tag:blogger.com,1999:blog-2080506270244832638.post4363974101203529442..comments2024-03-28T07:17:13.573-05:00Comments on Clark Street Value: Retail Holdings looking to IPO Singer AsiaMDChttp://www.blogger.com/profile/10679835609782815537noreply@blogger.comBlogger17125tag:blogger.com,1999:blog-2080506270244832638.post-77414869654552126312015-06-10T10:14:41.414-05:002015-06-10T10:14:41.414-05:00Thanks for comment, I did a portfolio purge earlie...Thanks for comment, I did a portfolio purge earlier this year of a few lower conviction ideas that include Retail Holdings, no longer hold it. But I agree with you, seems like the IPO of Singer Asia/Sewko is off the table, institutions had a peak at it and passed, if they can't get a deal done in this environment it's time for a new strategy.MDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-54569768962602450032015-06-09T10:06:26.758-05:002015-06-09T10:06:26.758-05:00Good to see the Thai business sold as this was the...Good to see the Thai business sold as this was the most retail competitive market where they operate but feel the 14 Bhat per share was low. They need to monetize the business by selling the individual companies locally or floating them. No one is going to buy the whole business, there is no synergy. Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-59282527185625705632014-04-19T07:58:54.781-05:002014-04-19T07:58:54.781-05:00I agree. Some of us have been waiting for some ti...I agree. Some of us have been waiting for some time for management to extract value and it seems every year there is another reason why it can not be done. Granted the markets where they operate are the most emerging from the category of emerging markets. I doubt one entity is going to buy all the separate operations. I am more incline to believe that issuing shares in each company to shareholders might be the most sensible option. Monetizing the Singer notes at a 15-20% discount will also work. The underlying businesses all have very good growth potential on their own. Would like to see the company getting it done by 2015.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-90965770548908928882014-04-07T21:35:48.172-05:002014-04-07T21:35:48.172-05:00Hi - Yes, it does look like it was a tough year, q...Hi - Yes, it does look like it was a tough year, quite a bit of turmoil in the markets where they operate (especially in Bangladesh, I didn't know about the strikes). I also have some questions swirling around in my head regarding their finance arm and how smart that really is in these markets, but no fully completed thoughts.<br /><br />I'm still holding my position, but I'm also a little bit skeptical that management can sell Sewko for the full value of the underlying operating companies this year, let alone the control premium they seem to be seeking. But I still like the strategy, underlying assets, and management alignment, just not quite as optimistic as I original was when I entered my position.MDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-40906849129435936662014-04-07T13:05:37.029-05:002014-04-07T13:05:37.029-05:00Thoughts or comments regarding Singer's 2013 F...Thoughts or comments regarding Singer's 2013 Financials will be appreciated. Looks like they had a tough year in Sri Lanka and it could hurt valuation. Not sure why they kept investing in new stores at a time when the economies of the countries where they operate where experiencing very negative growth rates.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-35106741516693994342014-01-20T11:12:16.881-06:002014-01-20T11:12:16.881-06:00I agree with your overall sentiment and believe th...I agree with your overall sentiment and believe this is an undervalued company with a hard (but unfortunately) moving target of IPOing Sewko Holdings. As for Singer Finance, I believe that is a subsidiary of Singer PLC (Sri Lanka) so it's valuation should be included already. Below is the link to my most recent comments on Retail Holdings and it includes a picture of the corporate structure from the Sewko Prospectus.<br /><br />http://clarkstreetvalue.blogspot.com/2013/10/reho-pulls-sewko-holdings-ipo.html<br /><br />Thank you for reading and commenting.MDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-53779501562031278532014-01-16T14:04:21.576-06:002014-01-16T14:04:21.576-06:00I have been following this stock for a while and f...I have been following this stock for a while and feel it is very undervalued. Presently there is a headwind due to weakness in local currency vs the US $. However, this is an emerging market consumer durable play in a geographic area that has very few high quality stock. Singer is a familiar brand with +90% unaided awareness and is a trusted brand with over 100 years of operating locally. In addition the growing middle class where the company operates in surging. The concentrated ownership of the stock in few hands and the confirmed objective of monetizing Singer and returning funds to the shareholders in the short term points to a favorable outcome for shareholders. In terms of valuation, this company is growing its bottom line in double digits for the last few quarters. In addition I do not see Singer Finance in your list above which is a freely traded subsidiary. Note: this company has been operating in this part of the world for +100 years and they own a fair amount of RE. Not sure if the books reflect current market value.