The New Criterion: Latam Autos and Johns Lyng Group

Carsales ‘mini-me’ Latam Autos has driven investors down the wrong road since listing three years ago, but after a strategtic re-set the Latino car ads house looks to be headed in the right direction. Meanwhile, the well-known but private Johns Lyng Group is steering towards a listing

Latam Autos (LAA) 9.6c

The well-backed Latin American car classifieds house had a compelling yarn to tell when it listed in December 2014, given the region’s rapidly rising rates of both car ownership and internet penetration.

The presence of the giant Carsales.com in the region has fostered perpetual intrigue about a takeover. But after a bright start after the IPO Latam investors have been driven down the wrong road and have lost two-thirds of their dough.

As with so many tech companies, Latam’s underperformance has been a case of too much red ink, too little revenue and too little management of expectations along the way.

But this week’s September quarterly report shows the company — 12 per cent owned by AFL supremo Mike Fitzpatrick — finally might be kicking goals after a radical business overhaul in April.

Read the full story here — https://www.livewiremarkets.com/wires/the-new-criterion-latam-autos-and-johns-lyng-group