Cardiff Property - what's the plan?
Posted: September 13th, 2021, 5:14 pm
Cardiff Property plc is a minnow which in my view (dyor) an undervalued property portfolio, ungeared, and with cash. (Guess the name is for historical possibly sentimental reasons as the portfolio is entirely in the Thames Valley area.( A revaluation is to be done this month so I assume the updated nav will be announced at next results.
The CEO has about 48% share holding and special dispensation from the London Stock Exchange not to have to bid for the company. The company has a steady share buy-back programme, at last update paying just over circa £19. Current nav is circa £24 per share. Dividends rises steadily.
At a steady rate of buy-back, presumably there will come a time when all available shares have been mopped up and cancelled, leaving the company with one substantial shareholder and a few others (including me, for what little is left.
I am curious as to the strategy and long-term plan. Is the fact if it is that the sp currently is below current nav a good way to maximise the value of the company for a few shareholders without the majority shareholder having to pay a premium to take the company private? Or what?
The CEO has about 48% share holding and special dispensation from the London Stock Exchange not to have to bid for the company. The company has a steady share buy-back programme, at last update paying just over circa £19. Current nav is circa £24 per share. Dividends rises steadily.
At a steady rate of buy-back, presumably there will come a time when all available shares have been mopped up and cancelled, leaving the company with one substantial shareholder and a few others (including me, for what little is left.
I am curious as to the strategy and long-term plan. Is the fact if it is that the sp currently is below current nav a good way to maximise the value of the company for a few shareholders without the majority shareholder having to pay a premium to take the company private? Or what?