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Alluvium Asset Management, an asset management company, released its “Conventum – Alluvium Global Fund” third-quarter 2024 investor letter. A copy of the letter can be downloaded here. The equity market continued its rally in the third quarter. The Fund was up 4.3%, 8.7% and 4.6% in EUR, USD and AUD terms, in the quarter. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Conventum – Alluvium Global Fund highlighted stocks like Liberty Broadband Corporation (NASDAQ:LBRDA), in the third quarter 2024 investor letter. Liberty Broadband Corporation (NASDAQ:LBRDA) is a company that engages in communications businesses. The one-month return of Liberty Broadband Corporation (NASDAQ:LBRDA) was -14.88%, and its shares gained 13.17% of their value over the last 52 weeks. On December 3, 2024, Liberty Broadband Corporation (NASDAQ:LBRDA) stock closed at $85.33 per share with a market capitalization of $12.256 billion.
Conventum – Alluvium Global Fund stated the following regarding Liberty Broadband Corporation (NASDAQ:LBRDA) in its Q3 2024 investor letter:
"Liberty Broadband Corporation (NASDAQ:LBRDA) (up 40.7%), has investments in the broadband sector via Charter Communications and GCI Holdings, which represents Liberty’s Alaskan operations. Charter announced pleasing second quarter results. So far it has retained the vast majority of the former Affordable Connectivity Program (ACP) recipients (but this is yet to fully play out), its mobile business is gaining further traction (with a strong reception to its phone upgrade and service plans), and good progress is being made on cost management. Both Liberty and Charter’s share prices rose (by 15.0% and 16.6%) on the release of these results. But there was no cause for any change to our analysis nor valuation - and both still appeared cheap to us. Then, later in the quarter Liberty received a proposal from Charter to consolidate the entities (but excluding GCI). Liberty provided a counter proposal at a higher exchange ratio and that included GCI (which Charter’s initial correspondence suggested may be entertained). Depending on how the value of GCI is accounted, the consideration difference is around 20-25%, which is not insurmountable in our view. The proposed simplified structure makes sense and is likely to be appreciated by investors on both sides. On the day this was announced, it was not surprising that Liberty’s share price was up 28.4%, and Charter’s fell marginally (down 2.5%). In our view, only now after the strong price gains is Liberty’s trading price getting close to fair value. Accordingly, no action was warranted and our Liberty position now stands at 7.1%."