GREY:HRIVF - Post by User
Post by
sclurion Sep 17, 2010 4:37pm
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Post# 17462882
Minority Shares of PVFL in HRG
Minority Shares of PVFL in HRG
REG-ProsperityVoskhod Fund Limited: Half-yearly report
Fri Sep 17,2010 5:02am EDT
17 September 2010
Prosperity Voskhod Fund Limited
Half-yearly report for the six months ended 30 June 2010
The Manager built a relatively sizeable stake in Toronto Stock Exchange listed High River Gold Mining (HRG), which became one of PVF's top 10 holdings and came to account for 2.6% of the Fund by the end of June, rising to 2.8% by August. HRG is one of the cheapest gold companies globally and trades at a 5x 2010 P/E. Its main shareholder -
Severstal - has attempted a couple of times to buy out the minorities, without success. These approaches may have scared some investors but PCM funds have formed a group of like-minded shareholders in order to ensure that any such actions be carried out in compliance with the rules, affording true value to minorities. HRG's share price grew
35.4% during the first half of the year.