Liberty Live On A Napkin

A decent company at a huge discount

On December 8, 2023 I wrote the following:

Summary

• LLYVA is just 2 things.
• It trades at a massive NAV discount.
• Underpay and wait….

Liberty Live Group (LLYVA) is 69.6 million shares / 30% of Live Nation Entertainment (LYV) and just under $800 million of net debt. It trades at a 41% discount to NAV.

Caveat

Management has been disappointing in how slow they’ve been to close NAV discounts. They need to be huge to interest me. This one is huge enough to buy but I won’t have strong hands here and would probably sell if they can close even half of this discount.

Conclusion

Convoluted ownership structures provide nice opportunities for discounts. If they’re big enough, you can just buy them and wait.

TL; DR

I own LLYVA; you might want to too.