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UAP ISSUE
msimon
#21 Posted : Wednesday, November 21, 2012 3:26:31 PM
Rank: New-farer

Joined: 8/23/2010
Posts: 63
Location: Kampala
mwekez@ji wrote:
@msimon #?

mwekez unfortunately i cant give an independent opinion.
But i heard someone say the following, dont ask who!

"Concerning UAPHL. I think the offer isnt bad, its just not attractive compared to;
1. Jubilee
2. Considering other investments.
Ideally, the holder of this stock is looking at a holding period inexcess of 5 years for a good annual return. However, in the period between, there are about 4-5 ideas that can make you more money with more liquidity.

What Kausha says concerning the duration of the projects is true, as the breakeven is logically 5yrs.

However, there are opportunities for the "big maybes" subsidiaries being setup in the region.

One of ma key concerns is the ambitious expansion theory-the whole"New markets every 18 months" maybe a receip for disaster.
Overall, the company has good leadership in Domnic and Co. and they should be able to get the job done. Targets are high i.e doubling NAV etc. and they will be achived.
But where is my money going at the moment??? Certainly not in the offer based on valuations!"
mwekez@ji
#22 Posted : Wednesday, November 21, 2012 10:06:12 PM
Rank: Chief

Joined: 5/31/2011
Posts: 5,121
@msimon, #Touché! #Asante xana
mwekez@ji
#23 Posted : Wednesday, November 21, 2012 10:17:29 PM
Rank: Chief

Joined: 5/31/2011
Posts: 5,121
guru267 wrote:
Kausha wrote:
Have you considered the lenders opting not to convert if their valuation expectations prove onerous.


@kausha if the lenders do not convert those bonds it will be good news in the long run for shareholders since it will reduce dilution of their shares!!

If i were a UAP shareholder i would actually be praying that they dont convert because even if we will have to pay interest on a loan it beats paying lifetime dividends to new shareholders Sad


@kausha @guru , the lenders are converting NOW at a price of KES 57.68 per Share. They have already issued conversion notice in respect of their loans. Read clause 15, page 141.
mwekez@ji
#24 Posted : Wednesday, November 21, 2012 10:39:01 PM
Rank: Chief

Joined: 5/31/2011
Posts: 5,121
Genghis Capital, the Joint Lead Placing Agent of this offer and the subsequent Joint Administrator of OTC platform in respect to UAP shares, has fairly valued UAP at KES 67.55. Thats a mere 12.6% upside from the current offer price of KES 60. And our memory is still clear on what happened to TCL yet the same Genghis Capital had valued TCL at KES 62.35 The Genghis Capital Valuation of TCL Link

That said, i echo @msimon sentiments #post 21
Ericsson
#25 Posted : Thursday, November 22, 2012 8:46:34 AM
Rank: Elder

Joined: 12/4/2009
Posts: 10,809
Location: NAIROBI
The counter is overvalued.At 60 it hss a higher market capitalisation than Jubilee,Kenya Re and Britam.
Kenya Re and Jubilee made double the profits of UAP in FY 2011
Wealth is built through a relatively simple equation
Wealth=Income + Investments - Lifestyle
VituVingiSana
#26 Posted : Thursday, November 22, 2012 10:19:35 PM
Rank: Chief

Joined: 1/3/2007
Posts: 18,350
Location: Nairobi
Ericsson wrote:
The counter is overvalued.At 60 it hss a higher market capitalisation than Jubilee,Kenya Re and Britam.
Kenya Re and Jubilee made double the profits of UAP in FY 2011
I have not looked at it in detail but... if the numbers are true then wow!
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
BGL
#27 Posted : Wednesday, December 05, 2012 1:43:01 AM
Rank: Veteran

Joined: 10/11/2009
Posts: 1,223
Seems Wazua is silent on this UAP public offer but BGL is in!
History will not remember you for your IQ. It will remember you for what you did. “Genius is 1 percent inspiration, 99 percent perspiration.” Thomas Edison
jerry
#28 Posted : Wednesday, December 05, 2012 10:39:57 AM
Rank: Elder

Joined: 9/29/2006
Posts: 2,570
BGL wrote:
Seems Wazua is silent on this UAP public offer but BGL is in!

I'm also !n.
The opposite of courage is not cowardice, it's conformity.
Layman
#29 Posted : Wednesday, December 05, 2012 2:37:11 PM
Rank: Member

Joined: 9/21/2006
Posts: 422
Location: Nairobi
I think UAP was just too pricy, Kshs 60 per share was too high. I kept off.
BGL
#30 Posted : Wednesday, December 05, 2012 3:04:27 PM
Rank: Veteran

Joined: 10/11/2009
Posts: 1,223
Layman wrote:
I think UAP was just too pricy, Kshs 60 per share was too high. I kept off.


They just wanted 1000 shareholders which informed a minimum of 120K. I think it will be over subscribed.
History will not remember you for your IQ. It will remember you for what you did. “Genius is 1 percent inspiration, 99 percent perspiration.” Thomas Edison
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