Bought more Ferronordic Machines shares today for 143.5-147 SEK. Position is now <8% of my portfolio. The purchase was reaction to Ferro's acquisition of "certain parts" of Volvo's and Renault's truck dealerships in Germany. With the deal, Ferro moves to West-European markets from its home-base on the Eastern front, Russia and Kazakshatan. Transaction is part … Continue reading Ferronordic Machines: All loud on the Western front
Ferronordic prefs update: IPO conversion special situation
In its Q1'17 report Ferronordic Machines, a Swedish Volvo construction equipment dealer operating in Russia, announced that it's taking first steps to (long waited) IPO for their common stock on back of excellent performance in recovering construction equipment market (volumes up 90%). This is good news for preference shares as they are convertible to common stock if and … Continue reading Ferronordic prefs update: IPO conversion special situation
Portfolio and blog situation update Q1/2017
It's three months since I last posted so I thought I will make small update on how I and my portfolio is doing, and to tell that the lights in this blog are still on, although apparantely less often. My posting frequency has come down radically for two reasons; first, I haven't had good new investment … Continue reading Portfolio and blog situation update Q1/2017
Ferronordic Machines Q3: Russia turning?
Ferronordic Machines is a Volvo construction equipment dealer in Russia and part of my emerging (demerging?) market portfolio. It reported its Q3 results yesterday. The report was the first time the management said anything positive about Ferronordic's market or prospects. The news was that utilization of the construction equipment fleet among Ferronordic's customers is rising, which … Continue reading Ferronordic Machines Q3: Russia turning?
Ferronordic Machines: Russia, P/E 5 and 30% growth
Background Ferronordic Machines is the official Volvo Construction Equipment dealer in Russia. End of 2014 it had 75 dealership all over the country, from St. Petersburg over Siberia all the way up to Vladivostok. It's simple razor and blades business. First sell the machine and then spare parts and service to that machine. Equipment sales … Continue reading Ferronordic Machines: Russia, P/E 5 and 30% growth
Cheapest stock of the week: Ferronordic Machines
Ferronordic Machines is the official Volvo construction equipment dealer in Russia and its preference shares are trading at 63% discount to par making it another "low P/B cyclical turnaround" case in my cheapest stock of the week series. The preference share is convertible to common stock in IPO, ahead of the common stock in event … Continue reading Cheapest stock of the week: Ferronordic Machines