Victoria PLC

[Bouleversee]

Am I the only lemon who holds VCP? I was rather hoping there might be some discussion about recent developments there as I am not sure what to make of them. I am a long term holder and don't know whether I am in line for a bonanza or being squeezed out for less than full value. The story is too complicated and wordy to relate all here but basically Koch Equity Development are investing £175m in VCP via preferred shares with a dividend of 9.35% cash or 9.85% if paid in kind, subject to pre-agreed escalation after 5 years, and between them Koch and VCP are buying all Invesco's VCP shares for £3.50 p.s. off market. Doesn't sound a brilliant deal for Invesco shareholders/fundholders as VCP's s.p. immmediately leapt to over £5, currently £5.40.

There is a para about warrants which is over this Doris's head. She does, however, get the feeling that it is all for the benefit of the big boys at Koch and VCP rather than the small shareholders. Perhaps she is suffering from the reverse of anosmia. All will have to be approved by the shareholders, of course. I should be interested to know what other holders or wise lemons think about all this.

https://www.londonstockexchange.com/new ... k/14729573

https://www.londonstockexchange.com/new ... e/14729765

[WickedLester]

Personally I think VCP is a very bad investment. The company doesn't generate any cash, is overgeared and has a poor balance sheet. If I held the shares i'd take advantage of the rise in the price to sell. It'll probably never be able to afford to pay a dividend.

[dealtn]

Am I the only lemon who holds VCP? I was rather hoping there might be some discussion about recent developments there as I am not sure what to make of them. I am a long term holder and don't know whether I am in line for a bonanza or being squeezed out for less than full value. The story is too complicated and wordy to relate all here but basically Koch Equity Development are investing £175m in VCP via preferred shares with a dividend of 9.35% cash or 9.85% if paid in kind, subject to pre-agreed escalation after 5 years, and between them Koch and VCP are buying all Invesco's VCP shares for £3.50 p.s. off market. Doesn't sound a brilliant deal for Invesco shareholders/fundholders as VCP's s.p. immmediately leapt to over £5, currently £5.40.

There is a para about warrants which is over this Doris's head. She does, however, get the feeling that it is all for the benefit of the big boys at Koch and VCP rather than the small shareholders. Perhaps she is suffering from the reverse of anosmia. All will have to be approved by the shareholders, of course. I should be interested to know what other holders or wise lemons think about all this.

https://www.londonstockexchange.com/new ... k/14729573

https://www.londonstockexchange.com/new ... e/14729765

How does a deal that sends the share price (available to all, but especially the small shareholders) up significantly to over 500p, and up over 100% in the last 3 months, "benefit the big boys ... rather than the small shareholders"?

[Bouleversee]

Am I the only lemon who holds VCP? I was rather hoping there might be some discussion about recent developments there as I am not sure what to make of them. I am a long term holder and don't know whether I am in line for a bonanza or being squeezed out for less than full value. The story is too complicated and wordy to relate all here but basically Koch Equity Development are investing £175m in VCP via preferred shares with a dividend of 9.35% cash or 9.85% if paid in kind, subject to pre-agreed escalation after 5 years, and between them Koch and VCP are buying all Invesco's VCP shares for £3.50 p.s. off market. Doesn't sound a brilliant deal for Invesco shareholders/fundholders as VCP's s.p. immmediately leapt to over £5, currently £5.40.

There is a para about warrants which is over this Doris's head. She does, however, get the feeling that it is all for the benefit of the big boys at Koch and VCP rather than the small shareholders. Perhaps she is suffering from the reverse of anosmia. All will have to be approved by the shareholders, of course. I should be interested to know what other holders or wise lemons think about all this.

https://www.londonstockexchange.com/new ... k/14729573

https://www.londonstockexchange.com/new ... e/14729765

How does a deal that sends the share price (available to all, but especially the small shareholders) up significantly to over 500p, and up over 100% in the last 3 months, "benefit the big boys ... rather than the small shareholders"?

They were 854p in May 2018 and I held long before that and they haven't paid a dividend for years. I concede that traders in the know could have made a quick profit this week but long term holders don't move that fast and aren't in a rush to sell when the Board tells us that the shares were seriously undervalued before this development. It wouldn't surprise me if this jump has been engineered with LTIPs in mind (just guessing as I haven't checked what they are in this case) and that we also get bought out at some point at less than real value but hopefully I shall be proved wrong. My cynicism is a result of several instances of other holdings having been taken over at low prices by foreign companies, sometimes taking the directors with them, and Geoff Wilding is undoubtedly a crafty character.

I'd still like to know why Invesco sold out so cheaply and what the family who were previously the major shareholders think about the deal which seems very complex and unclear in some respects, but that may be just down to my lack of knowledge.

[PinkDalek]

In case you've yet to see it:

Comment on the Second UK Lockdown & Recent Trading
https://www.londonstockexchange.com/news-article/VCP/comment-on-the-second-uk-lockdown-recent-trading/14741355

[Bouleversee]

I did, thank you, PD. Quite encouraging. I thought it would send the s.p. up along with various others and the FTSE this morning but bizarrely it is down. I was considering buying a few more as cash will be released from the HZD takeover (debating whether to sell that in the market) but I have rather lost my nerve and nothing seems to turn out as expected.