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Pembury Lifestyle Group (PEM)

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I recently read a bit about PEM, tried to check this forum for Pembury but no luck. I have looked at their prospectus, though never participated on the IPO, and read their recent results. , read up on their directors ( nothing scandalous or bad social media comments seems to pop up), I guess now they have to prove themselves.

 

I have to say that, its a long way to go for this one, interestingly the company indicates their NAV at 39c, from the 100c they started with that's a huge premium for hope. Anyone used a different valuation of late and what your figures are showing?

 

What I do like is that they want to be the "Shoprite/Checkers" of private schooling  as opposed to what we have seen of late with Curro and Advtech and their fees.

 

I like how they have followed through with what they said they would do upon listing. They have bought over the Retirement Villages and on the new schools coming on line next year.

 

The biggest concern is, it seems the money raised on listing only covered just a fraction of their required Capital going forward. Meaning shareholders will nanny this one for a few years as seen with Curro except they had PSG as big daddy. Apart from the BMF and their 15% stake, as far as I know there is no other shareholder with the fire power of your PSG -> Curro. Read of the rumour that L4L observing this one, maybe to see management record....). If some bigger shareholder takes them over, chances for delisting ?

 

Any other views and thoughts?

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The one area that was a huge problem for Curro was their cheaper offering - the market that PEM is going for. But certainly seems like they are innovative.

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From Curro's last HY results :

 

The schools' business enjoyed continued revenue and margin growth against the comparative period in 2016. Curro

performed well overall, despite the seven Meridian campuses, operating in the rural lower-fee market, experiencing

pressure as a result of lower learner numbers compared to the previous year.

 

That said - PEM's schools (as I understand it) it not rural - more lower market suburban.

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Agreed Mr D, PEM is indeed lower suburban targeting group and I they have indicated they are already taking proactive actions in managing bad debts. With our economy shrinking bad debts have a way of quickly spiralling out of control, which could hurt these guys. I also noted from Curro that they are also loosing learners, to lower fee private schools perhaps ?

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Ranger I like it, this only creates an opportunity to get a bit more.....this is still a baby

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Ranger I like it, this only creates an opportunity to get a bit more.....this is still a baby

 

Go away Satan!

 

I am so tempted to buy more PEM tomorrow morning, I think I just might, will see what else I can sell and then buy a little more.

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Go away Satan!

 

I am so tempted to buy more PEM tomorrow morning, I think I just might, will see what else I can sell and then buy a little more.

 

I hope you did pull the trigger Ranger

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This PEM stock is looking more and more attractive.

 

Great opportunity for growth in this stock thats for sure.....so far I'm happy to with them delivering on their promises since listing.

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If it dips again, I will buy a little more.

 

no green, in this case, is probably still better than red I suppose.

 

 

 

A dip to Sub 20 would be great for loading up and then leave it to mature.

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/Opens up EE

 

 

 

 /turns on Youtube - https://youtu.be/vt1Pwfnh5pc

 

 

I saw this price yesterday and thought I should buy some more. I bought and it said I had bought at 31c...Turns out that the 27c is what you could sell your shares for on EE. I then proceeded to get very confused and grumpy and logged off

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Would everyone in here that read their actual financials posted in their SENS please raise their hands? Coz if you did, you would know this share is absolutely useless, unless I missed some major news/developments?

 

Or are we just buying because it's low, the lonmin of schools?

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