Trading Places: Geoff Wilson’s fund management firm (still) likes the smell of Dusk Group

If you to know where fund managers and famous investors such as Geoff Wilson, Alex Waislitz and Tolga Kumova are putting their money, we’ve been keeping track of substantial holder buys (and sells).

Trading Places is Stockhead’s recap of the substantial holder movements among ASX small caps over the last fortnight.

Substantial shareholders are those holding 5 per cent or more of a company’s shares — these can be directors, individual investors, or institutional investors.

Shareholders are required to announce to the exchange when they cross above or below the 5 per cent threshold, as well as any change in their holdings while they remain above 5 per cent.

Substantial holder buys

One of the more well known ASX fund managers is Wilson Asset Management, headed by Geoff Wilson.

Wilson’s firm was an investor in recent listee Dusk Group (ASX:DSK), which is in the home fragrance trade.

The company fell on its debut last month, which Wilson Asset Management invested $5.5 million in.

Since the company listed, Wilson Asset Management has continued to buy shares on market. A $164,023.12 trade on Tuesday took it across the substantial holder threshold – it now owns 5.41 per cent.

Alex Waislitz’ vehicle, Thorney Opportunities, topped up its stake in financier Consolidated Operations Group (ASX:COG) to 8.27 per cent and fast food franchisee Retail Food Group (ASX:RFG) to 6.01 per cent.

Regal Funds Management also topped up its holdings in Retail Food Group as well as medtech play Hydrix (ASX:HYD) and tutoring outlet Kip McGrath Education Centres (ASX:KME).

Perennial Value Management purchases included into telco service providers Spirit Technology (ASX:ST1) and Superloop (ASX:SLC).

Tesla contract holder Piedmont Lithium (ASX:PLL) welcomed a US hedge fund Alyseka as a substantial holder with a 7.7 per cent stake.

While fellow electric vehicle metal graphite hasn’t seen the same hype as lithium, it was curious to observe Paradice Investment Management becoming a substantial holder of the ASX’s largest graphite play – Syrah Resources (ASX:SYR).

Substantial holder sales

One company battered by COVID-19 more than most was serviced office provider Victory Offices (ASX:VOL). It saw demand for its services almost literally wiped out as people were forced to work from home.

Despite shares rallying from the Pfizer vaccine news, Regal and Perennial both reduced their holdings.

Retailer Lovisa Holdings (ASX:LOV) rallied last week too, off the back of similar COVID-19 vaccine optimism as well as a European acquisition it unveiled. But substantial holder Fidelity sold down its stake to 6.13 per cent.