VTL - Vital Telecommunications (formerly Team Talk)

[couta1]

Sold mine at a loss on Monday and put the $ into PEB. Much better outcome than hanging on for 12% divvie.

Sticking with mine,like the company and think they will come back up, they were also hit with that one of telco levy this year,they intend to keep paying the same dividend rate have good people on board and a niche market and would much rather hold these than CNU,straight up and down to earth company

[BIRMANBOY]

Last seven years has given shareholders 20c per share div (and 18 and 19 prior 2 years) excluding imput credits. At current share price thats 9.3% ......well worth holding for dividends to my mind. Does the job, gets on with the business...no fuss no bother.

[couta1]

Birmanboy,Are you still holding your CNU shares or have you off loaded all or some of them?

[couta1]

Birmanboy,Are you still holding your CNU shares or have you off loaded all or some of them?

[BIRMANBOY]

This is TeamTalk thread, not CNU. Use the PM facility if you want to talk dirty.

Birmanboy,Are you still holding your CNU shares or have you off loaded all or some of them?

[BIRMANBOY]

REL: 1348 HRS TeamTalk Limited

GENERAL: TTK: Embargo on Shares Issued for Farmside Acquisition Ends

18 December 2013

Embargo on Shares Issued for Farmside Acquisition Ends

As part of the consideration for the December 2012 purchase of 100% of the

issued capital of BayCity Communications Limited TeamTalk Limited issued

4,547,177 ordinary shares.

Pursuant to the Share Sale Agreement the vendors agreed that the shares they

received would be embargoed for a period of 12 months from settlement.

Settlement for the acquisition was 17 December 2012 so accordingly the

embargo on the sale of those shares by the vendors is now at an end

So one would think there might be some weakness in the SP ahead ...surely some of those holders will try and redeem. I see there are 201,000 wanting to be sold at 2.30 (3 holders) with 2.11 being an offer at moment. Good opportunity to buy if you like this company.

[BIRMANBOY]

Yes I have it in my portfolio..one of my better performing divvie producers. Weakness in share price is a bit difficult to pin down. Recently embargo has been lifted on sale of 4.4 million shares released in Farmside purchase and these appear to have started to come on market. (block of 220,000) . TTK is not a highly liquid stock so my guess is that the SP is going to be depressed whilst these shares are hanging around. The good thing is they appear to be holding for 2.30. if "they" decide to dump some of them then SP could tumble. I understand the value ascribed to them in the FArmside purchase was 2.60 odd. Other sellers have been going in and selling at 2.11 to 2.20 odd. Mostly 3,4, 5000 parcels though. My understanding is that David Ware predicted the second half of the year they were going to be "dangerous". Personally I have been accumulating this when SP is in the dips. Its had a very good history on dividends and I don't believe there is any underlying cause for concern so the SP fluctuations are a mystery to me.

Do you follow this stock Birmanboy? I owned it once but sold early last year. Looked back in on it today and see the share price has declined nearly 33% since.

What's the story?

I understand the Farmside acquisition has had some (short term?) downside effect on the SP, and maybe the forecasted (earlier than expected) increase to the OCR is having a bit of a toll. But there are obviously other factors that are in effect. Is the fear that increasing competition will encroach on TTKs revenue streams becoming reality or something? Is the mobile radio revenue stream at risk with changing technologies?

The near 10% divie yield is looking more and more tasty these days, although if the SP continues to free fall then the divie will mean nothing... Need to do my own research but any insight would be much appreciated from all.

Cheers

[couta1]

This is my next worse performing stock at the moment excluding after Dil having purchased at $2.80 but that's still a 7% divvy so not too worried I like these guys and think things will improve during second half of year,don't forget also they were hit hard last year with a half mill telco levy which won't happen this year,probably holding too many of them

[BIRMANBOY]

The big block of 200,000 for sale at 2.30 seems to have gone away...I've been buying in the dips.

[Joshuatree]

David Ware said they would be "dangerous" but unfort the next div after this 10c will be halved to 5c to fund growth. Profit is up 27% rev 77%.