limited ticket size creates arbitrage opportunity

Earlier this week, ASX listed Mitula Group (ASX:MUA) announced that the board had received (and was unanimously recommending) a takeover offer from TSE listed group, LIFULL Co (TSE:2120). Mitula is a logical acquisition for LIFULL given they acquired its main competitor, Trovit, in 2014. Combining the groups will create one of the largest online classifieds … Continue reading limited ticket size creates arbitrage opportunity

a cash proxy with uncertain upside

  Ticker: OTCPK:PCOA Price: $640 Shares outstanding: 256.8k Market capitalisation: $164m Net cash: $185m Enterprise value: ($21m)   Opportunity On the 16th December 2017, Pendrell Corporation de-listed its stock from the NASDAQ and became an over-the-counter (OTC) traded security. This created a forced selling event that caused investors unable to hold OTC traded stocks to … Continue reading a cash proxy with uncertain upside

“heads I win, tails I don’t lose much”

  Code:                           NASDAQCM.SPRT Market cap:               $50m Enterprise value:     $0   Thesis Support.com is a very average business that provides technical support for customers of Comcast, Office Depot etc. that has been losing money for years. The reason I think it’s interesting is because it currently has a market cap of ~$50m and net cash on … Continue reading “heads I win, tails I don’t lose much”

a different frame of reference

AFH Financial Investment Thesis Nov-17 Market Data Ticker:                     AIM.AFHP Market cap:             £94m (post raise) Enterprise value:     £73m (excluding net cash adjusted for regulatory capital)   Event AFH raised £17.5m via an institutional placement to accelerate their growth trajectory. Based on the increasing deal size, combined with managements ambitious growth aspirations, we believe they will … Continue reading a different frame of reference

are we the proverbial frog in a pot?

The boiling frog parable is often used as a metaphor for people's inability to react to threats that arise gradually. The story goes that if a frog is placed suddenly into a pot of boiling water, it will jump out. However, if the frog is put in tepid water which is then slowly brought to … Continue reading are we the proverbial frog in a pot?