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Doric Nimrod Air Three (DNA3)

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Carcosa
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Re: Doric Nimrod Air Three (DNA3)

#496836

Postby Carcosa » April 27th, 2022, 10:12 am

The following table provides my estimate of potential returns for a new investor buying DNA3 today.

I maintain my view that A380 scrap value will be relatively negligible; $2.75m per aircraft against DNA's valuation of over $50m/aircraft. If I am wrong then that just means potential returns are significantly higher than my model suggests.

The cash element of 4p/share reflects DNA's view that £10m will be the cash balance at the end of the leases. Given current exchange rates that is likely to grow a little. DNA receives about 70% of the lease income in USD.

I have coincidentally deducted 4p/share for additional expenses. This is an arbitrary amount and without foundation other than my own suspicions that things like this happen from time to time during company wind-ups.

The half life redelivery costs have been agreed with Doric (DNA) and I am very confident the same will be applied to DNA3 aircraft at 17p/share. Perhaps a little more due to inflation.

Image

Given uncertain times DNA seem to be a rock-solid proposition.

If you have rose-coloured glasses and believe the scrap value to be $50m/aircraft, with no appreciable expenses for winding up the company then you can expect 200% returns :lol:

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Re: Doric Nimrod Air Three (DNA3)

#496922

Postby Laughton » April 27th, 2022, 3:24 pm

Emirates Widens Fleet Refurbish Plan Amid Delays to New Deliveries


https://money.usnews.com/investing/news ... 20(Reuters)%20%2D%20Emirates%20will,the%20Airbus%20A350s%20it%20ordered

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Re: Doric Nimrod Air Three (DNA3)

#497030

Postby Carcosa » April 27th, 2022, 5:27 pm

Emirates Widens Fleet Refurbish Plan Amid Delays to New Deliveries


It's old news when you consider this subject has been discussed by Emirates a while ago. Nonetheless its gaining traction amongst the wider public.

Potentially disappointing news for DNA(x) shareholders but all I can say is that I hope it will attract muppets to buy the shares on the belief that operational performance somehow makes the proposition of holding the shares more desirable. If it drives the share price to silly levels then I will be exiting earlier than planned. This is a fundamental mistake retail investors make with leased aircraft. The lessor doesn't give a toss if the aircraft are flown or not as long as the lease payments are made. In fact its financially advantageous for the aircraft to be not in operational use because the residual value improves (excluding the A380!).

In reality there is no way I can see a scenario whereby Emirates hangs on to the DNA(x) fleet beyond its prescribed initial lease terms.

If the DNA fleet were to extend operational life it would cost so much more in return conditions to make it untenable when there are younger aircraft in storage. A major factor is remaining life for the engines. If they are returned 'relatively' early then a 'half life' return condition (a euphemism for the aircraft are going to be scrapped) is relatively cheap at around $12m per aircraft because the engines have a good useful life remaining but if they push it pass that to a full refurb then that's a bill of $55m for ship set meaning a half life return cost of $25m or more (depending on landing gear, APU cycles remaining). Better to return the aircraft at lease expiry and get a newer A380 out of storage and refurb the interior. They are still paying full lease rates for those younger aircraft and the reduced +2 year lease extension payments on the DNA3 aircraft would pale into insignificance when it came to return condition costs; Also by then DNA3 aircraft may be the last airframes to leave the Doric stable and they may well insist in a much higher dollar return condition payment.

It makes no sense to the ethos of Emirates operating a young fleet which is very important to them. Older aircraft require much more maintenance and reliability deteriores significantly. Thats a big operational cost.

Whilst the B777X and A350 delays are much publicised the delay period - post covid - is really only 3 years or so. Not so significant in terms of fleet planning and A380 exit.

Bottom line is that I believe DNA3 lease period will be unchanged but if it generates speculative interest in the share price then great. More profit.

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Re: Doric Nimrod Air Three (DNA3)

#505974

Postby Carcosa » June 9th, 2022, 6:20 am

Emirates had returned more than half of its Airbus A380 fleet to service. Furthermore the likes of British Airways, China Southern, Korean Airways, Qantas, Qatar Airways, Asiana Airlines and Singapore Airlines have returned some or all of their A380's back into service. Overall, some 40% of the worldwide available fleet has returned to flying status and the pundits are suggesting more A380's will join them before the end of the year. One of the biggest problems is getting qualified air and cabin crew. British Airways are expected to have their entire fleet back into the air shortly. It seems as though Malaysia and Lufthansa are the two high profile operators who will not bring the aircraft back.

