Symphony International ($SIHL) 3- Selling at $86.25 +57%

Sold all my Symphony International on Monday at $0.8625.

Discount has narrowed substantially – it’s now got a NAV of $1.16 so trading on a discount of 25%.  When I first invested in this in January 2014 the discount was 45%.

The NAV / discount has only fallen slightly – even though the share has paid out quite a lot 35c.  Underlying assets have done quite well.

So I bought at 75c a share – got 35c a share in dividends and got out at $0.86 – a 57% return.

This isn’t quite accurate I have traded this quite heavily – buying at lows and selling highs – particularly in early 2017, before buying more in September – so my actual return differs from this.

My hope was that this would realise / appreciate significantly after a liquidation vote.  They had promised to hold such a vote if the share traded below a 35% discount in months to September.  The discount was less than this – so no vote was held.

I do get the impression they are liquidating to a degree.  Lots of investments have been sold, some  Parkway Life REIT, Selling MINT.  Equally they have entered a few so hope that this will wind up shortly is not great.  They have bought back 7.8% of their shares – I am surprised this didn’t have a greater impact on the share price.

Their fees are still a quite high 2.25%.  The management are getting on a bit – Anil Thandani is 71 but it could be years until they are ready to quit.

I may re-enter this if the discount becomes much more attractive but for now I am out.



6 thoughts on “Symphony International ($SIHL) 3- Selling at $86.25 +57%”

  1. Thanks again for your blog and the follow up you do.

    After those 2 sales (SIHL, SGC) w/o considering Tejoori, you are getting more cash , as you I’m invested in SIHL but won’t sale because at least keeps money invested as there are many solutions currently ( as you hate those fees above 2%). There is still ALF but I’m waiting for the September report to increase possibly my position , even a possible swap btw SIHL & ALF could be convenient regarding the security margin.

    I was trying to get (find) some closed end funds (listing below nAV), would you mind to give me the site you use to screen them.

    Thank you again and congratulations for the work done and shared

    1. Hi Tito – I use sharescope – mostly UK only – and a Bloomberg machine (not mine) to screen…

      Security margin on ALF isnt as high as it appears – NAV is ridiculouusly overstated…

      Why not take a look at Kazmunaigas – it isnt an investment trust but its very cheap – I have done well on similar situations in the past…

  2. Great result on SIHL. Well done. As to where to put cash well I’m also struggling. I’m going to be about 85% cash when the proceeds come through from Rasmala.

    I’ve bought a couple of net-nets recently. NTQ and BLVN. They are O&G exposed stocks but I think they are cheap and they have large cash balances.

    I may be forced to buy normal stocks that pay regular dividends. LAND looks interesting at a 35% discount to NAV and a 4%+ yield

  3. I agree UK property is overpriced but LAND is at a 35% discount to NAV already and has a relatively low gearing of 25%. I suppose it depends on how much prices are likely to drop. If prices drop 10% then the NAV drops 15% which would still put the shares at over a 20% discount to NAV. LAND (like BLND) are exposed to the London office market and shopping centres so there are definitely headwinds here.

    1. Thanks Doug,
      I am not convinced. I live in Sheffield, when I am out and about I see lots of empty property, yet valuations havent fallen… Doesnt make sense to me so I am stearing very clear – till it becomes much cheaper….

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