Remember when the fellow came up to Dustin Hoffman in “The Graduate” and told him, “I have one word for you," and that word was plastics? For the IVA International Fund (Trades, Portfolio), many of its first-quarter transactions can’t be summed up in a single word, but, after you look at the Fund’s activity, a one-word theme does emerge for some of its largest deals – satellites. The Fund increased its holdings in three satellite companies in the first quarter.
In all, IVA International Fund (Trades, Portfolio) added to 11 existing stakes in the first quarter, and three are satellite related. Its most significant add was to Thaicom PLC (BKK:THCOM, Financial), a series of communications satellites operated from Thailand in which IVA initially invested in the fourth quarter of 2014. IVA more than tripled its stake with its purchase of 13,956,100 shares for an average price of ฿36.59 (about $1.08 in U.S. currency) per share. The purchase had a 0.72% impact on IVA’s portfolio and made Thaicom the 10th-largest stake by volume in that portfolio.
Thaicom has a market cap of $40.28 billion and an enterprise value of $46.06 billion. It has a P/E of 23.8, a Price/Book of 2.5 and a Price/Sales of 3.9.
IVA also added to its existing stake in APT Satellite Holdings Ltd (HKSE:01045, Financial), a Hong Kong-based investment holding company that maintains, operates and provides satellite-related services. IVA bought 4,894,500 shares for an average price of HK$6.55 (about $0.85 in American money) per share, making it the sixth-largest stake in IVA’s portfolio.
APT Satellite Holdings has a market cap of $8.67 billion and an enterprise value of $8.07 billion. It has a P/E of 17.1, a Price/Book of 2.2 and a Price/Sales of 7.2.
And IVA added to its stake in Phoenix Satellite Television Holdings Ltd (HKSE:02008, Financial), an investment holding company that provides satellite television services in the People’s Republic of China, Hong Kong and internationally. IVA acquired 4,710,000 shares for an average price of HK$2.38 (about $0.31 in U.S. currency) per share. That purchase had 0.07% impact on IVA’s portfolio and made Phoenix Satellite Television Holdings IVA’s seventh-largest stake by volume.
Phoenix Satellite Television Holdings has a market cap of $15.24 billion and an enterprise value of $13.64 billion. It has a P/E of 21.7, a Price/Book of 2.7 and a Price/Sales of 3.4.
IVA also added to its stakes in Henderson Land Development Co Ltd (HKSE:00012, Financial), Yahoo Japan Corp (TSE:4689), Benesse Holdings Inc (TSE:9783), Haw Par Corp Ltd (SGX:H02), Altran Technologies (XPAR:ALT), Millennium & Copthorne Hotels PLC (LSE:MLC), Uranium Participation Corp (TSX:U) and Robertet (XPAR:RBT).
IVA made two new buys in the first quarter – First Resources Ltd (SGX:EB5) and Great Eagle Holdings Ltd (HKSE:00041).
Reductions and divestitures
IVA reduced its stakes in 13 companies, the most significant of which was Nestle SA (XSWX:NESN), a Swiss-based food and beverage company known primarily for its chocolate products but also involved in other products as well. IVA sold 267,233 shares for an average price of CHF72.44 (about $76.71 in American currency) per share. After the sale, which had a -0.95% impact on IVA’s portfolio, Nestle remained the second-most valuable stake in that portfolio behind only Astellas Pharma Inc (TSE:4503).
Nestle has a market cap of $230.98 billion and an enterprise value of $244.81 billion. It has a P/E of 16.3, a Price/Book of 3.3 and a Price/Sales of 2.5. David Herro (Trades, Portfolio), Charles de Vaulx (Trades, Portfolio), Tweedy Browne (Trades, Portfolio) Global Value, Wintergreen Fund (Trades, Portfolio), MS Global Franchise Fund (Trades, Portfolio) and Signature Select Canadian Fund (Trades, Portfolio) have shares of Nestle in their portfolios.
IVA also sold a portion of its stake in Miura Co., Ltd. (TSE:6005), a Japanese company that manufactures and sells boilers and related products. IVA sold 1,040,100 shares, about one-quarter of its stake, for an average price of ¥1,318.48 ($1,396.22 in U.S. money) per share. The transaction had a -0.5% impact on IVA’s portfolio and made Miura IVA’s 18th-most valuable stake.
Miura has a market cap of $153.52 billion and an enterprise value of $125.68 billion. It has a P/E of 22.7, a Price/Book of 1.5 and a Price/Sales of 1.7. Charles de Vaulx (Trades, Portfolio) has shares of Miura in his portfolio.
IVA sold its stakes in two companies in the first quarter – Sugi Holdings Co., Ltd. (TSE:7649) and Hal Trust (XAMS:HAL).
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