Hi Noomx, holding at the headco does not mean free cashflow is any better.
Similar to COF, they are paying out nearly all of FFO but this number does not even close to resemble free cash flow because incentives are so huge. This means your distribution is partly return of capital through disposal of assets/increase in debt.
The assets in ABG are generally very good (compared to COF which are poor), however I am not excited by ABG mostly because management are empire builders, poor allocators and remuneration is insane plus their free cash flow generation is poor.
Discount to NTA or not, ABG cannot be held long term for this reason.
ABG Price at posting:
$1.10 Sentiment: None Disclosure: Not Held
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