OBL - Omni Bridgeway

[ta2693]

Here is the star in recession. I hope I have luck this time.

IMF (Australia) Ltd (formerly Insolvency Management Fund Limited) is a provider of funding and litigation support services to insolvency and legal practitioners.

the chart looks good. the business has at least 77c net asset value. If we are in
recession, the future of this is good. if we are not in recession 77c net asset backup is the safe line.

 

[michael_selway]

Re: IMF - IMF (Australia)

Here is the star in recession. I hope I have luck this time.

IMF (Australia) Ltd (formerly Insolvency Management Fund Limited) is a provider of funding and litigation support services to insolvency and legal practitioners.

the chart looks good. the business has at least 77c net asset value. If we are in
recession, the future of this is good. if we are not in recession 77c net asset backup is the safe line.

Hi looks pretty good

Earnings and Dividends Forecast (cents per share)
2008 2009 2010 2011
EPS 15.0 18.6 17.9 20.2
DPS 5.0 11.0 13.0 17.1

Date: 15/9/2008
Author: Anthony Klan
Source: The Australian --- Page: 27
The Australian Securities & Investments Commission (ASIC) has drawn renewedcriticism from consumer advocate Denise Brailey. She had in the past beeninstrumental in alerting the watchdog and other agencies as well as investors tothe risky practices of several property finance providers, and was the mainwhistleblower on the mortgage brokers scandal in Western Australia. Braileyswitched from her career in property to her advocate function with the RealEstate Consumer Association, and in that role also often levelled attacks atASIC for perceived inadequacies. In mid-2008 she applied for a position withASIC as a $A70,000-per-annum investigator, but neither of her two referees werecontacted by the employer. These were executive director of litigation fundinggroup IMF (Australia), Hugh McLernon, and Perth-based firm SolomonLawyers's partner, Doug Solomon

Date: 10/9/2008
Author: Anthony Klan
Source: The Australian --- Page: 3
IMF (Australia) described an offer to repay Firepower investors as"laughable" on 9 September 2008. IMF said a pledge byRomanian-Australian businessman, Frank Timis, to repay investors $A40 millionlost through the Firepower collapse was likely to amount to nothing. TheAustralian litigation funding giant is preparing to launch a class actionagainst Firepower associates

Date: 2/9/2008
Author: Stuart Wilson
Source: The Australian --- Page: 21
Investors are the winners in the out-of-court settlement deal reached with pokermachine manufacturer Aristocrat Leisure. Some 4,000 stockholders brought a classaction, bankrolled by IMF (Australia), against the company, and will share in apayment of $A144m. They had claimed to have been misled about Aristocrat'ssales, and Australian corporations must now be extra careful to comply withtheir disclosure obligations. Similar law suits, likely involving IMF but alsolaw firms Maurice Blackburn and Slater & Gordon, are certain to arise afterthe good outcome. However, there will not be the same volume of stockholderlegal actions as seen in the US, as in Australia costs can be awarded againstthem if they lose

Date: 29/8/2008
Author: Alex Boxsell
Source: The Australian Financial Review --- Page: 52
The resolution of a number of cases has lifted the profit of litigation funder,IMF Australia. It has posted a net profit after tax of $A17.2 million for2007-08, a rise of 188 per cent. The company is involved in two major classactions together with law firm, Maurice Blackburn, in August 2008

thx

MS

 

[RodH]

Re: IMF - IMF (Australia)

IMF at new highs, at the moment, good time for them to be doing business me thinks. anyone holding this stock?

 

[edogg75]

IMF - IMF (Australia) Ltd

Cliffnotes: This company figures to benefit from the credit crisis.

IMF is a provider of funding for legal claims and other related services where the claim size is over $2m. In the last 3 years, group claims have more than doubled, with the portfolio of claims now being worth $928m.

IMF has a strong track record with case selection. In the past 6 years they have only lost 4 out of 127 cases. Management is very risk averse and only seeks the strongest cases with the highest chance of success and in this environment there is plenty to choose from.

The current credit crisis has provided an environment where more lawsuits are able to be made by groups such as shareholders. IMF has grown rapidly in the last year with a successful case versus Aristocrat putting them on another level. Now they have plenty of cash in the vaults, making it possible for them to take on bigger and potentially more rewarding cases.

IMF is now sitting on a large portfolio of cases with maximum claims amounting to roughly $1.05bn. More than half of these will likely be finalised over the next 18 months.

Current market cap is $117,970,532, and it pays a 5% dividend.

I hold. DYOR.

 

[JTLP]

Re: IMF - IMF (Australia)

IMF looks the goods and so does the 12 month chart (someone with chart posting sk3llz please post it...I can never post for some reason )

Seems to be pretty safe bet as someone noted...litigation cases with lots of decisions to come in next 18 months...NTA of 77 cents per share...dealt with some pretty big cases it appears (OZL, MFS to name a few)...

