Liquidations Watchlist #2
Another list of liquidations I'm following
Disclaimer: The content in this write-up is for informational purposes only and should not be construed as financial or investment advice All opinions expressed are my own. Please do your own research or consult with a professional before making any investment decisions.
Following on from my previous post. Below are current and potential real estate, trading company, private equity and investment trust liquidations.
They all have different risks, timeframes and return potential. This is not a recommendation to buy any.
Some of them are very illiquid and might suit a smaller account size.
Note: NAV is reported NAV, book value or my estimate. Timeframe is based on my estimate. Both could change.
DCI Advisors (LON:DCI)- interests in development land in Croatia, Greece and Cyprus. It’s been a long wind-down that should liquidate in next 2-3 years. Current management took over in 2023 and the share registry has a few well known investors on it. On Friday they announced a sale of their Cyprus interests at a c30% discount to carrying value. Pre Cyprus sale NAV £0.113. Timeframe 2-3 years.
Zytronic plc (LON:ZYT)- a manufacture of touch based sensors. Outcome of strategic review in November 2024 was to either sell the business or wind it down. Update on 19 February 2025 said they did not receive suitable offers so will wind down. Adjusting for a write down in inventory and accounts receivable, a small discount on property value and using the current cash balances (£3.3m) for wind down costs, I get a NAV of c£0.50. Final payout could be higher or lower. Timeframe 1-2 years.
SVM UK Emerging Fund (LON:SVM)- investment trust investing in smaller listed UK companies. General meeting to vote on liquidation is on 4th March. Irrevocable undertakings to vote in favour of c40% from insiders and major shareholders. NAV £0.998. Timeframe 2 months.
ICG-Longbow Senior Secured UK Property Debt Investments (LON:LBOW)- as the name suggests, they predominantly invested in a portfolio of UK real estate debt investments, comprising loans secured by first ranking fixed charges against commercial property investments. They have been in wind down since 2021. Last 3 remaining are loans on a regional office, a Southport hotel and residential park homes. NAV $0.283. Timeframe within 2 years.
Seritage Growth Properties 7% Series A Cumulative Redeemable Preferred Shares (NYSE:SRG/PA)- the equity has been a value trap and melting ice cube for many value investors. With estimated sales proceeds of c$670m and net debt as of Dec 24 of c$170m, I believe the preferred’s look secure here. You can pick up 7.8% dividend yield while you wait to be liquidated at $25. Timeframe 1-2years.
JZ Capital Partners (LON:JZCP)- private equity and real estate investment company. Exposure to small US & European companies and US real estate. Announced wind down in August 2020. These private equity wind downs take time due their illiquid nature and further capital draws from portfolio companies. A capital return announced by Q2 2025 of £0.30. 38% of NAV is cash. NAV £3.23. Timeframe 3-4 years.
Potential Liquidations:
LMS Capital (LON:LMS)- a UK investment company with investments predominantly in UK retirement living real estate, Romanian oil and gas, a US venture capital fund and a US micro cap fund. 35% of NAV is cash. Recently announced they have started a strategic review which could lead to asset realisations and return of capital to shareholders. NAV £0.448.
Excelsior Capital (ASX:ECL)- a Australia investment company. Activist and major shareholder London City Equities (ASX:LCE) filed a lawsuit against company to wind it up. ECL has 68% of investment portfolio in cash and 25% in alternative investment funds. Company Director owns c50% so its a uphill battle for LCE. NAV $3.99.
I would be interest to hear anyone’s thoughts on these? I’m always looking for new liquidations and will do another post soon.
Disclosure: I, or members of my family, hold shares in LON:LMS and could potentially hold shares in any of the mentioned companies in the future.