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-89045639125009835202013-07-27T07:56:16.795-05:002013-07-27T07:56:16.795-05:00Wondering if anyone can estimate what the price of...Wondering if anyone can estimate what the price of RHDGF will be if Singer Asia does raise $200 million?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-54592148588355030742013-07-09T13:30:45.998-05:002013-07-09T13:30:45.998-05:00Bloomberg is reporting a $200 million deal to take...Bloomberg is reporting a $200 million deal to take place as early as September:<br /><br />http://www.bloomberg.com/news/2013-07-08/singer-owner-said-to-seek-up-to-200-million-in-singapore-ipo.htmlMDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-36401895865044371622013-06-28T09:43:40.825-05:002013-06-28T09:43:40.825-05:00I'm a loose believer in the efficient market, ...I'm a loose believer in the efficient market, so I would think some of that future growth is priced into the shares of the operating companies. But as a shareholder, I hope you're right. Thanks for reading and commenting.MDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-36461092779987250132013-06-28T09:12:24.937-05:002013-06-28T09:12:24.937-05:00I am a long term holder of the stock. Started buy...I am a long term holder of the stock. Started buying many years ago and have had the opportunity to travel to the markets where they operate so I know the company well. Your values do not take into account 2nd half of 2013 or even 1st q of 2014 when the IPO might be an event. I was pointing to the appreciation this stock will have moving forward. The strategy to become not only a retailer of household goods but also a finance company will accelerate growth. Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-55463625216412853102013-06-27T19:52:34.573-05:002013-06-27T19:52:34.573-05:00Clint - I can't find anything either, but I wo...Clint - I can't find anything either, but I would assume (hope?) that this IPO would be structured in the most tax efficient manner.MDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-35981564953364397702013-06-27T19:51:00.030-05:002013-06-27T19:51:00.030-05:00Could you explain why there would be a premium?
...Could you explain why there would be a premium? <br /><br />I'm on board with emerging markets generally being out of favor right now and I like the long term trend of investing in consumer staples companies in emerging markets. So they very well may rise in value, but I think that's secondary. And truthfully, I haven't spent much time analyzing the underlying operating companies, given the "medium-term" goal of liquidating, I'm willing to accept the market values as a close enough approximation of their intrinsic value.MDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-4336404494919228052013-06-27T08:34:48.721-05:002013-06-27T08:34:48.721-05:00Interesting play. I noticed you do not put a premi...Interesting play. I noticed you do not put a premium on the value of the operating companies. If we were to assume a 30-35% premium on 2013-2014 performance the value realized by shareholders in a future IPO would be much greater than what you show above. Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-52713552048643050222013-06-25T12:07:14.604-05:002013-06-25T12:07:14.604-05:00I've looked into it a bit, and haven't fou...I've looked into it a bit, and haven't found an answer. <br /><br />-clint<br />disc: longAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-23995742746951898892013-06-21T20:54:49.695-05:002013-06-21T20:54:49.695-05:00I would think the Cayman Islands? But good questi...I would think the Cayman Islands? But good question, I'll look into it a little more.MDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-59608654451807226432013-06-21T10:06:57.736-05:002013-06-21T10:06:57.736-05:00Good update. What are your thoughts on taxes due ...Good update. What are your thoughts on taxes due when IPO'd? Do you think Singer Asia would be the entity that is taxed, which is located in the Cayman Islands? Or do you think the individual subsidiaries would be taxed in their respective countries and at that tax? <br /><br />-Clint<br />disc: longAnonymousnoreply@blogger.com