Shriro - a value play, page-23

Thanks for the update @Ivanovich, i knew it must have been a Fund selling, just didn't know who.

You know they say in the short-term the stock market is a voting machine, in the long-term it's a weighing machine. I'd agree that 12 x would be about right for this, and if we strip the IPO costs for FY15 then we get a MC of around $150M. Assuming NPAT for FY16 is around the $13-$14M mark which should be achievable given managements comments in the recent annual, then we could be looking north of $160M MC.

Have also noted a recent posters concern as well regarding Director remuneration particularly with regard to some Director "IPO Bonuses" which were paid for their "assistance in IPO'ing the company". These were to the tune of >$1.5m which i think is excessive. Add back this $1.5M "bonus" to the CY15 figures and go figure...I find it funny how the Investment Banks and Corporate Actions teams are already paid by SHM to take the company public, yet Directors grant themselves a 'Santas little helper' fee for their "assistance".
I think the structure of the rights issues and incentive plans issued by the board are freebies more than anything. I'm not too happy about the structure of some of these plans and i think they can be more a blank cheque signed by shareholders rather than an alignment of management/shareholder interests. Admittedly i actually missed this in the prospectus and didn't bother to review the remuneration and IPO costs more rigorously than i should have so my fault. Doesn't mean i still wouldn't have buyer - i would have - i just think maybe this could be brought up by someone such as a Top 20 shareholder in the next AGM if any are reading this.