{"id":772,"date":"2026-08-31T01:01:00","date_gmt":"2026-08-31T01:01:00","guid":{"rendered":"https:\/\/bluegemresearch.co.za\/?p=772"},"modified":"2026-08-30T06:40:19","modified_gmt":"2026-08-30T06:40:19","slug":"sabvest-capital-h126-results-post-period-investments-outshine-results","status":"publish","type":"post","link":"https:\/\/v5j22kvl0zh.c.updraftclone.com\/?p=772","title":{"rendered":"Sabvest Capital \u2013 H1:26 Results \u2013 Post-Period Investments Outshine Results"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\"><em>Share Code: SBP \u2013 Market Cap: R5.7bn \u2013 Share Price discount to NAV: 10%<\/em><\/p>\n\n\n\n<div data-wp-interactive=\"core\/file\" class=\"wp-block-file\"><object data-wp-bind--hidden=\"!state.hasPdfPreview\" hidden class=\"wp-block-file__embed\" data=\"http:\/\/v5j22kvl0zh.c.updraftclone.com\/wp-content\/uploads\/2026\/08\/Sabvest-Capital_Results-Note_H1_26.pdf\" type=\"application\/pdf\" style=\"width:100%;height:600px\" aria-label=\"Embed of Sabvest Capital - Results Note - H1:26.\"><\/object><a id=\"wp-block-file--media-fea0f92b-c78f-4b55-9bdd-ccf698a1020f\" href=\"http:\/\/v5j22kvl0zh.c.updraftclone.com\/wp-content\/uploads\/2026\/08\/Sabvest-Capital_Results-Note_H1_26.pdf\">Sabvest Capital &#8211; Results Note &#8211; H1:26<\/a><a href=\"http:\/\/v5j22kvl0zh.c.updraftclone.com\/wp-content\/uploads\/2026\/08\/Sabvest-Capital_Results-Note_H1_26.pdf\" class=\"wp-block-file__button wp-element-button\" download aria-describedby=\"wp-block-file--media-fea0f92b-c78f-4b55-9bdd-ccf698a1020f\">Download<\/a><\/div>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>H1:26 Results: Compounding<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Sabvest\u2019s Net Asset Value (&#8220;NAV&#8221;) per share rose +5.2% over six months to 16940cps<\/strong> (FY 25: 16105cps) and +22.0% y\/y (H1:25: 13882cps), which is c.+4.7% ahead of our own last published estimate of 16180cps.<\/li>\n\n\n\n<li>Only Amicus and Halewood disappointed, while the rest of <strong>the Group\u2019s investments performed well<\/strong>.<\/li>\n\n\n\n<li>Net interest-bearing debt fell to R122m (FY 25: R156.6m) offering balance sheet capacity for the post-period investments &amp; current capital commitments.<\/li>\n\n\n\n<li>Management held the interim <strong>dividend held at 40cps<\/strong> (H1:25: 40cps).<\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-image size-large\"><a href=\"http:\/\/v5j22kvl0zh.c.updraftclone.com\/wp-content\/uploads\/2026\/08\/2026-08-30-Figure-1.png\" target=\"_blank\" rel=\" noopener\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"563\" src=\"http:\/\/v5j22kvl0zh.c.updraftclone.com\/wp-content\/uploads\/2026\/08\/2026-08-30-Figure-1-1024x563.png\" alt=\"\" class=\"wp-image-773\" srcset=\"https:\/\/v5j22kvl0zh.c.updraftclone.com\/wp-content\/uploads\/2026\/08\/2026-08-30-Figure-1-1024x563.png 1024w, https:\/\/v5j22kvl0zh.c.updraftclone.com\/wp-content\/uploads\/2026\/08\/2026-08-30-Figure-1-768x422.png 768w, https:\/\/v5j22kvl0zh.c.updraftclone.com\/wp-content\/uploads\/2026\/08\/2026-08-30-Figure-1-624x343.png 624w, https:\/\/v5j22kvl0zh.c.updraftclone.com\/wp-content\/uploads\/2026\/08\/2026-08-30-Figure-1-300x165.png 300w, https:\/\/v5j22kvl0zh.c.updraftclone.com\/wp-content\/uploads\/2026\/08\/2026-08-30-Figure-1.png 1177w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/a><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Thoughts: Two Major Deals Add to the Shape of NAV<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Post-period, <strong>ITL agreed to buy the massively synergistic, Swedish Rudholm Group<\/strong> and <strong>Sabvest (led by DNI) subscribed for R754m in Frogfoot, Vox and Hypa to gain a foothold in an exciting, fast-growing fibre enterprise<\/strong>.