Up near that 1 dollar mark and been trending there for a while (3 months)...

5% yield...mmm...maybe for the long term...

Can we see any breaks to the up or downside from here?

 

[TONEDEF]

Re: IMF - IMF (Australia)

Had them back in November at 78c- still hold at $1
Shot to around $1.00 and stay fairly stable- 98c- 105c
Spike will come with every announcement re case wins and results which always look good
Price tends not to drop after div announcement
Just won Opes Prime case against ANZ/MLynch
Very profitable company- lots of cases on the books and good win ratio
I think next results will see a big spike- many cases due to settle June

 

[nomore4s]

Re: IMF - IMF (Australia)

I have been looking at this company for my long term portfolio.

Chart looking very strong - At 52 week highs
No debt
5% d/e
Solid company and business to be in right now.

Am watching with interest.

 

[Nicks]

Re: IMF - IMF (Australia)

IMF share price just got hammered, down about 6 % or so. Any ideas why? I see no news. Was watching these to pick some up.

 

[skc]

Re: IMF - IMF (Australia)

IMF share price just got hammered, down about 6 % or so. Any ideas why? I see no news. Was watching these to pick some up.

Clearly something going on. Now down 16% on very high volume.

Many of their cases are in the public domain so if you don't know why, chances are you shouldn't be buying...

 

[Nicks]

Re: IMF - IMF (Australia)

Gotta love market disclosure. Im starting to get really annoyed with the efficiency of the market.

I had a trade of 1000 shares executed at 1.805. Wanted to dip my toe in the water on this one and there was no news out, adverse or otherwise. But something is definitely going on.

IMF might be funding their own litigation agreement hehe.

 

[freddy2]

Re: IMF - IMF (Australia)

Gotta love market disclosure. Im starting to get really annoyed with the efficiency of the market.

I had a trade of 1000 shares executed at 1.805. Wanted to dip my toe in the water on this one and there was no news out, adverse or otherwise. But something is definitely going on.

IMF might be funding their own litigation agreement hehe.

Look at the positives, you got a cheap lesson on the option value of limit orders and adverse selection.

 

[glendaw101]

Re: IMF - IMF (Australia)

Clearly something going on. Now down 16% on very high volume.

Many of their cases are in the public domain so if you don't know why, chances are you shouldn't be buying...

LAWYERS and company directors have welcomed the Federal Government's move to reverse a High Court ruling that shareholders ranked equally with lenders in seeking compensation after corporate collapses.

The Corporations Act is to be be amended to reverse the effect of the court decision in Sons of Gwalia v Margaretic which determined that, in a corporate winding up, certain compensation claims by shareholders were not subordinated below the claims of other creditors.

Corporate Law Minister Chris Bowen said today the ruling undermined the distinction between debt and equity, and its benefits were outweighed by the negative impact on a company's access to debt financing.

"The Government also remains concerned that the Sons of Gwalia decision has the potential to further increase uncertainty and costs of associated with external administration," he said.

"The decision has also been taken in light of the decision's potential negative impact on business rescue procedures."

 

[Bull(ish)]

Re: IMF - IMF (Australia)

Gotta love market disclosure. Im starting to get really annoyed with the efficiency of the market. .

Chris Bowen, Corporate Law Minister, announced the proposed legislation this morning on ABC radio, and the market initially reacted to that. I guess this is a gentle reminder to us all that not everything gets revealed for the first time via ASX announcement.

As an IMF holder I know that wouldn't make you feel any better Nick, but IMHO IMF is essentially a litigation funder, and while in the longterm it may mean the types of matters IMF fund may change, there will always be potential litigants with strong cases and empty pockets... Short term, it is unlikely that this case will retrospectively affect current IMF matters, as noted in the (eventual) ASX ANN as well as in various news articles this afternoon.

 

[condog]

Re: IMF - IMF (Australia)

Chris Bowen, Corporate Law Minister, announced the proposed legislation this morning on ABC radio, and the market initially reacted to that. I guess this is a gentle reminder to us all that not everything gets revealed for the first time via ASX announcement.

As an IMF holder I know that wouldn't make you feel any better Nick, but IMHO IMF is essentially a litigation funder, and while in the longterm it may mean the types of matters IMF fund may change, there will always be potential litigants with strong cases and empty pockets... Short term, it is unlikely that this case will retrospectively affect current IMF matters, as noted in the (eventual) ASX ANN as well as in various news articles this afternoon.

Agreed - asa holder of IMF, IMO this will not drmatically affect the profit outlook for IMF, the govt cannot change the law retrospectively to make IMF lose the case...so no probs.... all cases are open to appeal, but this one seems to be done and dusted...