The reason why such aircraft are returning to service is that both Boeing and Airbus have failed miserably to deliver wide-bodied/high capacity aircraft for various reasons and there is a lack of visibility as to when this might improve.

What this means is that residual values for the DNA3 aircraft should hold up quite well. Whilst I still do not believe the aircraft are worth anything like $50-55m a piece my low ball view of $2.75m may prove on the light side. For every additional $1m in value it equates to 1.4p in DNA3 NAV.

Also, the general market investor sentiment towards airlines is markedly improving which provides a nice back drop for DNA3 share holders.

Next investor highlight for DNA will come next month via their Quarterly Report for the period ended 30 June 2022

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Re: Doric Nimrod Air Three (DNA3)

#508770

Postby Carcosa » June 22nd, 2022, 7:23 am

I don't particularly like to discuss worldwide fleet operational service as it detracts somewhat from the leasing business. Having said that, A380 fleet utilisation would have an impact on DNA3 scrap value. Maybe not a lot, but some.

It's particularly interesting to note that Lufthansa, even as recently as April of this year, was insisting that the aircraft would not be returning. However, the faster-than-anticipated recovery of long-haul travel has Lufthansa reconsidering its view with reports that Lufthansa is mulling the reactivation of four to eight A380s from its current stored fleet of 14 to meet 2023 demand.

Image

I also note that DNA1 lease is due to expire on 16 December 2022. As yet no confirmation that Emirates have accepted the half-life return condition ($12m payment). The aircraft remains in storage. Redelivery would probably require engine changes (to get the original engine serial numbers re-installed) and those engines would probably require overhaul as part of the lease return conditions; which would be more than the $12m payment option.

I would think there is some conversations going on with Doric about doing some Doric fleet agreement just to ease logistics over engine/APU issues. Changing engines between aircraft in storage is not a trivial issue.

Nevertheless there appears to be quite some upside (20%?) to DNA1 share price which should provide a positive impetus for DNA3 share price.

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Re: Doric Nimrod Air Three (DNA3)

#511065

Postby Carcosa » July 1st, 2022, 8:49 am

Thought it might be interesting to compare the three Doric funds.

Making the following assumptions:
Half Life conditions are met,
Cash balance is as per last Annual Reports (probably a bit higher in reality)
Scrap value of $7.5m/aircraft

Image

Wouldn't take these figures too seriously as there are a lot of variables; Broadly speaking there is nothing to choose between the three. However if you believe scrap values are going to decrease with time then DNA & DNA2 are preferable, perhaps.

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Re: Doric Nimrod Air Three (DNA3)

#511074

Postby abtan » July 1st, 2022, 9:02 am

Thanks Carcosa

That table is much appreciated.

I bought some DNA2 during 2020 based on conversations here.
So far it has worked out very well. So thank you, and any other contributors, for taking the time to share your thoughts and for steering my attention in an interesting direction.

All the best
A

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Re: Doric Nimrod Air Three (DNA3)

#514729

Postby Carcosa » July 16th, 2022, 6:37 am

Doric issued their quartely report yesterday.prompting an 8% rise in the share price. Although holders of Doric One saw a 75% increase :-) The reason? "..will sell the aircraft to Emirates. ..GBP 25.30m".

Three of the four aircraft have returned to service. This is useful to know because the more hours/cycles it performs the more likely it is that return condition costs escalate at end of lease. This in turn means the half life return payment of an expected $12m/aircraft (plus inflation) is more likely secured, or a lease extension is obtained.

Return of grounded aircraft appears contingent on air/cabin crew capacity.

Given Emirates have stated that the airline wants to retain all of their currently 118 A380s until the mid-2030s a lease extension actually appears likely!(?). However lease extensions will be at a lower rate.Alternatively Emirates could purchase the aircraft at the end of the current lease.

If we take DNA3 values at face value then an ultimate return of 126+% is on offer at todays share price. It would probably be wise to take a substantial reduction to the claimed residual valuation though. But perhaps not too much.

The DNA1 aircraft achieving a sale of ~$30m. Using that as our figure (excluding inflation), that provides a total return of 50% profit based on todays offer price of 48.8p/share. Assuming Emirates do not buy the aircraft then the $12m half life condition cash payment and a $10m scrap value will provide DNA3 shareholders with a 25% total return.

