Sourcing ideas: Quick Scan Evermore Global portfolio
In the weekly links, I had linked to the Evermore portfolio. On reader commented that the fund performed badly, so why bother ?
Well, I do not know if they perform better in the future, but their philosophy which the lined out in the report looks quite OK and if they follow that then in the long run they should do OK. It is also rare that you have a “mutual fund wrapper” for a special situation fund. There are many funds where you can see the “usual” value stuff. As sourcing special situation ideas is not as easy (there is no real “screener”), having such funds and looking for ideas is quite helpful.
So as I use the blog also as my personal notepad, I wanted to quickly put down some points about their positions in order not to forget them:
Far out of the money convertible, maturity April 2015. Currently trades at around ~50%. Situation similar to IVG. Could be interesting.
Italia based operator of broadcasting “infrastructure”. At a first glance not as cheap as SIAS but more shareholder oriented.
Many years ago I had saved Constantin as “uninvestible”, however I do not remember why. Time to look at them again ?
No interest here. I guess many people underestimate how catastrophic the combination of low interest rates and potentially higher inflation is for insurance companies (yes I know, Baupost owns them both, but why does Buffet not write Life Insurance policies ?)
Also a Baupost stock. I still believe Bougyues is the better company.
I personally view Bolore more like a financial “juggler”. There is much cheaper stuff in France in the small cap sector
Spin-off / split off from Tyco. US company, not my cup of tea
This seems to be some sort of Asset play. Unprofitable US small cap (market cap ~140 mn USD), however half of market cap in cash.
Smart move, although I looked at them during my Autostrada/SIAS analysis, I didn’t figure out the stake in the Brazilian company. I don’t know when they bought but this was a very good one. The Sicilian guy Salini made a tender for 4 EUR per share and Autostrada seems to accept it at 4 EUR per share.
The HoldCo of the Agnielli family for FIAT. I saw them in some other portfolios (Longleaf, Southeastern) but never had the time to look at them.
Sevan Drilling Norway
Stock price looks distressed (P/B ~0.3). However I have no knowledge about deep sea drilling. MAybe a good stock to start ?
Nothing for my portfolio.
Ackermans & Van Haaren
Diversified Belgium company. Looks more like a potentially “boring compounder” than special situation but interesting.
Hongkong based group, bid from a Malaysian company. First Eagle and Third Avenue are shareholders as well
Seismic data licensing company. Never heard before. business model itself quite interesting
(in)famous UK conglomerate, now seems to be reinvent itself as an African-Agricultural company. Anyone remembers Tiny Rowland ?
I think their portfolio is quite interesting, despite the yet lackluster performance. I will keep them on my list for possibly “Stealing” some ideas. Currently, I think Ei Towers, Sevan, Pulse and Ackermans look the most interesting to me.