They have plenty in the pipeline, a bit flat for 2010 comapred to goal of doubling income, but strong leads lining up for 2011...

In response to Nicks - yeh almost every week we see trading action prior to an anouncment on various stock....uncanny coincidence.....it would seem...

 

[skc]

Re: IMF - IMF (Australia)

As an IMF holder I know that wouldn't make you feel any better Nick, but IMHO IMF is essentially a litigation funder, and while in the longterm it may mean the types of matters IMF fund may change, there will always be potential litigants with strong cases and empty pockets... Short term, it is unlikely that this case will retrospectively affect current IMF matters, as noted in the (eventual) ASX ANN as well as in various news articles this afternoon.

Agreed - asa holder of IMF, IMO this will not drmatically affect the profit outlook for IMF, the govt cannot change the law retrospectively to make IMF lose the case...so no probs.... all cases are open to appeal, but this one seems to be done and dusted...

They have plenty in the pipeline, a bit flat for 2010 comapred to goal of doubling income, but strong leads lining up for 2011...

Yes IMF is litigation funder, but they get paid only when they win the case. Look across their case portfolio and they currently have heaps of cases related to disgruntle shareholders of collapsed companies against company directors etc. Given the ruling on Sons of G, the possibility of a positive outcome on these cases have significantly reduced imo. So at the minimum, the risk of success (and hence revenue / profit to IMF) has increased, so a mark down by the market is warranted.

Now whether the mark down has been overdone or not, that's another matter. My guess is no one really knows how to intelligently interpret the information yet and so we will see volatility short term stemming from this uncertainty.

 

[condog]

Re: IMF - IMF (Australia)

Yes IMF is litigation funder, but they get paid only when they win the case. Look across their case portfolio and they currently have heaps of cases related to disgruntle shareholders of collapsed companies against company directors etc. Given the ruling on Sons of G, the possibility of a positive outcome on these cases have significantly reduced imo. So at the minimum, the risk of success (and hence revenue / profit to IMF) has increased, so a mark down by the market is warranted.

Now whether the mark down has been overdone or not, that's another matter. My guess is no one really knows how to intelligently interpret the information yet and so we will see volatility short term stemming from this uncertainty.

Im sure if it materially affects IMF they will produce an announcment today...
Unitl then im not too concerned....

They have plenty of other good growth and litigation opportunities....If i was trading it id be more alert to proceedings, but ive got that one for a while, so happy to let it ride this one out, and confident its not to big an issue....


When i invested in IMF I knew govt regulation / legislation and appeals / unfavourable decisions would inevitably cause over reactions and volatility...

If your worried call IMF this morning and tell them you want an asx announcment about whether it affects them materially or not and what there exposure is, if it does...

As you yourself said in previous post - there are things you must know about your companies....and the fact IMF will be a bumpy, but likely bumpy upwards road is innevitable in the litigation game...

Fact is you dont see too many law firms struggling...in the long term...

 

[skc]

Re: IMF - IMF (Australia)

Dump your IMF shares NOW!

I just realised that the MD of IMF is Hugh McLemon.

Huge mac-lemon people!

Im sure if it materially affects IMF they will produce an announcment today...

It is not material until the details are announced.

There is a radio interview with Huge Lemon this morning but sorry don't have a link. Basically says that decision unlikely to be retrospective (in which case it is not material), but if retrospective then it depends on the details. What he didn't say was if the details are bad then the prospects of their 3 current shareholder cases are also very bad.

 

[condog]

Re: IMF - IMF (Australia)

Dump your IMF shares NOW!

I just realised that the MD of IMF is Hugh McLemon.

Huge mac-lemon people!



It is not material until the details are announced.

There is a radio interview with Huge Lemon this morning but sorry don't have a link. Basically says that decision unlikely to be retrospective (in which case it is not material), but if retrospective then it depends on the details. What he didn't say was if the details are bad then the prospects of their 3 current shareholder cases are also very bad.

Whooooooooooooo back, why? give some evidence......

This is a massive and reckless statement unless you give details to back it up.....

 

[skc]

Re: IMF - IMF (Australia)

Whooooooooooooo back, why? give some evidence......

This is a massive and reckless statement unless you give details to back it up.....

Sorry that was a joke in reference to the MD's name. Huge Lemon. Get it?

Other than that it was just sharing the audio interview which unfortunately I have no link for.

 

[condog]

Re: IMF - IMF (Australia)

Sorry that was a joke in reference to the MD's name. Huge Lemon. Get it?

Other than that it was just sharing the audio interview which unfortunately I have no link for.

Thank god for that,, be careful though you sent me into 10 minutes quick research of lost prime opening trade...

Im a bit peeved with that... but thanks for quick clarrification.... I know it was probably an accident, so all sweet..