South Canterbury Finance Limited

[Dr_Who]

As a PGC shareholder I think you have it right. It looks like Greenslade and new team have new controls now in place,which i take as a positive sign
The new people brought in and who now are in control are of a higher calibra than their predecessors.A lot of chickens have come home to rost in all finance companies.Those like Marac now have strong balance sheets,better management,tighter controls,so their future looks positive.

What controls are in place with regards to related party lending and promoters selling their asset into the company at inflated premiums?

[Alan3285]

What controls are in place with regards to related party lending and promoters selling their asset into the company at inflated premiums?

Hi Dr_Who,

Isn't that a question you should be addressing to Marac?

If you do, I'm sure there are at least some here who would be interested in their reply.

Thanks,

Alan.

[percy]

What controls are in place with regards to related party lending and promoters selling their asset into the company at inflated premiums?

Sorry I cannot answer that ,as I donot know.Should you mean the thames water Epic fund,I do not like it but think you have to look at george kerr"s excellent record of creating wealth.Better to have it in the tent rather than outside the tent ....... in!

[winner69]

..... and it seems that even some of the stuff used in that prospectus is to be restated .... not a good look at all

Amended prospectus filed - 27 changes made

And Alan you will be pleased ... the Chief Credit Officer has gone as well (not previously disclosed) so no more shonky loans eh


And apparently all those SIFHL pref shares have been redeemed and SCF has made an advance for the same amount to SIFHL ... work that one out but better to have loans than shareholdings in such companies i am told

So all on track now ... let the money conti ue to roll in ... announce the new capital structure and all will be honky dory

[Alan3285]

Hi Winner69,

Amended prospectus filed - 27 changes made

And Alan you will be pleased ... the Chief Credit Officer has gone as well (not previously disclosed) so no more shonky loans eh

Well, not entirely, as I still can't buy them for nothing despite what the sages in here have said... just a matter of time of course ....

And apparently all those SIFHL pref shares have been redeemed and SCF has made an advance for the same amount to SIFHL ... work that one out but better to have loans than shareholdings in such companies i am told

I guess you're right on that point, but it doesn't really change much at this point (no net cash changed hands I think?)

So all on track now ... let the money conti ue to roll in ... announce the new capital structure and all will be honky dory

I'd like to pick up some SCFHA at less than 30c again before it all comes right if possible.


Alan.

[GTM 3442]

Hi Winner69,

I'd like to pick up some SCFHA at less than 30c again before it all comes right if possible.

Alan.

You may be out of luck there Alan. A lot of the SCFHA's changed hands in the range 24c to 60c in the past few months.

I'd bet that there aren't a lot of those buyers who'd be looking to sell at a loss or reduced gain now - see the 33c bid & 50c offer range.

I'd suspect that any further sales at <40c will be forced by the seller's circumstances, and so will be correspondingly small, few, and far between.

[Alan3285]

Hi GTM,

You may be out of luck there Alan. A lot of the SCFHA's changed hands in the range 24c to 60c in the past few months.

I'd bet that there aren't a lot of those buyers who'd be looking to sell at a loss or reduced gain now - see the 33c bid & 50c offer range.

I'd suspect that any further sales at <40c will be forced by the seller's circumstances, and so will be correspondingly small, few, and far between.

Yeah - I'd have to reluctantly agree.

I picked up mine at a 24% return (or something like that) around Sep 2009 - more luck than judgement in getting the very top of the yield curve to be honest - they just looked like a great return compared to other risk / return options (like 3% in the bank!)


Maybe I should start trying to talk them down!

Alan.

[Balance]

http://www.stuff.co.nz/business/3319...f-1-1b-in-2010

Clock is ticking.

[winner69]

http://www.stuff.co.nz/business/3319...f-1-1b-in-2010

Clock is ticking.

Balance - they have $79m in the bank .... ha ha

[Enumerate]

Balance - they have $79m in the bank .... ha ha

Thats going to go a long way in covering $1.1billion in redemptions.

I would point out the SCFHA prefs have a terrible trust deed. Also, the margin you get above the cash rate in no way compensates for the real risk.

Do not buy these things expecting to maintain in income investment. They are perpetual - if push comes to shove, your capital will be propping up SCF, for a very long time, interest free (and, no, not even accruing interest - interest free as in "nada").