Image

Overall, things are panning out positively as envisaged in my origin post. :-)

The following is the recent history of the valuers soft values as published by Doric.

Image

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Re: Doric Nimrod Air Three (DNA3)

#514763

Postby Carcosa » July 16th, 2022, 10:26 am

Have received a couple of messages arising from my previous post, asking what I thought about the price paid by Emirates for the DNA1 A380 and if that is a good guide to the value of DNA2/3 aircraft. I really have no insights, just conjecture, so here goes...

On the face of it if Emirates is paying $30m for a 12 year old aircraft that should be the precise value of all the other A380's when they reach that age, inflation adjusted. Except it isn't.

Why did Emirates not simply extend the lease, which is an option in the agreement?

Well, how long does Emirates want to use the aircraft for? That mostly depends on when the Boeing/Airbus new aircraft types actually get delivered. As a guess I would think perhaps a maximum of four additional years operational service would be deemed appropriate. For Emirates that prides itself on having a young fleet that would be really pushing things. Not withstanding the earlier remarks from Emirates about going into 2030's with the aircraft

So how much would the revised lease rate be?
That depends on the aircraft value and applying about a 6-7% lease rate. With an assumed value of $30m that would cost Emirates about $8.4m over four years. On top of that they would then have to return the aircraft to full life. Without knowing the engine/APU/Landing gear and airframe state it's impossible to place a value on that. But we do know the engines will almost certainly need new Life Limiting Parts (LLP) replacement, plus overhaul, plus a major airframe check. That could amount to $40m+ Thats a total of $48.4m spend. So a purchase price of $30m gives a 37% saving. There would also be some other operational cost benefits to.

Emirates would now own the aircraft, spare parts etc., plus they may be able to scrap it for $10m. So 'true' cost to them is $20m. Spread over 4 years that's effectively 'free'. It gets lost in the financial decimal points within the fleet.

In summary then, $48.4m v $20m spend between leasing and owning is the rationale. (In practice a half life return condition would most likely occur making it a $20.4 v $20m)

In fact it may even be much better than that. Emirates have been paying the engine manufacturers an hourly rate for maintenance reserves and other services. The rationale for this, as with all major airlines, is that it becomes the engine manufacturers responsibility to cover most of the overhaul costs risk. In other words, if over the lifetime of the agreement (usually 10-12 years) the engines have more than the agreed number of shop visits when the engines were purchased it is the engine manufacturer that pays for it. It is quite likely that Emirates could claim back a portion of this money because the engines do not go in for overhaul because the aircraft is scrapped instead. (In practice the engine manufacturers would discount future engine purchases on new Boeing/Airbus aircraft). No idea how much they might be able to claim but even if it was only $500k/engine that's $2m for a shipset. So this A380 aircraft purchase would only cost ~$18m or $375,000/month. In the airline world, that is what you call 'free'.

So we can apply similar valuations for DNA2/3 aircraft, right?
Not really. There are too many variables that we as shareholders do not know. We don't know the physical condition and cyclic age of the airframe and engines; especially the engines. It could create a large variation in the price Emirates is willing to pay.

More strikingly is that DNA3 aircraft are not due off lease for another 3.5 years and the question has to be asked as to whether or not Emirates needs to keep those aircraft. Whilst Emirates CEO has said they want all of the A380's until mid 2030's I think it would be a huge stretch. Having aircraft that old presents a whole host of issues and much higher operating costs. It might be possible in my view to scrap the older aircraft and replace them with DNA3 aircraft when the time arises. Maybe.

At that point in time Emirates may elect to extend leasing or scrap the DNA3 aircraft which gives rise to $10m scrap value + $12m half life payment totalling $22m/aircraft for DNA3. A lease extension would add in about $2.1m annually or 3.5p dividend per year (7% yield) for DNA3 shareholders.

So what else?
Emirates would view the Doric, and possibly all their other A380 leasing companies as one, whereas DNA1/2/3 shareholders only view their assets in isolation. It is possible that Emirates have some sort of plan to amalgamate their fleet in such a way as to minimise costs. The most obvious way of achieving this is to (continue to) mix and match engines on different airframes. This can improve reliability amongst other things and would not require them to have as many shop visits etc., It becomes a massive PIA when you have to bring say three aircraft into the hangar to remove an engine from each, possibly overhaul them and then place them back in the end-of-lease airframe to meet return conditions; whether or not the aircraft are going to be scrapped. The aircraft has to be airworthy to fly it away to the scrapyard...

