PGC - Licenced to Bank

[geezy]

after following PGC for a couple of years, the volume generated these days is indeed interesting, i think we could be bracing for a much more aggressive PGC in the future.

[Grantas]

Perpetual Asset Management (a wholly owned subsidiary of PGC) has investments in Real Estate Credit (the ex Marac Property loans), EPIC (Thames Water and Moto Hospitality) and the Torchlight Fund. Torchlight Fund has been in the news with its loans to SCF of $75 million and $22 million and other investments in distressed property companies. My question is, where does Torchlight get the bulk of its funding from? and as a PGC shareholder do we get to see its accounts?

[percy]

Perpetual Asset Management (a wholly owned subsidiary of PGC) has investments in Real Estate Credit (the ex Marac Property loans), EPIC (Thames Water and Moto Hospitality) and the Torchlight Fund. Torchlight Fund has been in the news with its loans to SCF of $75 million and $22 million and other investments in distressed property companies. My question is, where does Torchlight get the bulk of its funding from? and as a PGC shareholder do we get to see its accounts?

Funds come from high net worth investors,who are impressed by Kerr,and who expect higher returns for greater risk.do not think we will see the accounts.Most probably just how well and how much Perpetual made.

[Balance]

Funds come from high net worth investors,who are impressed by Kerr,and who expect higher returns for greater risk.do not think we will see the accounts.Most probably just how well and how much Perpetual made.

Torchlight is in a way just another fund under Perpetual's asset management division. It is opportunistic and it is impressive that PGC has raised that kind of money so quickly.

Plenty of fees there for PGC.

Good for future earnings.

[COLIN]

Funds come from high net worth investors,who are impressed by Kerr,and who expect higher returns for greater risk.do not think we will see the accounts.Most probably just how well and how much Perpetual made.

And don't forget that Kerr was a Macquarie man, for quite a while - they specialise in millionaires, and he will have tons of connections.

[metal mickey]

'torchlight is not seeking retail investors at this point'. according to Mick Carolan, director of torchlight, when i enquired about it.
Also there is no mention of torchlight on perpetuals website, nor the real estate credit, only the EPIC is shown there so cant access the accounts for torchlight.
So i think you guys are right and the bulk of the funding is from wealthy buggers, and its managed by pertepual asset management.
However, the report to dec 31 p4 states that one of the reasons for the capital raising was to 'grow the perpetual asset management business by investing in EPIC and torchlight fund"
if so, HOW MUCH AND WHERE IS IT IN THE ACCOUNTS??
not sure if its perpetual asset management would have the investment as they manage it and would be a conflict, would it be the parent company? either way i cant find it in the accounts anywhere, but then im no legend at reading em. anyone else having any luck?

[percy]

MM ring the company and ask the company secretary.From my memory PGC brought Epic from g kerr for 18mil.epic or epam managed thames water and moto investments as well as owing 10%or there abouts.Epic was raising more money at the time to buy moto so PGC had to have more money to take up entitlement.AT the same time they advanced torchlight short term funding until torchlight investors came up with the funds.torchlight.real estate credit,epic are all funds managed by perpetual group.on page 15 you will see trustee services and portfolio management,which i would think is where you need to look.Kerr's history is of successful fund management.Would expect even more funds.there was talk the PGW shareholing would go into a separate rural fund.Kerr and the guys he has employed have a lot of skin in the game and a lot to prove.would seem to me they have the money,have the right people,the right contacts,the right objectives so we should not expect too long awaite for results.

[metal mickey]

good idea percy. my accounting skills are simply too basic to work out those rather complex accounts.
i picked up some PGC yesterday based on the recent recap director buying and 'skin in the game' kerr and co have and the impression i got from varoius news articles that PGC may be able to cherrypick the choice assets (if any) from SCF via torchlight. how this works im not 100% but certainly sounds promising, and i am watching with interest to see what happens. pity they didnt want my direct investment in torchlight, but i guess if it does well you would assume PGC will do well too.

[percy]

good idea percy. my accounting skills are simply too basic to work out those rather complex accounts.
i picked up some PGC yesterday based on the recent recap director buying and 'skin in the game' kerr and co have and the impression i got from varoius news articles that PGC may be able to cherrypick the choice assets (if any) from SCF via torchlight. how this works im not 100% but certainly sounds promising, and i am watching with interest to see what happens. pity they didnt want my direct investment in torchlight, but i guess if it does well you would assume PGC will do well too.

MM.
Well you now have skin in the game.Should you want to invest in torchlight I think you have done the right thing by letting PGC know.Epic should you want to invest direct I am sure Perpectual or
any sharebroker would be able to help you,.If not ring Barry Johnson at Macquaries in CH_CH.As a joke you could walk into Perpectual and say you have just won powerball and you donot know what to do with $12mil.!!!
Marac will continue to produce good returns. Torchlight lending to SCF should as you pointed out give first right to the choice bits.
I go to www.stocknessmonster.com for my watch list.If you type in NZX PGC then go to news 2009 the 23 september presentation should help you.or you could go back a few pages on this tread.Mouse and others have made good posts.If you have a good go at the accounts one of the managers will help you.I have rung company"s and found all helpful, so long as you have given them a good go..

[Grantas]

http://www.stuff.co.nz/sunday-star-t...-knights-moves

NZ Credit Fund ... Another fund? ..I'm getting confused as to who owns what and more importantly who's liable for what if the proverbial hits the fan.