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6 Pages123>»
Eye on I&M ...
mwekez@ji
#1 Posted : Thursday, October 24, 2013 5:42:44 PM
Rank: Chief


Joined: 5/31/2011
Posts: 5,081
Moved a whopping Kes. 1.5B today
hisah
#2 Posted : Thursday, October 24, 2013 5:46:43 PM
Rank: Chief


Joined: 8/4/2010
Posts: 8,977
Yep. Spotted that jumbo trade.
$15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!
mwekez@ji
#3 Posted : Thursday, October 24, 2013 6:10:31 PM
Rank: Chief


Joined: 5/31/2011
Posts: 5,081
^Indeed a jumbo trade. Its 3.7% of the company shares. Prime Securities (top 7 shareholder) has such shareholding. Must be them
Aguytrying
#4 Posted : Thursday, October 24, 2013 8:04:35 PM
Rank: Elder


Joined: 7/11/2010
Posts: 5,023
mwekez@ji wrote:
^Indeed a jumbo trade. Its 3.7% of the company shares. Prime Securities (top 7 shareholder) has such shareholding. Must be them


ive had my eye on I&m from a far, but nothing I can sell to buy.

could be that company that gave its shareholders back their shares involved. over the last 2 months, the top ten shareholders must have shifted
The investor's chief problem - and even his worst enemy - is likely to be himself
guru267
#5 Posted : Friday, October 25, 2013 7:02:48 AM
Rank: Elder


Joined: 1/21/2010
Posts: 6,644
Location: Nairobi
Hot money is becoming synonymous with Kenya!
Mark 12:29
Deuteronomy 4:16
VituVingiSana
#6 Posted : Sunday, October 27, 2013 11:31:04 PM
Rank: Chief


Joined: 1/3/2007
Posts: 16,038
Location: Nairobi
I hope the price of I&M falls...

http://www.businessdaily...40/-/fr4h4/-/index.html

Of course, I think the MPigs are just blowing hot air and looking for scapegoats instead of trying to figure out which of their colleagues [among others] were bribed by jacob juma.

http://www.businessdaily...4/-/j87t6c/-/index.html

I doubt I&M Bank will end up paying anything more than lawyer's fees BUT if this causes a 10% price drop, so be it!
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
Horton
#7 Posted : Monday, October 28, 2013 7:47:42 AM
Rank: Veteran


Joined: 8/30/2007
Posts: 1,422
Location: Nairobi
curious. i haven't quite followed the I&M listing etc....what i understand is that Citytrust became I&M holdings....who's sole earner is I&M Bank. its earnings are only dividends from I&M and that the p/e is quite astronomical 54......am i even close?
VituVingiSana
#8 Posted : Monday, October 28, 2013 9:40:11 AM
Rank: Chief


Joined: 1/3/2007
Posts: 16,038
Location: Nairobi
Horton wrote:
curious. i haven't quite followed the I&M listing etc....what i understand is that Citytrust became I&M holdings....who's sole earner is I&M Bank. its earnings are only dividends from I&M and that the p/e is quite astronomical 54......am i even close?
Yes & no. After the 'consolidation' the EPS will be more or less equivalent to the bank's EPS
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
Horton
#9 Posted : Monday, October 28, 2013 9:49:46 AM
Rank: Veteran


Joined: 8/30/2007
Posts: 1,422
Location: Nairobi
great....much obliged...still running thru the p&Ls
VituVingiSana
#10 Posted : Monday, October 28, 2013 11:55:24 AM
Rank: Chief


Joined: 1/3/2007
Posts: 16,038
Location: Nairobi
Horton wrote:
great....much obliged...still running thru the p&Ls
It was a Reverse Takeover meaning I&M Bank (shareholders) took over City Trust aka I&M Holdings.

