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Quindell Portfolio - Another eps enhancing acquisition but....

January 2013

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • QPP
  • Price:
  • 16.6p
We said a month ago that QPP's results would blow out the lights. So it proved with the company saying that Q4 has exceeded Q3 and full year results will exceed expectations. Much of this is to do with the phasing-in of acquisitions but QPP has announced that various small outsourcing contracts with run-rate revenues of £80m a year have been won. These cover around 15 customers, including a large UK motor insurance company.Separately, QPP has acquired Abstract Legal for £66m (£19.75m cash plus 296.3m shares). This adds a consumer channel to QPP's business as AAH operates the Accident Advice Helpline where the business model is the preparation of the documentation necessary for a legal services firm to pursue a claim for consume ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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