If it can be arranged to effectively say to all leasing companies that 'hey, all your aircraft are going on the scrap heap anyway so what do you care about getting the original as delivered engines back on to your airframe?' then everyone becomes a winner...and a part of the operational savings Emirates make provides the $12m payment for half-life return condition. All of this is not trivial. Merely scheduling the aircraft for this is no fun as you have to ensure replacement aircraft can be found. It's like trying to knit spaghetti.

So what is the DNA3 aircraft value?
I maintain it is reasonable to assume an end of lease scrap/return income of $22m per aircraft as a baseline figure. Anything above that is icing on the cake. The market may ascribe a much higher value of $30m or indeed up to $42m if you want to include inflation and use Doric's recently announced figures.

Whatever figure the market thinks it is then that should persist for at least another 12 months because nothing of practical consequence with Boeing/Airbus new deliveries is likely to occur.

What about the Shareprice?
Assuming current exchange rates then I would tend to start selling my holding at ~70p/share less dividends yet to be received.

In the short term I would hope some positive news this weekend would entice share holders to buy DNA2/3. In fact even DNA1 still has around 10% upside.

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Re: Doric Nimrod Air Three (DNA3)

#518788

Postby Carcosa » August 1st, 2022, 1:53 pm

The Doric Nimrod Annual Reports have been published. The copy and paste nature of the DNA1,2,3 reports resulted in a small error in the DNA 3 report which I have now confirmed with Nimrod Capital but I also took the opportunity to confirm the net cash forecast of GBP10m remains as per the prior AR, which it does. By implication the GBP25m forecast for DNA2 remains valid.

It's a shame the DNA1 Annual Report has been delayed a few weeks due to the sale of the one A380 associated with that aircraft as it may provide additional clues as to what DNA2/3 shareholders may experience should some or all of the associated A380's are sold. Will just have to wait a bit longer.

We now have a probable best and worse case scenario for DNA2/3 aircraft. A best case scenario is that the aircraft are sold for $30m each (although this could be marginally higher or lower) and a worst case scenario is that the aircraft are scrapped with no scrap value. Scrapping the aircraft should recover at least $6 million, in my opinion.

Under the following assumptions, I estimated the returns for DNA2 and DNA3:

* Half Life payment of $12m (if aircraft not sold)
* Aircraft Sale Price of $30m (if not scrapped)
* Assume no further lease extensions are forthcoming (if so, lease rates would not be able to support current dividend payments)
* Exchange rate of 1.22 USD/GBP
* Estimated end of lease cash pile based on last year's report
* No unexpected costs at lease end

If the aircraft are sold then I would see the current situation as:

Image

My working model, Half Life payment and $6m scrap gives:

Image

Overall returns for DNA2/3 remain broadly the same; as should be expected as the two investments are almost identical in nature. However the end of lease dates are very different.

As of now, for DNA3 the annualised returns is about half that of DNA2. DNA3 expires in Oct 2025 whereas DNA2 leases expire July 2024.

Image

Image

The question arises as to whether or not it's worth selling DNA3 shares for DNA2 shares. Purely on the numbers, even given the spread prices, it's probably worth doing so.

It is easy to speculate which may actually end up the better share. DNA3 airframes should sell for a higher value based on inflation; but then Emirates may elect not to buy them at all because they have better visibility of replacement aircraft delivery schedules. Then there is the influence of exchange rates between now and end of lease. General market sentiment? It becomes a speculation rabbit hole.

Overall, at current market conditions, DNA2/3 appear to be investments which remain unlikely to produce a loss. Should some exuberance hit the shares resulting in a further 15-20% share price improvement it may well be worthwhile to consider selling the shares.

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Re: Doric Nimrod Air Three (DNA3)

#522783

Postby Laughton » August 16th, 2022, 9:37 am

Always good to see some wider coverage:- https://moneyweek.com/investments/60522 ... -off-again?

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Re: Doric Nimrod Air Three (DNA3)

#522793

Postby Carcosa » August 16th, 2022, 10:07 am

Thanks for the link. Not a bad article and gets the thrust of the investment argument over. Would have been nice if it had stated the dividend yield.

Some comments...

Why aircraft leasing funds look attractive now
They were more attractive two years ago.

