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Added a touch to this at 17c last week…

It has done very nicely since I bought – returning 7.5c when I paid 13c for the shares to start with, hopefully the returns of cash will continue..

See original post for investment case…


Based on information from the latest fact sheet they say they have 4c in cash, the share price is now $0.18 to buy – so c20% backed by cash.  (Less 0.68c worth of payment for extra assets)

They also say Arbax Arhat Fund is 5.8% of NAV 0 or 4.4c  – they have been offered 20% of the book value with 50% of any recoveries.  This was refused by holders. I think therefore it’s safe to assume this holding is worth 50% of what was in the books – 2.2c.

Next they say GLG Emerging Market’s growth fund will pay out this year, this is worth 1.7c.

Total this up you get about 7.5c backing in cash or ‘hard’ assets -43% of the offer price.

Looking at this another way you are actually paying 10c for about 69c of non-hard assets.

That is if you believe the NAV.  I don’t believe the NAV so I actually think likely maximum recovery is about 50c of non cash assets…

They also say they have bought $3m of assets for $1m – this means the business is more sustainable than I thought – I had viewed this as pretty much a static pool of assets that would be liquidated.  This is actually more like a trading business which buys defunct assets and liquidates.  With lots of hedge fund failiures this is a touch more attractive.