KFL - discount to diluted NAV

[winner69]

quote:Originally posted by Rif-Raf

NAV just keeps creeping up $1.73/$1.37 Gap of around 25c below diluted NAV
Well done Carmel - you're delivering

more like 11% isn't it

[Ttops]

NAV 1.7515 /Diluted NAV 1.3861 A 12.7% discount reduced from 15.02% a month ago. KFL has bought a 6% stake in DGL. What do you think of DGL?

[Ttops]

KFL
05/07/2006
DIVIDEND

REL: 1003 HRS Kingfish Limited

DIVIDEND: KFL: Special Dividend Announced

NEWS RELEASE 5 JULY
2006

KINGFISH TO PAY SHAREHOLDERS SPECIAL DIVIDEND

Listed investment company Kingfish is to pay shareholders a special dividend
after a year of outstanding returns. Kingfish grew its net asset value by
24% in the year to 31 March 2006.

Announcing the special dividend at its annual shareholders meeting, Kingfish
chairman Robert Challinor said shareholders holding shares by the record date
of 21 July 2006, would receive a fully imputed dividend payout of 2.5 cents
per share.

"The board has elected and is able to pay this special dividend because
Kingfish has received greater than expected dividend income over the past
couple of months," Mr Challinor said. The most significant portion of this
additional dividend income was from a special dividend declared by Waste
Management as part of its recent amalgamation with Transpacific Industries
Group.

Kingfish director Carmel Fisher said the special dividend was in line with
the Kingfish dividend policy of distributing income after deducting operating
and management costs, including tax and financing costs.

Ms Fisher told shareholders at the annual meeting the March 2006 year had
been a year of impressive performance with the Kingfish portfolio yielding
strong results despite a challenging economic climate. Net asset value rose
24% to $1.58 per share in the year to 31 March 2006, compared with the share
market benchmark increase of 14%. Since balance date, the Kingfish net asset
value has increased to $1.7825 as at 30 June 2006.

"Our performance has exceeded a buoyant share market, reflecting the growth
prospects of the companies in our portfolio," Ms Fisher said. During the
year, Ryman Healthcare and Mainfreight had been star performers with the
share prices of each lifting more than 70%.

[Ttops]

quote:Originally posted by sniper

quote:Originally posted by Paper Tiger

quote:Originally posted by sniper

Accidents waiting to happen - that's how I would describe some of KFL's investments and investment strategy. TUA, RBD, WHS, BGR, KID, POD etc make for a parade of uglies invested in by KFL. What else lurks in the portfolio? That's why the share will always trade at a discount.

KFL was at the end of February invested in CTL, CVT, FRE, MFT, MHI, NZX, PPL, RYM, SOE, WAM according to the Fisher Funds Newsletter.

So now is your chance to prove that you are more than a backward looking whinger and tell us which of these are the accidents waiting to happen and why.

Could be NZX, could be CTL, could be SOE, could be FRE. History says that there's a strong likelihood that one or more will blow up in the next 12 months.

Would you invest in a company when it has that kind of track record? [^]

Did you mean blow UP, as in increase?[^]
Treetops

[shasta]

Treetops, the DGL purchase intrigues me as a KFL holder.

If they meet/beat there forecasts & the Oyster Bay type fiasco's are out the way, this could surprise in a year or two.

Personally, i question the DGL & RAK purchases & am waiting to see what they do with the WAM money.

The special dividend & share buyback has breathed some life into KFL recently, as its now at its 12 month high, where to from here though?

Disc: Happy holder

[Ttops]

quote:Originally posted by shasta

Treetops, the DGL purchase intrigues me as a KFL holder.

If they meet/beat there forecasts & the Oyster Bay type fiasco's are out the way, this could surprise in a year or two.

Personally, i question the DGL & RAK purchases & am waiting to see what they do with the WAM money.

The special dividend & share buyback has breathed some life into KFL recently, as its now at its 12 month high, where to from here though?

Disc: Happy holder

Me too. How much they have invested in Rak and DGL I'm not sure but it will be small in KFL. Fisher funds probably has most. So far so good anyway.

You are right Shasta. A large component of the WAM money is still not revealed. The five largest portfolio holdings at 28 June 2006 ([u]just before the WAM payout</u>) are approximately as
follows:

Ryman Healthcare -17.7%
Mainfreight - 13.7%
Waste Management - 13.5%
Pumpkin Patch - 11.0%
Freightways - 9.6%
So it was 13.5% of the portfolio and a 2.5% spec. div. isn't much.
Some will go into the buyback. I guess its time for Carmel to show how good or bad [}] she really is. It's getting to that point where really good investments are few and far between. I liked RAK and DGL as exporters and our dollar still has further to fall. Rak in particular could be a real winner. Personally I couldn't take the risk with them as individual shares, but as a small part of a managed portfolio I'm more at ease. For the larger investor with more time and expertise I'm sure buying the individual shares is better. For me I'm very satisfied with the proportion of each share in the portfolio. Which is best out of RYM FRE and MFT. MFT and FRE today!

I would like to thank [u]D_Pick </u>for his original posting on 4/12/05 It alerted me to cash in. What the discount is now we will find out tomorrow.

Treetops

[D_Pick]

A pleasure Treetops

KFL have had a good run. However they do have an underlying portfolio of quality stocks with good future potential and high return on equity. Which obviously has been attractive to other investors

How they reinvest WAM monies will be interesting.

