SUM - Summerset Group

[winner69]

That's the way it is these days where being sneaky and telling half truths is usual acceptable behaviour

If sparks is correct and quadrant sell down this week they knew a few weeks ago .....but denied it ....or as sparks said were flexible

That's the way the world is ...saying no is a yes as I said in earlier post ...the biggest signal they were selling Karen

Haven't old fashioned values and standards dropped

Prob one reason why snoopy doesn't bother go to c-Suite to find out about a company .....those people are usually pretty sneaky as well

[winner69]

good post spearks ..... must have enjoyed your sultana bran and yoghurt for breakfast to be so insightful at this time of the morning

Interesting points .... lets blame the Herald reporter for being lazy and not looking Chris in the eye (but hard to do over the phone) and asking the hard question ..... easy reporter

I must have come across you in the Koru lounge at times sparks ..... maybe not as we probably going in different directions ..... but talking to C-Suite guys is always interesting ... as long as you understand what you hear is the the optimistics view.

Also agree one can learn heaps just from understanding how thinsg work ... even if not invested .... lke my morbid fascination of NPX over the years has taught me heaps more more about resins and other stuff than I already knew .... and that like percy says too many vice presidentos not always an effective structure ha ha

You mention the late 80's .... like now they got their commuppance even thoguh some did not change .... but on one hand 'standards and values' are important in life when it comes to the business world and investing they do a large degree go out the window (money does that eh) ..... so one needs to live with that .... and play the game and follow the sentiment to a large degree

in 10-15 years our conversation might be completely different

[macduffy]

I've taken a few. Now hold a full hand of RYM, MET and SUM, just wish it was more of RYM and less of the others. Must work on that!

[CJ]

Quadrant have just as much right as anyone to obscure their business strategy. They aren't a listed entity, they are an investor in listed entities. There is a difference. If they had announced a sale before it was ready, then they would have depressed the price, and you would have been here railing against the thoughtlessness and stupidity of the big bad private equity company hurting the interests of smaller investors.

Yes they have the right to do what they want.

But do they have the right to inform the market one thing, and do another? Normally, a fund would have the "we do not comment on speculation" approach so to make a statement, and "change" their mind within 10 days seems a bit insincere. If the stock had shot up after the announcement (say 10 or 20%), would you view be different (as it is, it performed just a bit better than the NZX50 and as usual, you would have done better putting you money into RYM).

Note: I am not personally annoyed at their actions. However, it is this sort of action that makes small investors not trust the sharemarket and invest in housing instead.

[tosspot]

I just called my broker (asb sec) and they didnt know anything about the sale. she put me on old for 10 minutes then I had to go but this notice pretty says everythings already sold at the discount so looks like I missed out.

[Balance]

Tell me about it. Gifts like Ngai Tahu selling RYM down at $3.15 were in retrospect reasons to liquidate every stock in the bottom half performance of your portfolio and going hard in RYM.

That's the beauty of the market. Differing views on future macro as well as micro prospects.

When Ngai Tahu sold down, they probably thought the property market had peaked. Did not count on the market continuing to chug along.

[winner69]

Note: I am not personally annoyed at their actions. However, it is this sort of action that makes small investors not trust the sharemarket and invest in housing instead.

CJ - thats what i trying to say earlier .... standards and values mean nothing these days when money is involved .... esp when it comes to the greedy money men (sorry financial professionals) ... they think it smart to be clever like this

But mate - you need to live it ... at least until they get all their comuppance and the market starts to scorn such behaviour ..... maybe 5-10 years

But Chris saying what he did was the clear signal that they were going to sell down ... you need to read between the lines

[CJ]

But Chris saying what he did was the clear signal that they were going to sell down ... you need to read between the lines

"There has been a lot of speculation in the market - as markets are wont to do - but we have no plans to divest at this stage," I call BULLSH!T. Reading "between the lines" this was a bare faced lie and mislead the market. FMA should at least give them a public telling off even though if it went to court, they probably haven't breached any rules and would get through out quickly. Scare the sht out of them by threatening discovery of all their internal correspondence on SUM. As I said, this flagrant disregard is what causes lack of trust in the markets.

I will move on. As I said, I am not invested (monetarily or personally) in this stock.

[Hoop]

I cried out, "Wolf!" Why didn't you come?" An old man tried to comfort the boy as they walked back to the village.
"We'll help you look for the lost sheep in the morning," he said, putting his arm around the youth, "Nobody believes a liar...even when he is telling the truth!"
The Boy Who Cried Wolf..Aesop fables...

My chart below shows SUM in a glorious long term uptrend punctuated by pauses for a "breather"...These pauses are healthy as it stops the share from suffering exhaustion which would result in a sharper sell off/price fall.
The TA indicators I use are biased towards money flow which shows up when sellers/buyers are active (distribution/accumulation)....however for SUM these default indicators may not be ideal as they seem to be crying wolf every time SUM takes a breather.

So..Here we are again..
TA indicator sell signals went of a few months showing divergence ...do we ignore them again??

I think so.. and wait for chart breaks to confirm if it is another cry wolf or not...the breaking of the trend line is not so important but if there is a support break at 2.48 as well then followed by the EMA50 break there would be technical damage occurring and exiting the share should be considered unless you are a long -term holder in which case your eyes would be on the EMA200 line

Disc: Hold SUM

[CJ]

Forsyth Barr have an allocation. Have made my request, will see what I get.....

If Summerset was worth $2.58 on Friday, and there has been no change in its business model or earnings, no dilution of shares, then it should be worth $2.58 again in no time at all.

Have they given you a price or is it a book build. The last few have mentioned the price (and discount) upfront.

Given the success of recent placements, are they trying to minimise the discount?