Mr Deep-Value

I used to acquire SME businesses in the real world. Negotiations, due diligence, managing people. It didn’t scale. Now I buy businesses with a click. I focus on deep value and special situations full time, compounding my own capital. UK nano caps, off-market deals, controlling stakes where possible. I’m looking to connect with investors doing the same. There’s a lot of neglected opportunity in the small end of the market.

@mr_deepvalue It has the look decent bet. Very a Pabrai "heads I win, tails I don't lose much" one

I’ll be in London (the City and Mayfair) on 27th-28th May. My primary interest is in deep-value and special-situation opportunities involving: Controlling blocks in listed nano caps Distressed or dormant listed vehicles Restructurings and recapitalisations Situations where a listed vehicle can become a strategic asset Partnerships with private capital looking for deal flow I approach public markets from the perspective of acquiring and improving businesses rather than trading securities. If that overlaps with your area of interest, feel free to contact me. info@mrdeepvalue.com

@capitaloptimism Yeah. It's the activist presence that makes it juicy imo

@capitaloptimism Correct. Capricorn confirmed that.

@mr_deepvalue I'm assuming that the PUSU being pushed out twice means that they are actually in the data room

Doesn't mean it can't be found. Might just mean they haven't decided on the exact structure. That might be because they need to figure out the exact price first. My guess is that this is why they have extended all the deadlines to the max. Seems unlikely that Capricorn would let them in for DD unless they believed the cash was there somewhere.

@mr_deepvalue Stand you a pint if you can explain why the funding for the Capricorn deal can't seem to be found

@valuedontlie Run, as fast as you can, up really steep hills, regularly.

Working on some fitness goals for first time in a while Anyone have training suggestions specifically for VO2 max?

@safe_our_souls Bowim flying too

🇵🇱 SPYROSOFT SPR.WA Insder is buying.

Same

Found a 100-year old UK business a couple of years ago trading below net-cash. 30m revenue 2m average FCF 12m net-cash Sentiment soured and the stock price fell to just 3m. The largest shareholder had previously loaned the business 5m, and now offered to buy the whole thing for 6m (double the stock price). His total risk was 11m but he got 12m in net-cash immediately and a 30m business for free, even after offering a 100% premium on top of the prevailing market rate. He can now enjoy the 2m per year for the next decade or two as a free bonus. Deals like this are happening all the time in quiet little corners of the stock market. It’s why I stopped chasing SME deals in the real-world to focus exclusively on listed businesses.

@Martyn_Lockhart Thanks, will take a look.

@mr_deepvalue Bond yields but their do t affect the company.

@Martyn_Lockhart Very cool. Why is sentiment so negative?

@mr_deepvalue UKs biggest landlord. NAV 290p vs a current share price of 152p.

@eenfag52809 It's also funny how they had a bold vision to use their stock as currency to buy more businesses....

@mr_deepvalue I see as a risk that management might like to milk their free shares and salaries for a couple more years, blocking the sales. I hope they will commit to buying some shares this time as they said.

One of my favourite deep-value setups is when the market becomes so disgusted with management that it accidentally prices a perfectly viable business below liquidation value. PLAYSTUDIOS now trades at: • negative EV • below NCAV • below TBV • while holding nearly 2x its market cap in net cash And yet the business still generated: • $26M operating cash flow in FY2025 • $236M revenue • positive EBITDA • recurring player monetisation • ongoing buybacks The market seems traumatised by the failed SPAC growth narrative and the Kingdom Boss disaster. But today’s valuation implies something much more extreme: That the operating business itself is worth less than zero. The share-structure puts me off here, but this is basically what I search for.

@Martyn_Lockhart What's going on there?

@mr_deepvalue Grainger must be the most deep value special situation.

@cactusmaac Correct. The old CEO also secretly gave her nephew a top job for no reason.

@mr_deepvalue Net loss of $40m in H1 and multiple years of restatements last year due to accounting errors.

PETS looks interesting. Market Cap = $48m Net-Cash = $26m The property value alone is almost certainly $30m -$50m. (Acquired for $18.5m in 2016) The entire brand and operating business is essentially free. Multiple bidders have literally offered double the current price in the last few months. Management are doing their best to destroy the value, but still...

I love Japanese microcaps because you start reading what appears to be a simple rubber products business and suddenly discover the company also operates somewhere between a fintech platform, a confectionery manufacturer, a tennis equipment supplier and an anime side quest. Market cap: £15m (ish) Western investors would call this “lack of strategic focus.” Japan calls it Friday.

@eenfag52809 I think management are the reason it's being priced at basically nothing. The best thing they can do is negotiate a fair price from all the bidders.

@mr_deepvalue what do you think management might have in mind? take it off the market for almost free?

This is pretty much the default investment strategy of normal people in the UK...

@saylordocs Investing in your health to maximise health span is an underappreciated part of the portfolio...

My boomer uncle saved $1,200,000 for retirement. - drove a 2003 Honda until it felt apart - packed his lunch everyday for 33 years - had a whole list of things he was going to do He died 2 weeks before retiring

@Larryjamieson_ @marc_slans I'd swap the jet for a yacht and sail from house to house (stopping off along the way) while doing deals via Starlink from the South Pacific.

@marc_slans this is why you need a mistress, a quiet office, a place on each coast, a private jet, and once a year 50,000 people applaud every word you say

Imagine how many periods like this Buffett has had to sit through. How he hasn’t pulled his hair out is beyond me.

@pretrainedgb At the nano-cap level, it's pretty much the exact opposite imo

@mr_deepvalue Thank you. I'd have expected less competition in private and therefore possibly better deals. I'll keep this in mind

I used to acquire private businesses. Then I realised listed markets occasionally let you buy businesses at prices so absurd they would never survive a real-world acquisition process. Now my life mostly consists of: Reading obscure filings Hunting through annual reports Studying ownership structures Searching for weird situations And looking for opportunities where complexity, illiquidity or exhaustion has broken price discovery completely. People think deep value investing is about spreadsheets. It’s not. It’s about understanding businesses and human behaviour well enough to recognise when the market has emotionally abandoned something that still has real economic value.