Vpc Specialty Lending In... Share Discussion Threads

[cousinit] 07/2/2024 12:54

I appreciate that Chucko and others have modelled this in some depth, but the commentary in the December update and the evolution of the allocations between Nov and Dec don't really seem to hang together (to me). Suggests either some lax terminology between equity (vs common, pref etc) and debt or that there has been some partial debt for equity swap alongside the equity write downs that are described?

[chucko1] 07/2/2024 11:33

I will wait for the full details, but it strikes me that one of the credit asset classes is hurting badly. And those losses within that class might be correlated, but perhaps they will provide decent details. There was a murmur of this a couple of months back. And losses of note on the credit assets is not what was supposed to be on the menu.

[wilwak] 07/2/2024 11:12

VPC are losing credibility with all this. I thought they were well respected.

Big fall in NAV. Small investors suffer again. Little wonder shareholders are nervous.

Let’s hope the worst is now behind us. I’d be happy with 80p capital return and some dividends in the meantime. Hoping.

[solarno lopez] 07/2/2024 11:03

Totally unloved even by Oak Bloke by the looks of things

[tag57] 07/2/2024 09:16

Latest NAV announcement out- 4.8p capital reduction for December. Balance sheet clean up for the end of the year maybe?

[dodger777] 30/1/2024 13:57

The winding down in the best interest of shareholders they said ..all they have done is destroy shareholder value with this nonsense.

[scrwal] 30/1/2024 13:17

It's the uncertainty that's a killer.

[creme de menthe] 30/1/2024 09:35

Presumably sellers do not want to wait until 2027 for the end of return of capital.

[panshanger1] 30/1/2024 08:32

New 52 week low

[waterloo01] 30/1/2024 08:30

Looking weak. Have they put anything out?

[neilyb675] 19/1/2024 11:34

65.60 - 66.80 (GBX) at 08:07:08
on Market (LSE)

[wilwak] 18/1/2024 20:42

cousinIT…̷0;. I agree. The wind down of RDL was a disaster. I was forced to sell within my ISA and the shares I held outside my isa were deemed to be dividends rather than returns of capital. A fiasco with no regard for private investors.

Hopefully VPC are more professional in their handling of the wind down.

[chucko1] 18/1/2024 11:45

I think fear of that (wrongly) is why EPIC got hit a week back. Certain retail had to sell without delay, or so they were "told".

[cousinit] 18/1/2024 11:09

Well, having been stung by the RDL wind down, it's refreshing that they are trying to tailor the approach.

RDL was my own fault really, but the shares held in my ISA were kicked out on delisting and the remaining returns were via dividends and not capital... SIPP was fine as able to hold unlisted.

[redhill9] 18/1/2024 10:29

I know from my own experience in a corporate situation that getting "a definitive response from HMRC" can drag on.... and on.

Let's hope they're using the money intended for distribution advantageously in the meantime.

[chucko1] 18/1/2024 09:34

Indeed hmmmm.

[cc2014] 18/1/2024 09:27

As part of the orderly realisation process which the Company is undergoing, the board is currently exploring the potential mechanisms through
which such a proposed return of capital may be structured. The Company stated in the 2023 half-year report, that because VSL’s shareholder
register includes both institutional and retail shareholders, the Company would look to distribute capital in a way that ensures as far as
possible that no shareholder group is disadvantaged. When making that comment, the board had been advised that a route was potentially
available to distribute capital on a strict pro-rata basis, and the Company has been pursuing that option. It does, however, require certain
confirmations from HMRC for the board to be confident that investors will not be adversely affected. The Company is awaiting a definitive
response from HMRC, which will allow VSL to publish details of the capital return


Hmm.

[teleman2] 22/12/2023 00:47

They split this payment between income and capital repayment

[chucko1] 21/12/2023 08:53

Well, you appear to be 2-0 up on me although VAR is about to take a look. Perhaps you were sent mine from HL by mistake.

[ramellous] 21/12/2023 08:38

What’s going on with ii and the dividend. I received it my account 3 days ago and now another one for the same amount was credited this morning?

[nk104] 18/12/2023 13:55

Dividend seems to have landed in my account three days earlier than expected. Odd but not unwelcome.

[chucko1] 12/12/2023 10:41

You are right about Heyday. With that and my observation that he cited entirely the wrong percentage of NAV represented by WeFox, it calls into question his modus operandi - i.e. seemingly a speed research of a company followed by some resulting logic. The logic is generally fine, but worthwhile checking his inputs to ensure any error is not material.

In the case of VSL, it is by no means a show stopper, but as I wrote in a previous post, I felt he was somewhat more bullish than me. Nevertheless, a worthwhile read and raises good points. But a strong case of DYOR.

[legaleye47] 11/12/2023 22:36

Worth pointing out that the Heyday that VSL has invested in is not the one mentioned in OakBloke’s blog but instead the Amazon brand aggregator. From a few quick searches I can see that industry is struggling with lots of consolidation and layoffs. It’s unclear how Heyday is doing as there is very little recent news. So possibly that equity stake (and even the related loan) are not worth much? I own VSL shares and bought more recently, so if anyone has any insights into how Heyday is doing and what it might be worth that would be appreciated!

[chucko1] 11/12/2023 13:37

CWA, thanks. But if anyone has cause to disagree, I am happy to consider and change the model if appropriate. There is not great visibility here on the investment assets and personally, I am looking to go large on this. So if I have made an error somewhere, please let me know! (though I tend not to make errors, but age can do funny things)

That said, it was by modelling SLFR/X that gave me the confidence to really go against the grain. Made around 200% and on some decent size. Still hold quite a few. Ditto GPE.L in a previous era.

In my opinion, GABI could be another gem, though early days. They all have in common that they are (or will be) in run-off, so you do not have to be concerned with potential bad decisions - just ones that you can already see are bad! It becomes a maths/statistics/modelling game.