Time to re-visit
JSE-LISTED Purple Capital is expected to release its full-year financial results for the year ended August 2013 on, or around, 8 November. If you’ve been following my investment calls for the last two years, you will know that I really like this story, but the share price – after a brief visit to the mid-30c range – has languished in the lower 20s for a while now.
I believe that will finally change once these financial results hit the market.
Its gaming business, Voltbet, battled to get any scale, and the R30m that the group realised from selling it to Sun International should put cash on hand for Purple Capital, up at around R100m mark. This translates into 12c out of 21c/share. If the group can turn a profit of R16m between GT247, Purple Capital and Emperor Asset Management, then you can add another 1c/share of earnings into the mix. By my humble calculation, the NAV will be up around the 36c/share mark.
With rumours of a delisting persisting, shareholders – like me – might be keen to see some value unlocked.