IMH owns 100% of IMB so all the earnings of IMB will flow 'up' to IMH which means the PAT of IMH is IMB less IMH's expenses [audit, directors]
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
mukiha
#11 Posted : Tuesday, October 29, 2013 2:50:29 PM
Rank: Elder


Joined: 6/27/2008
Posts: 4,114
mwekez@ji wrote:
Moved a whopping Kes. 1.5B today


Probably has something to do with this: https://www.imbank.com/w...r-Circular_BSL_FNL-4.pdf
Nothing is real unless it can be named; nothing has value unless it can be sold; money is worthless unless you spend it.
symbols
#12 Posted : Thursday, November 07, 2013 11:44:34 AM
Rank: Elder


Joined: 3/19/2013
Posts: 2,552
Interesting counter this one.At some point I wonder what the bidders want as they watch the price go up.But then again it has a hint of manipulation.
Realtreaty
#13 Posted : Thursday, November 07, 2013 11:52:41 AM
Rank: Veteran


Joined: 8/16/2011
Posts: 2,056
What is the difference between I&M and the City Trust? I thought this is one and the same company?
jerry
#14 Posted : Thursday, November 07, 2013 12:18:47 PM
Rank: Elder


Joined: 9/29/2006
Posts: 2,570
Realtreaty wrote:
What is the difference between I&M and the City Trust? I thought this is one and the same company?

Yes, I&M is a "mutation" of City Trust.
The opposite of courage is not cowardice, it's conformity.
mufasa
#15 Posted : Thursday, November 07, 2013 12:26:32 PM
Rank: Member


Joined: 4/15/2008
Posts: 157
symbols wrote:
Interesting counter this one.At some point I wonder what the bidders want as they watch the price go up.But then again it has a hint of manipulation.


have to agree on that, the sway between 85 - 100 saw some unusual large volumes of trade.
Not particularly sure it can go beyond SIB's price estimate of Sh112.
But given the Bullish Run of Safaricom and its impact on the NSE, I see I&M touching highs of Kes 120 by years end.
Do it today! Tomorrow is promise to no-one.
Aguytrying
#16 Posted : Thursday, November 07, 2013 12:41:36 PM
Rank: Elder


Joined: 7/11/2010
Posts: 5,023
Realtreaty wrote:
What is the difference between I&M and the City Trust? I thought this is one and the same company?


it is one and the same
The investor's chief problem - and even his worst enemy - is likely to be himself
Aguytrying
#17 Posted : Thursday, November 07, 2013 1:06:02 PM
Rank: Elder


Joined: 7/11/2010
Posts: 5,023
mufasa wrote:
symbols wrote:
Interesting counter this one.At some point I wonder what the bidders want as they watch the price go up.But then again it has a hint of manipulation.


have to agree on that, the sway between 85 - 100 saw some unusual large volumes of trade.
Not particularly sure it can go beyond SIB's price estimate of Sh112.
But given the Bullish Run of Safaricom and its impact on the NSE, I see I&M touching highs of Kes 120 by years end.


Only years end? Im seeing this happening very soon. before Q3 announcement, after that it will either come back down or scale higher.

I wanted to buy this share, bnut im consoled that CFC seems to be rallying with it. The race to 200 begins
The investor's chief problem - and even his worst enemy - is likely to be himself
mukiha
#18 Posted : Thursday, November 07, 2013 2:55:42 PM
Rank: Elder


Joined: 6/27/2008
Posts: 4,114
Realtreaty wrote:
What is the difference between I&M and the City Trust? I thought this is one and the same company?


Once upon a time, there was City Trust. It owned about 19% of I&M Bank.

Then the other shareholders of I&M Bank - holding the remaining 81% - decided to take over City Trust.

They surrendered their 81% shares in I&M Bank to City Trust and got City Trust shares in exchange.

As a result, I&M Bank became a wholly-owned subsidiary of City Trust and also the biggest investment of City trust.

Now these former shareholders of I&M Bank, really love that name "I&M". And since I&M Bank was City's largest potato, they decided to change the name of City Trust to I&M Holdings.

