value and opportunity

Praktiker

Unfortunately, theb ond already went above my limit of 41%. So I was only able to purchase a 1.4% position for the protfolio under my usual restrictions (max 25% of daily volume). I will not increase the limit for the time being.

One additional remark: I got access to the document showing all bond holders which took part in the first round of the vote. I saw no “suspicious” hedge fund participation. It will be interesting to see if they now go into a second round. According to this note of the notary, only 19% of the bondholders participated in the first round

Buzzi

After the encouraging results of Dyckerhoff, Buzzi reported total 2011 results .

The home market Italy decreased significantly, Dyckerhoff reported a total profit of ~60 mn EUR for 2011, Buzzi in total only 26 mn EUR. So net income for Buzzi ex Dyckerhoff was negative.

However, net debt has been reduced almost by the same amount as for Dyckerhoff. For 2012 they were very cautious:

Based on the above considerations, which show emerging economies well set to achieve a further progress in profitability, a stable situation in Central Europe, some opportunities for an earlier recovery in the United States and on-going difficulties in Italy, we can state that at consolidated level the next financial year should close with operating results similar to those of 2011.

It seems that the market had expected a better outlook, from my side however this is a 3-5 year “reversion to the mean” bet and we are only in year 2 now.

AIRE KgAA

For some reason, AIRE jumped significantly in the last few days.

However, I didn’t find any news and volume was relatively small. As I don’t have that many alternative “special situations”, I will keep the shares despite the price slowly approaching fair value.