As the largest shareholder of Newcastle based building construction services holding company Northern Bear (LSE - NTBR) we are firm believers in the group's prospects.
NTBR operates ten companies across three divisions; roofing, materials handling and specialist building services. Each has its own characteristics and investment thesis, but we believe the combination of reliable cash generation from roofing, regulatory driven growth expansion from Isoler and increasingly capital light, balance sheet flexibility from Alcor, amongst others, combines for a compelling investment proposition.
NTBR also is at the forefront of supporting the energy transition, through installation of solar panels, decarbonisation of forktruck fleets at Alcor and installation of energy efficient lighting through the specialist building services brands.
We see Northern Bear as an incredibly exciting opportunity, where, due to its geographic nature, historic lack of interaction with 'The City' as well as low liquidity and market cap, a fundamental disconnect exists between price and value. NTBR is exactly the kind of business that we look for here at BDFO - micro-cap, often overlooked, but cash generative, profitable, resilient with a growth focus. We are proud to support Northern Bear in its mission to deliver skilled, high quality jobs and services to local people.