<\/li>\n\n\n\n<li>A strong Rand masked genuine operating progress at ITL and Flowmax, and Apex (28% of the portfolio) and SA Bias (22%) are around half of Group NAV, a concentration management itself flags.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Valuation &amp; Implied Return: Priced Close to Fair Value<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>We estimate current NAV at 16832cps (previously: 16180cps), against which the share trades at a c.10% discount (previously: 12%)<\/strong>, though we have <em>not<\/em> considered any potential accretion or growth from the two large post-period investments noted above.<\/li>\n\n\n\n<li>Deducting a HoldCo discount of c.12% of NAV (previously: 10%) based on central costs, gives a fair value of 14839cps (previously: 14613cps).<\/li>\n\n\n\n<li>Rolling that forward at our Cost of Equity gives a <strong>12m TP of 17344cps (previously: 17119cps) and an implied price return of c.+15% (previously: +20%), or c.+16% including the c.0.9% dividend yield<\/strong>. The persistent discount in the share price has closed, but from here the return should be led by our expected NAV growth.<\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-file\"><a id=\"wp-block-file--media-fea0f92b-c78f-4b55-9bdd-ccf698a1020f\" href=\"http:\/\/v5j22kvl0zh.c.updraftclone.com\/wp-content\/uploads\/2026\/08\/Sabvest-Capital_Results-Note_H1_26.pdf\">Sabvest Capital &#8211; Results Note &#8211; H1:26<\/a><a href=\"http:\/\/v5j22kvl0zh.c.updraftclone.com\/wp-content\/uploads\/2026\/08\/Sabvest-Capital_Results-Note_H1_26.pdf\" class=\"wp-block-file__button wp-element-button\" download aria-describedby=\"wp-block-file--media-fea0f92b-c78f-4b55-9bdd-ccf698a1020f\">Download<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Share Code: SBP \u2013 Market Cap: R5.7bn \u2013 Share Price discount to NAV: 10% H1:26 Results: Compounding Thoughts: Two Major Deals Add to the Shape of NAV Valuation &amp; Implied Return: Priced Close to Fair Value<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[117],"tags":[119,13,15,60,140,20,30,16],"class_list":["post-772","post","type-post","status-publish","format-standard","hentry","category-sabvest_capital","tag-chris-seabrooke","tag-equity-research","tag-jse","tag-research","tag-sabvest-capital","tag-small-cap","tag-small-caps","tag-south-africa"],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/v5j22kvl0zh.c.updraftclone.com\/index.php?rest_route=\/wp\/v2\/posts\/772","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/v5j22kvl0zh.c.updraftclone.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/v5j22kvl0zh.c.updraftclone.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/v5j22kvl0zh.c.updraftclone.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/v5j22kvl0zh.c.updraftclone.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=772"}],"version-history":[{"count":2,"href":"https:\/\/v5j22kvl0zh.c.updraftclone.com\/index.php?rest_route=\/wp\/v2\/posts\/772\/revisions"}],"predecessor-version":[{"id":776,"href":"https:\/\/v5j22kvl0zh.c.updraftclone.com\/index.php?rest_route=\/wp\/v2\/posts\/772\/revisions\/776"}],"wp:attachment":[{"href":"https:\/\/v5j22kvl0zh.c.updraftclone.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=772"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/v5j22kvl0zh.c.updraftclone.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=772"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/v5j22kvl0zh.c.updraftclone.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=772"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}