BENJAMIN HORNIGOLD LIMITED — Net Asset Value 2023

Aug 13, 2023

Benjamin Hornigold Ltd ACN 614 854 045

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ASX Announcement (ASX: BHD)

14 August 2023

NET TANGIBLE ASSETS

Gross portfolio return for this month was positive 0.52%

Net Tangible Assets

Benjamin Hornigold Limited (Company or BHD) advised that the company’s monthly unaudited Net Tangible Asset (NTA) per share in cents is:

	31	July 2023
		cents
NTA before tax*		30.63

* the NTA excludes 11 cents per share of estimated unrecognised deferred tax assets (comprised of prior years’ and current year’s tax losses at 25%).

ENDS

Michael Glennon

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Chairman / Company Secretary Benjamin Hornigold Ltd

Tel: 02 8117 8123

Email: cosec@bhdlimited.com.au

Benjamin Hornigold Ltd ABN 62 614 854 045 Level 10, 171 Clarence Street, Sydney, NSW 2000 Postal Address: PO Box 760, Manly, NSW 1655 Tel: 02 8117 8123

INVESTMENT STRATEGY

It is our intention to continue to maintain a wide mandate and we remain of the view that the ongoing volatility requires our investment focus to be flexible. To date, we have been gradual in allocating funds to investments to ensure capital preservation. The primary strategies we have targeted are;

• Discount Capture – The Company aims to take advantage of large discounts to NTA among Listed Investment Companies.

• Arbitrage – Typically companies in the later stages of a takeover providing shorter term trade opportunities to benefit from lower risk arbitrage trades. Depending on our view of the stock, we may look to short stocks* in order to hedge out risk or retain the underlying market exposure.

• Deep Value Investments – Overlooked and out of favour investments where we expect an eventual re-rating of the share price.

• Event Driven – Our preference has been to take a position with an expected Event leading to an increase in the share price

Our expectation in the current climate is to continue to focus on these strategies. The Company’s investment style is best described as Opportunistic with the aim of providing an absolute return.

Ongoing Litigation

The loans to John Bridgeman Ltd and JB Financial Group Pty Ltd remain outstanding. Although both companies ability to repay these loans looks questionable, a recovery for BHD would provide a significant uplift to shareholders. As a result, we have continued to pursue the outstanding debts.

Benjamin Hornigold Ltd ABN 62 614 854 045 Level 10, 171 Clarence Street, Sydney, NSW 2000 Postal Address: PO Box 760, Manly, NSW 1655 Tel: 02 8117 8123

Significant Holdings

	Allocation (%) Holding Strategy/ Rationale Investment Summary
	15.41% Cordish Dixon Funds I, II, III Deep Value/ Discount Capture Maturing Private Equity funds managed by the experienced and well respected Cordish Family Office. We have accumulated a position over two years at large discounts to NTA. These funds are now maturing and distributing proceeds.
	7.53% Unibail Rodamco Westfield Deep Value A continued hangover from the pandemic has allowed us to invest in high quality shopping malls at significant discounts to the underlying asset values.
	7.24% Kiland Ltd Event Driven/ Deep Value Agricultural exposure, low debt, large land development. We expect the change of direction in developing the land to agricultural to unlock value for shareholders.
	4.55% Elanor Investors Group Deep Value Property funds management and commercial property exposure
	3.15% Link Administration Holdings Value Out of favour Deep Value investment. The high growth PEXA business was distributed to shareholders in December 2022.
	2.87% Humm Group Limited Deep Value Profitable non-bank lender trading below book value

We have highlighted some of our larger investments to provide investors with some insight into the current drivers of performance. Investors should note that there may be other large holdings that remain undisclosed

Benjamin Hornigold Ltd ABN 62 614 854 045 Level 10, 171 Clarence Street, Sydney, NSW 2000 Postal Address: PO Box 760, Manly, NSW 1655 Tel: 02 8117 8123