Vpc Specialty Lending In... Share Discussion Threads

[smidge21] 13/9/2024 12:36

What do you think needs to be said?

[solarno lopez] 13/9/2024 10:20

I notice the Oakbloke doesn’t say much on VSL these days. !

[nicholasblake] 13/9/2024 09:46

@craigso Check out my post 1392. No real surprise.

[craigso] 13/9/2024 09:39

I think the lesson with VPC is "be careful what you wish for" when voting for a managed wind-down.

The valuable stuff - the credit portfolio - was paying for the dividends and some private equity plays. It was probably sustainable, although VPC would have continued trading at a discount until some of the equity side was realised at or around NAV.

Now that the cash flow generating side of the business is becoming a smaller and smaller piece of the pie, it's no wonder that the stock market has little interest in "assets" like wefox within a sub-scale investment trust...

[wilwak] 10/9/2024 14:41

The NAV slides every month. It’s worrying.

I was concerned when I saw that VPC had been taken over. Was it a ‘rescue’ I wonder?

There’s still a lot of headroom between the share price and the ‘publishedR17; nav but those that bought up in the 80p’s thinking this was a steady performer have been badly burned and face quite a long wait just to try to recover ‘most’ of their money.

This ‘wind-up’; was sold as a way to release value in the interests of shareholders. Ridiculous.

[spectoacc] 10/9/2024 07:11

Assumption with VSL & many others is that the NAV was never what they said it was. May be slightly unfair in VSL's case, but eg DGI9 & various REITs.

"This is the NAV - just don't make us realise any of it".

[grahamg8] 10/9/2024 06:32

At current run rate 20% in dividends is swallowed up by -40% in capital losses. Cut and run, or hang in there at least till the end of 2025 when we should have another distribution?

[spectoacc] 10/9/2024 06:14

How large a monthly drop in NAV would it take for them to no longer be "pleased"?

-3.57% hasn't done it.

[waterloo01] 05/9/2024 06:33

It's behind you...(see top of page for RNS)

[feddie] 05/9/2024 04:33

2wild, did you read the last dividend declaration RNS?

[2wild] 04/9/2024 20:28

Ex 1.89p dividend tomorrow. Including September 2025, 5 x 1.89 = 9.45p or 21.4%, on 44p SP, in 365 days. Although dividends may decrease with any capital returns, they would probably proportionally be 50 to 60% above current share price.

BY mid September 2025. should have far more confidence in latest monthly report and NAV. Hopefully share price will rise towards current NAV and not vice versa.

[brucie5] 29/8/2024 10:27

My sense is that this has reached a bottom; today's news about the effective cut in dividend has seemingly made no impact on the share price. Sometimes shares can move to oversold and there is value after steep declines and chronic disappointments. ;)

But if anyone would care to share an idiot proof analysis of where we are and the buy/sell proposition, I'd be grateful to read it. It appears to be a complex story of several moving parts.

[farmers son] 29/8/2024 10:09

Not too much of a shock that the market priced in a lower forward dividend yield some time ago.

[feddie] 29/8/2024 06:37

Dividend announcement just came in with a warning that "changes to the portfolio composition as debt positions are repaid or restructured are resulting in materially lower levels of income at a portfolio level which will be reflected in what is likely to be a substantial reduction in the dividend in future periods"

This makes little sense unless they start to have distressed or default situations in the portfolio. If "debt positions are repaid", where is the money? Sitting on an account? They need to distribute it to shareholders promptly.

[brucie5] 29/8/2024 06:36

Yes. That's how I took it to mean.. Bought a few more yesterday. 38% discount to Nav.

[feddie] 29/8/2024 06:35

The expected dividend announcement is late. The last two periods were 24-Aug-23 and 25-Aug-22

[waterloo01] 29/8/2024 06:18

Decent divi but with warning (expected) re lower future dividend rtns. Offset by further issue of B shares or similar scheme to rtn capital?

[2wild] 13/8/2024 13:15

They had to write down several investments made well before wind down announcement. Doubt performance would have been any better if they went another route. At least they had to stop making any more stupid equity investments.

[dodger777] 13/8/2024 12:04

Well it is currently a ‘disaster̵7; when looking at the share price and compare it to the before the ‘best for shareholders’ announcement.

[chucko1] 13/8/2024 11:48

Yes, basically irrelevant. "disaster" is a strong word - we are merely a couple of goals down in the first twenty minutes. But I feel we may have a strong bench.

[dodger777] 13/8/2024 11:46

I don’t suppose it will make any difference to this disaster of a wind down of Vsl for long term shareholders.