How do you evaluate private holdings?

[#1]

PGL's biggest holding is Faberge, which by their own admission is a private company and they do not like to disclose the numbers. So how are we supposed to converge on a net asset value for this company then? I guess the same applies to companies like Zeder and PSG?

[Harathke]

You're not. Vote with your money and invest elsewhere.

[#3]

Not quite the answer I was looking for, but I think you are right. Thing is, I really buy into their strategy - and think they have great long term prospects. But then there are other companies with a similar strategy - like Petmin, who are outperforming them.

[geordie1]

normally Directors provide a value for privately held shares-if you trust directors then you can accept this valuation at face value-obviously this is open to abuse

[richardw]

PGL drops, I'm buying. Just add a risk premium to the price you're happy with.

[partridge]

I love this share because I like the strategy - and firstly, it will not be the director's "say so" as regards valuing Faberge. The value of Faberge is going to boom - and the only reason for this is that the new CHINESE super rich are going to buy it because like all good post moderns they are into retail therapy and bling in a big way. The company will probably have to limit production to keep the brand value intact.This is not a Richmont Maison this is top storey stuff. I think in three years time it will be a chunky goldmine in its own right and don't be surprised if it lists and is bought out .Well done GB. In times like this you either sell truckloads of bread to the poor or you sell small numbers of pricey useless baubles to the super rich - this is the latter- and they want it.