When the Doric Nimrod aircraft funds launched a few years ago, they offered some tempting asset-backed income from a portfolio of A380 superjumbos that were leased to Emirates.
They were not tempting at all. Hence why I never invested. That was too much risk

But the security that these assets offer looked fragile when the pandemic hit.
Absolutely untrue. The assets were secure as I indicated in my original post

No A380s were flying
Who cares? Commentators equate flying the aircraft as being a good thing. It's not. We are leasing the aircraft, not operating them. It would have made shareholders more money if the aircraft were scrapped off years ago.

Analysts have tried to put a value on how much these stranded A380s might be worth, but this has been a largely fruitless exercise as second-hand values are not advertised – there is no Rightmove for planes.
The aircraft were never 'stranded'. A380 valuations are reasonably well known within the industry.

Doric Nimrod Air Two (LSE: DNA2), which owns seven A380s with leases ending in 2023 and 2024, Emirates has already given notice that it is exercising the option that allows it to redeliver the aircraft in half-life condition, or between two major overhauls in its maintenance cycle. If this happens, a return condition payment of $12m per aircraft will be made by Emirates
It was not an option. It was never written into the lease agreement. An offer letter was issued to Emirates. Emirates have only announced acceptance of this offer for ONE aircraft, to date.

although most analysts think that it probably wouldn’t offer exactly the same price given to DNA. Meanwhile, the third fund, Doric Nimrod Air Three (LSE: DNA3) has four A380s, whose leases expire in 2025. Analysts at Jefferies reckon a prudent valuation for DNA2 and DNA3 could be $25m per aircraft.
They are the same analysts that could not find out A380 valuations?

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Re: Doric Nimrod Air Three (DNA3)

#522795

Postby BullDog » August 16th, 2022, 10:18 am

The shoddiness of todays finance journalism never fails to disappoint. That publication is run by a fairly well respected finance journalist from FT. She should be ashamed of publishing such poorly researched rubbish.

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Re: Doric Nimrod Air Three (DNA3)

#529300

Postby Carcosa » September 12th, 2022, 9:22 am

Today Doric issued their Annual Report for DNA1 which only has one A380 in its fleet which was agreed to be bought by Emirates for £25.30m. There are some potential interesting aspects in the report which should read across to DNA2/3.

Am surprised the purchase price is in Sterling. The industry works in USD and when the purchase was initially announced the £25.30m equated to $30m at the time. That figure is now $29.6. So, for once the exchange rate movements have apparently gone against DNA1 shareholders. Nevertheless Doric are forecasting a return of 63.75p pence per share (including future 2.25p dividend) which would have netted you about 5% return had you bought last week.

Timing
Emirates are scheduled to buy the aircraft on 16 December and Doric have indicated they expect to windup the company and return capital to shareholders in Q1/23. That's pretty quick as these things go and is a good marker for DNA2/3 shareholders.

Wind Up Costs
This was one area where I thought management could make things bad for shareholders. However it appears liquidation costs are minimal (as they should be!)

Cash
Seems that DNA1 will end with a cash pile significantly higher than predicted in the 2021 AR. I assume this is mostly the result of exchange rate differences. Should therefore follow through to DNA2/3

Risks
In late November/Early December the aircraft will probably be subject to a further technical audit. There should not be any surprises given Emirates have operated and maintained the aircraft from new. However should something major be discovered then the deal could probably be cancelled by Emirates; although unlikely IMO

Summary
For buyers of DNA1 during the Covid period they have done exceptionally well. The read across to DNA2/3 is positive and the DNA1 AR supports my earlier postings regarding DNA2/3 valuations, although there remains an element of speculation on scrap values, Half Life return conditions and/or purchase.

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Re: Doric Nimrod Air Three (DNA3)

#531623

Postby Foxhound » September 22nd, 2022, 9:16 pm

@Carcosa - Thanks for your contributions on this thread, interesting reading and clearly a positive return available for those who got in at the right time.

Have you researched / any thoughts on the other Funds in the Sector? Amedeo Air 4 for example looks to have 6 A380s and two Boeing 777-300s all leased with Emirates, but the rest of their Portfolio seems somewhat impaired with Thai Air.

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Re: Doric Nimrod Air Three (DNA3)

#531675

Postby Carcosa » September 23rd, 2022, 5:30 am

Hi Foxhound,

The investment case for DNA was driven on the basis that Doric only had one aircraft type with a clearly defined exit/windup plan with Emirates, who I regarded as a Sovereign backed airline, at the time of maximum negativity in the investment community due to the pandemic. On top of that I felt few investors understood aircraft leasing and scrap valuation. Essentially people think its a bad investment if the aircraft are not flying whereas as an investor nothing could be further from the truth.