[Lawso]

On another thread Treetops has been advising me to put some of my ex-WAM cash into KFL. Why would I?

I have a lot of respect for chairman Rob Challinor and Carmel Fisher no doubt knows her job. Their policy appears to have been to invest in small to mid-cap stocks, putting growth potential ahead of dividend income. But since listing in March 2004 at $1 the company's performance has been less than spectacular. The current s p of 125 represents pretty ordinary growth over 28 months. Especially when the div yield is so modest - less than 3% until the 2.5c spec div announced yesterday boosted the potential yield to 4.88%. I'd be cheesed off if my own portfolio didn't do much better than that.

One wonders how much get swallowed up in "operating and management costs, including tax and financing costs", to quote from yesterday's announcement. I prefer the fun of making my own decisions while avoiding those pesky "operating and management costs".

[Ttops]

quote:Originally posted by Lawso

On another thread Treetops has been advising me to put some of my ex-WAM cash into KFL. Why would I?

I have a lot of respect for chairman Rob Challinor and Carmel Fisher no doubt knows her job. Their policy appears to have been to invest in small to mid-cap stocks, putting growth potential ahead of dividend income. But since listing in March 2004 at $1 the company's performance has been less than spectacular. The current s p of 125 represents pretty ordinary growth over 28 months. Especially when the div yield is so modest - less than 3% until the 2.5c spec div announced yesterday boosted the potential yield to 4.88%. I'd be cheesed off if my own portfolio didn't do much better than that.

One wonders how much get swallowed up in "operating and management costs, including tax and financing costs", to quote from yesterday's announcement. I prefer the fun of making my own decisions while avoiding those pesky "operating and management costs".

Lawso
Are you not forgetting the free Warrants worth 34c and I think the shares sold at IPO for 97c.
http://www.kingfishlimited.co.nz/200...esentation.ppt

Anyway good things come to those with patience. I also advise GPG for diversity. I bought in at 93c early Dec05 and 102 Feb 06 and and don't have any warrants which are doing even better. If I had bought those at 14cents I would be really happy now but I still wonder about warrants. The time restrints give me the geebies and thats why I don't bet on the TAB. I'm a cautious person at heart you see and grabbed at KFL then because it had shares most of the sharetrader bloggers recommended and was at discount and had a buyback going all which I had experienced as positive. If anyone is to be praised for my "luck" it is the people like you with more experience than me that discuss things. D_Pick,PT, Macdunk, Phaedrus even Sniper! I'm on a learning curve but I know for sure I would rather be in KFL and GPG than trying to pick an individual share or three right now. It's clearly not for you and I respect that. One other reason I liked KFL was it was getting a tax break on its long term holdings CG's but I may be wrong there. The other was the prospect of a falling dollar which came much sooner than I expected but still has more room to run and it has a good export component. The management fees are linked to success and being a fair man if Carmel can make me happy I don't mind her enjoying some as well. Go Carmel! I would sooner be in KFL or GPG than a totally unregulated finance company. Don't take that literally. But it is still the wild west for them. You get my gist. The govt. needs to get its act together fast and something is coming out in Sept. Too late for many though as laws take yonks to enact. Al the best with your choices and do have fun. I agree with that.
Treetops

[Ttops]

NTA: KFL: Kingfish NAV $1.8147 at 5 July 2006 02:31pm
KFL
06/07/2006
NTA

REL: 1431 HRS Kingfish Limited

NTA: KFL: Kingfish NAV $1.8147 at 5 July 2006

The unaudited net asset value per ordinary share of the Company as at 5 July
2006 was $1.8147
[u]The unaudited diluted net asset value per ordinary share as at 5 July 2006
was $1.4186.</u> This diluted net asset value describes the effect if all
warrants in existence were exercised today at $1.00. At 30 June 2006,
54,911,007 warrants remain to be exercised on 31 March 07 and/or 31 March
2008.

The net asset values per share are after the deduction of treasury stock and
warrants acquired and subsequently cancelled under the Kingfish buyback
announced on 26 October 2005.

The net asset values are after including accruals for any performance fee
payable to the Manager.

The unaudited net asset value per ordinary share excluding performance fees
as at 5 July 2006 was $1.8261 (fully diluted $1.4245).

The five largest portfolio holdings at 5 July 2006 are approximately as
follows:

Ryman Healthcare - 17.7%
Mainfreight - 14.8%
Pumpkin Patch - 10.0%
Metlifecare -10.4%
Freightways - 9.8%

End
End CA:00133756 For:KFL Type:NTA Time:2006-07-06:14:31:03


It appears to be at 1.30 at low volume but a bid of 1.32 and offer 1.35 High depth buy of 225k and 4k sell KFLWA at 35c Someone likes this share as well Lawso I would advise you have missed the boat on this one. Wait for bad news.
At 132 they are at a 7% discount to unaudited diluted net asset value to ordinary share Perhaps we need to start a new thread. KFL Warrants or head shares? [?] Perhaps someone with knowledge on this and could help me out. [8)] [:I]

Treetops
At 136 a 4% disc to dil NAV unless the NAV has already risen. Quite possible! The KFL Warrants are at 36c Some sellers coming in at 135

Looks like a good rise for the day. Note [u]CTL merger </u>http://www.nzherald.co.nz/section/st...ectID=10389957
Good or bad. Does look like a lot of selling pressure. I'm sure Sniper or some FA will let me know if it's

T