TruFin plc (LON:TRU) was discussed by Gervais Williams, Co-Fund Manager of Diverse Income Trust plc (LON:DIVI) in a wide-ranging exclusive interview about the Trust and the LSE-listed companies in his portfolio.
DirectorsTalk asked:
Now TruFin plc reported an exceptional year in 2024, with financials significantly better than expected. Does their mix of businesses make them particularly well positioned for the future?
Gervais Williams commented:
This company has been investing hard in some new subsidiaries and they have all been succeeding. What’s been interesting about the last 12 months specifically is a company called Playstack, which is involved in bringing third-party online games to the market. It brought a company called Balatro to the market, which has become a massive popular winner. We don’t know where that’s going to go in terms of longer term, but it’s been a huge winner for this year.
They’ve had other opportunities to bring other games through the same platform and that’s really what’s driven the performance. There we are, a company which is only £84 million market cap, relatively small, but with great opportunities, where actually its companies are generating surplus cash, meaning that actually it’s in a position where it can invest in its other subsidiaries as they come through. Oxygen and Satago also have good opportunities.
So, coming back to it, it’s again a very overlooked company with great opportunities, and that’s the opportunity set as I see it, not just the overlooked nature, but the opportunity for these companies to generate very substantial returns.
Diverse Income Trust plc invests primarily in quoted or traded UK companies with a wide range of market capitalisations, but a long-term bias toward small and medium sized companies.