Of course, somewhere in the process, the total number of shares of City Trust increased dramatically so that the I&M Holdings is not the same thing as City Trust!

A similar thing is happening now: Individual shareholders of companies that were shareholders of I&M Bank - and are now holders in I&M Holdings - are surrendering their shares in these companies in exchange for I&M Holdings shares that the companies held. [Read that three times to understand it!!]

If it doesn't, consider this:

Biashara Securities Limited is one of the old shareholders of I&M Bank and, after the City Trust deal, Biashara ended up with 54,599,039 shares in I&M Holdings.

Now the shareholders of Biashara Securities Ltd have decided to divide the 54,599,039 I&MHL shares amongst themselves.

Biahara shareholders are:

Minard Holdings Limited -37.51%
Mnana Limited -18.63%
Kantilal Hirji Shah & Mrs. Vinumathi Kantilal Shah -4.17%
Mrs. Kantaben Amritlal Hirji Shah -4.17%
Eureka Holdings Limited -1.4%
Velji Khimji Maroo and Mrs. Jayaben Velji Khimji Maroo -0.36%
Shantilal Raishi Punja Shah -0.35%
Rajesh Dharamshi Shah -0.32%
Apul Narshi Shah -0.31%
Khimasia Foundation Registered Trustees- -0.30%
Others (978 other shareholders) -32.49%

Together, under Biashara Securities, the above people jointly own 54,599,039 shares in I&M Holdings. They have decided to divide them amongst themselves in accordance with the percentage holdings in Biashara.

E.g., Minard Holdings Limited will get 37.51% of the 54,599,039 shares in I&M Holdings, that is 20,480,100.

BTW: Biashara Securities was a company formed by the shareholders of Biashara Bank when it was taken over by I&M Bank. It was a vehicle for conducting the transaction.
Nothing is real unless it can be named; nothing has value unless it can be sold; money is worthless unless you spend it.
mukiha
#19 Posted : Thursday, November 07, 2013 3:04:28 PM
Rank: Elder


Joined: 6/27/2008
Posts: 4,114
The question that remains is why these Biashara guys want direct shares in I&M. It's anyone's guess.

My guess is that some of them want to dispose of the I&MHL shares and other don't want to. So they agreed to gawana and kila mtu afanye anavyotaka.

Looking at the list, you will notice that they are predominantly Indian Kenyans. And this deal is a good lesson for African Kenyans... You don't subdivide the family land! Instead, you form a holding company and transfer the land to it. If one of you wants to sell her/his shares, they can do so but the land remains intact! That's how I&M Bank has survived this sharing out of ownership. Kama ingekuwa ya waafrika...!
Nothing is real unless it can be named; nothing has value unless it can be sold; money is worthless unless you spend it.
VituVingiSana
#20 Posted : Thursday, November 07, 2013 10:07:44 PM
Rank: Chief


Joined: 1/3/2007
Posts: 16,038
Location: Nairobi
Mid-sized banks will do better than the larger banks. The Tier 2 banks have;

1) a lower base so they can grow their deposits & loans faster than KCB or BBK on a % basis. Equity, as a big bank, seems to be the exception in this area.

2) expanded regionally where the market has lower hanging fruit and needs a flexible approach especially with SMEs. This has been explored in other posts and I believe DTB, NIC and I&M will benefit immensely. Even then, Kenya as a growth market for profits will remain significant for the next 2-4 years.

3) it easier than big big banks to roll out new products and branches without encountering bureaucracy. This is a temporary until they become big too. Equity used this flexibility with great results vaulting from small to medium to big.

4) clients with specific, not cookie-cutter, needs and who need quick and flexible decisions which are afforded by mid-size banks.

I expect the 115 price for I&M (or 180 for DTB and 60 for NIC) justified vs most larger banks. I expect I&M's 2013 EPS to be 13 therefore it is trading at an undemanding estimated 9 PER.
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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