It's consistent with past divvy distributions. What's your issue?
Just do the sums...like all LICS...its revenue streams (dividends and interest) fall short of expenses and by a signifcant margin (around $3m a year). In the case of TOP the management and performance fees are quite high, as these guys are performers.
Soooo, they need to either sell shares, raise capital or borrow to pay their day-to-day bills.
Any investor is betting on the ability of these guys to be offered good deals where they can turn a signifcant capital profit. I'm not investing yet as the arrangement seems to be too weighted to the Waistlitz fraternity. Their private Thorney Investments also takes up shares in deals offered.
Is it just a fee generating plaything for them? In other words, lets get paid to do the research and the deals.
This seems very logical and commercial.
Also, they are heading too heavily into agriculture and sea based investments where the risk is higher. MRG is line ball and and Angel Seafoods is down 30+% courtesy of an alleged oyster virus in Sth Australia.
More to fall here I suspect and I think capital raisings will be a routine thing. How else can they expand. More capital, more fees!
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