip up 15% day after.

New brokers note out t/p 16.35 and I can see how.

rotrader you had it?
Tiger

[rotrader] 13/8/2015 08:57

Thanks Tiger - looks interesting, bought a few but most of my funds are tied up here at the moment. Trying to decide when to top slice.

[cockneyrebel] 12/8/2015 15:30

Old Mutual take 5%+

CR

[castleford tiger] 12/8/2015 09:59

Oh I agree I have no problem with other views.

I think VCP have 2 more 99% CERTAIN companies lined up.

looked at many and maybe more but 2 stand out.

Tiger
rotrader........off topic buy a few MFX mate!!

[rotrader] 11/8/2015 19:47

I am with you tiger - but it is good to see some different opinions on this board.

[castleford tiger] 10/8/2015 21:07

Shanklin
hope you are well.
not sure where u get 25 million from.

i said 12.5 and i will lift that now to 14 million and as high as 16 or 17 million by 2017.
Debt at under 3 or around 4 times that does not seem high.

i remain of the opinion the shares will move to 14.00 then settle until the next deal arrives.

tiger

[cockneyrebel] 10/8/2015 16:56

Well here's part of their debt investorschampion - from BGF:

"The BGF investment took the form of £10m of loan notes with a cash-paid coupon, with no capital repayment for the first five years and the capital then repaid over the following three years, as well as an option to buy equity in Victoria PLC at a later date. BGF’s investment was unsecured and flexible, in line with its approach as a provider of capital to support companies’ development over the longer term."

A rather astute bunch that have loaned VCP £10m unsecured and don't want repayment for the first 5 years and then they have to pay it back over 3 year.

The £10m helps buy Abingdon Carpets for £12.15m. Abingdon has net assets of £6.7m+ and makes pre-tax profits of £1.35m.

As I look at it, Abingdon more than pays for itself on that deal and VCP should have made enough from Abingdon in 5 years to repay the loan over the next 3 years with ease. That doesn't look a bad deal to me, especially as Abingdon increases VCP's turnover by 200% and should have huge potential for synergies imo.

So the debt load builds but the earnings capability to service that debt grows much faster and this particular part of the debt isn't affected by interest rates from what I can see and doesn't need servicing at all for five years as I read it.

If there were masses of shares being issued to pay for these co's I'd be worried but if this is an example of the sort of way acquisitions are being financed it looks rather good imo.

You're focussing on the debt - want to have a punt on what the earnings might be with turnover increasing well over 200%?

Anyway - a new high today and the way the rest of the carpet industry seems to be reporting it looks justified imo.

Aim. illiquid and higher risk for all of that so investors need to take that into account too imo.

All imo

CR

[31ben] 09/8/2015 18:05

For those interested in oil companies check this Interview with Gaurav Sharma - an Independent Energy Analyst:

[shanklin] 09/8/2015 09:14

CT, How do you get to £25m PBT please?

Thank you, Martin

[castleford tiger] 08/8/2015 21:58

Buying companies at 56 or 6 x earnings and bringing them into an enlarged group valued much higher gives a instant revaluation gain.
It is on this the company can continue to buy others.
The debt pile of course looks high we have only just bought the companies!!
How about debt to market cap?
Debt to earnings 4x

The brokers have lifted target to 14.00 based on this new company.
I think 12.5 million can be made.

I still rate these as a buy.

tiger

[buywell3] 07/8/2015 16:15

The chart is looking at a critical previous high now

[cockneyrebel] 07/8/2015 16:14

investorschampion - VCP did 26p eps in H2. How can the current forecasts of 52p eps for this year be anything other than very conservative? That's without today's acquisition.

You might be going on about debt but you're under-estimating potential profits and the potential to pay that debt down imo.

All imo.

CR

[spob] 07/8/2015 16:13

You guys need to learn to accept that others may take a view opposite to yours


don't take it personally

just live with it

[spob] 07/8/2015 16:12

No he is not

[geraldton1] 07/8/2015 16:04

Think you are on your own Investors Champion

[castleford tiger] 07/8/2015 12:18

And more companies being lined up!!
Tiger

[cockneyrebel] 07/8/2015 11:56

I think the earnings upgrades going fwd will change a few views imo.

The earnings beats and upgrades are making VCP look cheap imo. If they were doing these acquisitions with shares and diluting holdings I'd stay well clear but when BFC are pumping in £10m in unsecured loans then you have to ask who would you follow?



All imo

CR

[geraldton1] 07/8/2015 11:48

This Investors Champion blogger just seems increasingly desperate. Takes two to make a market and all that but perhaps he should spend his time focusing on other companies - he will be proved wrong.