Seymour Jacobs's questions to A-Mark Precious Metals Inc (AMRK) leadership • Q4 2024
Question
Seymour Jacobs from Jacobs Asset Management asked for a review of the LPM acquisition's performance relative to initial models and the condition of the Asian market. He also sought details on the current M&A pipeline, including the nature, location, and potential scale of opportunities.
Answer
Executive Gregory Roberts stated that while A-Mark is pleased with the LPM assets and personnel, financial performance is slightly behind the model due to the global demand drop-off, but he remains optimistic. Regarding the M&A pipeline, Roberts described it as active with "exclusively new deals" rather than topping off existing investments. He noted opportunities exist in wholesale and retail, both domestically and internationally, though none are on the transformational scale of the JMB acquisition. He believes the current market provides more realistic valuations, which benefits A-Mark's strong balance sheet.