So no, I would not look at any other funds in the sector because general sentiment/facts are that the aircraft/airline/leasing business is recovering. Specifically there is no end goal for Amedeo Air 4 (they also have A350-900 aircraft) and intend to sell/acquire further aircraft in the coming years.

If you look at the Avation thread on the lemonfool you may find something of long term interest. I visited Avation a few years ago and got to meet the team for the day and was a significant shareholder pre-pandemic for a few years. I suggested re-buying those shares a few weeks ago and see they are up some ~30%+ Whilst a very very small player in the leasing world the personnel have decades of experience. If you want to be in the aircraft leasing business for the next 5 years then I think they can do well with the ever present opportunity for being taken over. The risks relate to the need to address relatively high cost of capital in a high interest environment but new business they write over the next 2 years or so will probably become very profitable over a 4-5 year time frame if interest rates are lowered. However do not expect significant dividend payments for quite a while.

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Re: Doric Nimrod Air Three (DNA3)

#532140

Postby Laughton » September 24th, 2022, 5:55 pm

Elliott popped up yesterday as a 14% holder.

https://www.londonstockexchange.com/new ... y/15642576

I don't suppose they've done that just for the income.

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Re: Doric Nimrod Air Three (DNA3)

#532206

Postby Carcosa » September 25th, 2022, 6:51 am

Hi Laughton,

Thanks for the link.

Wow! According to the RNS the ultimate shareholder is Paul Singer who is an American hedge fund manager, activist investor, philanthropist, and the founder, president and co-CEO of Elliott Management. As of October 2021, his net worth is estimated at US$4.3 billion. In 2020 Singer ranked 222 on the Forbes 400 list of the richest Americans, 538 among the world's billionaires, and the 19th highest earning hedge fund manager.

Lots more information can be read on Wikipedia

Paul, the Founder, President, Co-Chief Executive Officer, and Co-Chief Investment Officer of Elliott Investment Management. AuM are 56 billion USD

The bulk of the purchase appears to have been on the 16th with 25m+3m shares bought. No idea how they can acquire such shares without affecting the share price; presumably it's some sort of pre-arranged purchase from a known seller except there appears to have never been a single owner of DNA3 shares with anything like that volume of shares (30,981,000). Maybe something arranged with the Market Maker??

Even saying that, It appears to be a very very very minor purchase for them. I find it very curious.

Inevitably for a company like Elliot they have interests in Aviation too but nothing of particular note/interest that I can see.

Maybe they just wanted somewhere to park bit of loose Sterling change for a while and get some income.

For an activist investor I can't come up with any reason why they want to hold DNA3 other than an outlandish idea that they want to acquire all DNA3 aircraft, which would be the best available in the world and with a contractual obligation for Emirates to do a full refurb (meaning no major engine overhaul for 3-5 years for the new operator). A fleet of 4 A380's is just about feasible for a new operator. Ok, maybe more fantasy than outlandish...

Does anyone know what the implications may be for a fund like DNA3 should an activist shareholder want to take control. Is there anything significant by not breaching a 15% threshold?

Curious

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Re: Doric Nimrod Air Three (DNA3)

#532293

Postby Laughton » September 25th, 2022, 5:37 pm

I could be wrong but looks to me as though they bought shares held by Tesco Pension Fund. Tesco Pension Investors previously notified that they held almost that many shares and they also notified that their holding is now zero - and the dates appear to match.

I don't think that DNA3 is really a "fund".

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Re: Doric Nimrod Air Three (DNA3)

#532319

Postby Carcosa » September 26th, 2022, 5:45 am

I think I must have read that Tesco RNS of 22 September 2022 incorrectly because it showed they increased their holding from 12.87% to 13.82% (see RNS section 11. Additional Information). But upon re-reading it I think you are right. They disposed all of the shares and the 'Additional Info' was a clarification that an RNS of 20 Jan 2020 was missing (showing the share count had increased). The 13.82% was shown in the Annual Report.

So, as you say, seems a direct swap between Elliot and Tesco. Thanks for that.

Again, You are right. DNA is not a fund but a LLC. I just 'think' of it as a fund.

To many errors on my part. Guess I'm having a bad week!


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