Volvere Share Discussion Threads

[yamaha865] 14/3/2023 22:34

I don't think Shire is worth £20m, profits after tax usually are between £1-£2m or thereabouts. Still good value at this price, but really its use of capital over the last several years has been poor.

[rivaldo] 14/3/2023 22:18

In cae anyone missed tonight's late RNS, nice to see VLE rightly considering 1085p good enough value to buy back another £21,700 of shares:

[kispis59] 14/3/2023 21:08

Agreed,I would say Shire must be worth £20m + cash of £20m, so a share price of £15+

[zoolook] 14/3/2023 08:33

Well done Shire and the Lander’s. It’s unfathomable why the share price isn’t 50% higher

[eezymunny] 14/3/2023 08:24

Has something changed smithie6, or are you just posting piffle for the sake of it? AFAIK the way the company rewards the Landers hasn´t changed for 20 years.

[smithie6] 14/3/2023 07:55

...'before management charges' for the 2 Landers

& ' £2m spent to buy shares in to treasury'....will all the treasury shares be to reward the 2 Landers ??

Have the 2 Landers got too much power here & is there a real risk of them taking too much now & in the future for themselves ?

[rivaldo] 14/3/2023 07:30

The year end update is out - Shire Foods have had a cracking year, with PBT up to £2.78m (from £2.14m).

Given the surrounding cost and labour environment you have to give immense credit to them. Shire is now a substantial business and appears to be well placed in its sector given its links with the fastest growing players.

VLE now have £20.8m cash against the £24.8m m/cap, and that will have risen by the amount of the Indulgence property sold since the year end (£1.5m or so from memory?) with one more property to go. The Indulgence losses are substantial but now historic, and going forward VLE will have a clean Shire-based business.

Plus it's good to hear:

"Since the year-end, labour market challenges and raw material price pressures have shown some signs of abating. Early indications are that the focus on margins in Shire has ensured that we have commenced 2023 with appropriate customer pricing."

And there are further encouraging noises about potential further acquisitions. Maybe with Indulgence now gone we'll get action on this front.

[rivaldo] 15/2/2023 08:27

Shire Foods have very successfully built their growth around supplying to Lidl, Aldi etc. Better to supply to fast-expanding operators than declining behemoths. And the likes of Tesco aren't exactly known for their generosity towards suppliers :o))

VLE had £20.4m cash (before subsequent buybacks) at the last interims against the now £23.6m m/cap.

In recessionary times having such a cash pile is a huge asset for shareholders and for the company. At some point VLE will find another acquisition worth making and will be able to act quickly to secure it, hopefully at an advantageous price. Though extreme patience is a virtue here given the Landers' caution.....

[zoolook] 14/2/2023 17:38

Don’t know what your point is when their cash is priced in sterling and so are the shares.

[charo] 14/2/2023 15:19

In inflationary times cash is a depreciating asset.

[charo] 14/2/2023 14:45

but lidll margins to suppliers notoriously tight.

[rivaldo] 31/1/2023 11:11

VLE's Shire Foods are a supplier to Lidl, so perhaps this is good news:



"Lidl buys extra £2bn of British food
Tuesday January 31 2023, 12.01am,

Lidl will buy an extra £2 billion of British meats, cheeses and other food products over the next three years than it had expected previously.

In 2019, the German discount retailer, said that it would spend £15 billion with its British food suppliers over the coming five years. However, it has now increased that figure to £17 billion by 2025, including £4 billion this year.

It is understood that the extra spending will be on bigger contracts with many of its existing 650 suppliers in Britain, as well as fresh deals with new partners...

....Lidl’s UK sales in the four weeks before Christmas rose by 24.5 per cent compared with a year earlier."

[rivaldo] 26/1/2023 15:31

You have to laugh - the m/cap has reduced by £3m or so on the back of just £7k of trades! There could be a slightly larger trade still to be reported, but still....

It could just as easily go back up on small buying.

[texas_caddy] 26/1/2023 14:36

900p to sell, 994p to buy. Only the 10.44% spread :)

[rivaldo] 13/1/2023 07:52

Great spot penguin 3030. That would be £2.3m in total for the two properties assuming guide prices are met - not too far off 100p per share:



I seem to remember the properties were unencumbered by mortgages, in which case that's a nice parting gift from Indulgence.

[penguin3030] 13/1/2023 07:27

both Indulgence sites are now being indicated as under offer. so a bit more cash in the kitty to spend.

[rivaldo] 23/12/2022 07:26

Cheers JAF111 - yep, good to see VLE buying back almost another £120,000 of shares at 1195p.

For the record there are now only 2.364m shares in issue, so the m/cap is only £27.8m at 1175p.

[jaf111] 22/12/2022 19:27

So another 10k buyback reported after hours…..the 11th buyback since 30 September.
Most interesting to see the increasing price being paid…. 30 Sept buyback at 881p whereas today’s at 1195p.

In the absence of any significant acquisition(s) one must surely expect further buybacks….

[jaf111] 13/12/2022 13:36

News….or another 10k buy-back???

[zoolook] 09/12/2022 10:56

Especially as most of their cash pile comes from a tender offer priced at £1350.

[exv] 09/12/2022 09:46

Tweeted this elsewhere but IMO the board should be commended for the execution of the share buyback scheme. Very often businesses will use illiquidity as an excuse not to act. Volvere is very illiquid, but as a long-term shareholder I think they are doing precisely the right thing by buying back shares at a substantial discount to NAV, which in my view is a conservative yardstick of value.

I don't care about buybacks as a way to manage the share price. Actually, I'm a little disappointed the price is moving up - I would rather it stayed below 10 bucks so they could've kept buying back ridiculously cheaply - but this sort of market activity is another way a management team can demonstrably 'create value' for remaining shareholders by buying a pound of assets they know well for less than a pound of outlay.

[rivaldo] 09/12/2022 07:10

So looks like the market was collecting shares up for this large buyback of 10,000 shares, or £113,000.

Good to see VLE consider 1130p still good enough value to be buying in, and just prior to the year end too:

[rivaldo] 08/12/2022 15:40

Up once again. Without buybacks too. I suppose:

- the cash pile will be earning decent interest receivable from hereonin
- company valuations for acquisitions should be getting more and more attractive

The second Indulgence property was still for sale on Rightmove this morning. Other than these factors I'm unaware of any further news flow.

[jaf111] 06/12/2022 13:00

After a short pause it looks like it’s on the move (upwards) again……🤞