Jeremy Raper returns for a deep-dive postmortem on his high-conviction investment in aviation leasing company AVAP. From sourcing the deal via Twitter, to acquiring a ~20% block at well below book value, to negotiating with key stakeholders and navigating operational hurdles, Jeremy recounts the challenges and victories of shareholder activism in a niche sector. This case study sheds light on the realities of unlocking value in the public markets and the grind behind executing a thesis, even when the setup looks ideal on paper.

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[00:00:00] Andrew introduces Jeremy and episode topic

[00:02:11] Investment is a postmortem of AVAP

[00:04:01] Jeremy's background in aviation leasing

[00:09:41] Block purchase strategy and rationale

[00:12:01] Purchase price details and thesis

[00:13:45] Value from being largest shareholder

[00:15:01] Behind-the-scenes work and learning

[00:17:27] Complexity of executing activist strategies

[00:23:46] Monetizing intangibles and aircraft rights

[00:25:01] Shareholder base and interest after stake

[00:28:24] Exiting AVAP and evaluating outcome

[00:30:02] Final thoughts on learning from postmortems

Links:

Yet Another Value Blog - https://www.yetanothervalueblog.com

See our legal disclaimer here: https://www.yetanothervalueblog.com/p/legal-and-disclaimer

This podcast was sponsored by https://www.youtube.com/@UClqFz8aiVfSV2PviLcQrIbA

Production and editing by The Podcast Consultant - https://thepodcastconsultant.com/

YAVP hall of famer Jeremy Raper returns to cover a wide range of topics—from Jeremy’s decision to shut down his investment blog to his perspective on underappreciated international markets like Japan and the UK. The episode culminates with an in-depth discussion on Jeremy’s high-stakes activist campaign at HUM Group, a non-bank Australian lender. Jeremy explains why he's pushing for a board overhaul and outlines governance red flags he believes shareholders shouldn't ignore.__________________________________________________________[00:00:00] Podcast and guest introduction[00:02:24] Jeremy reflects on his writing journey[00:05:21] Why Jeremy stopped his pay blog[00:08:58] Loss of inbound connections[00:12:29] State of Japanese event market[00:17:55] Deep value still thrives in Japan[00:19:09] Concerns with UK governance culture[00:25:49] Overview of HUM Group situation[00:30:29] Rejecting undervalued chairman offer[00:36:53] AGM governance failure issues[00:42:43] Call to vote and next stepsLinks:Yet Another Value Blog - https://www.yetanothervalueblog.com See our legal disclaimer here: https://www.yetanothervalueblog.com/p/legal-and-disclaimerProduction and editing by The Podcast Consultant - https://thepodcastconsultant.com/

Adam Buckstein from ASB partners explores Stride Inc. (formerly K12), the largest provider of virtual public schools in the U.S. Adam dives deep into the company's business model, regulatory framework, and competitive position, as well as the company's unique funding structure, post-COVID enrollment growth, market misconceptions, and the complex compliance challenges it faces. The conversation also dives into Stride’s outcomes, criticisms, AI’s future role in education, and the stock’s dramatic drop following an LMS implementation misstep. _____________________________________________________________

[00:00:00] Podcast and guest introduction

[00:03:30] Stride’s virtual school structure

[00:05:34] Funding model vs. for-profit colleges

[00:07:16] Why parents choose virtual schools

[00:09:19] Learning coach growth post-COVID

[00:10:16] Payment structure for Stride

[00:12:22] Outcome debates and challenges

[00:17:38] Competitive landscape with Pearson

[00:21:07] Stickiness of Stride contracts

[00:23:22] Curriculum costs and customization

[00:25:10] Economic sensitivity discussion

[00:28:43] Student acquisition and marketing

[00:32:44] October enrollment drop explained

[00:35:42] LMS transition and enrollment loss

[00:38:22] New Mexico lawsuit context

[00:43:26] Outcome data interpretation issues

[00:45:27] AI impact on Stride’s model

[00:47:17] Financials and cash flow strength

[00:51:10] Market overreaction to issues

[00:54:09] Risks if outcomes lag in-person

[00:56:33] Teachers union and school choice

Links:

Yet Another Value Blog - https://www.yetanothervalueblog.com

See our legal disclaimer here: https://www.yetanothervalueblog.com/p/legal-and-disclaimer

Production and editing by The Podcast Consultant - https://thepodcastconsultant.com/