Personally I've only averaged down via a long standing spread bet, quite considerably and average is now at a more achievable level - just to break even at least.
My entire holding is in my ISA average is around 27p, not confident I'll get to exploit the tax breaks you get in in an ISA with an average so high? Not personally in a position to average down don't think I would be comfortable risking any more money on AIM for now.
Just worked out Alex Borrelli average if all targets are hit.
Shares bought 400,000 (£20,000 @ 5p) If all targets are hit he will have 6,470,411 shares.
£20,000 / 6,470,411 = 0.00309099 = 0.3p
SO, I don't think he will ever have to worry about making a major profit. Just long term holders. As an aside, and I know nobody likes seeing the past bought up I still can't believe nothing has legally happened to alzheimers Alikhani.
Well some will definitely lose out if the SP only reaches 35p, because that's the old 3.5p, and I know some bought at the old 8p plus, ok, they may have averaged down but if like one of my holdings it will need to get circa ten times where it is now to break even. Having said that, my ISA holding isn't that bad at all, and hopefully that will succeed, so I suppose one up, one down may break even eventually, but this has been a very long road and that's for sure. The trouble is the longer the term that people have been here are the ones that have been hurt the most..... Apart from averaging down, which of course some of us have done, but as you say, I don't think that we will hit the dizzy heights that were once predicted for sure.....
Likewise NCK - I intend to go to all and any AGM's of any company I invest in going forwards. The joy of hindsight now makes me feel I would've viewed this investment very differently and I certainly wouldn't have doubled up pre ZEMA approval had I met MA face to face. A few others I met post AGM mentioned that after they went to last years AGM they decided to not invest another penny in BMR due to how unprofessional and poorly presented MA and co. came across.
I do agree that the directors are now aligned fully and have a real interest in the company being a success. However, in my opinion I do not think the targets they have set themselves are very stretching considering the potential size of the rewards. I will be thankful if they achieve all targets and the SP reflects the fundamental shift in where the company should be, once all are achieved. My past experience of share based incentives, especially given the size being dished out, has always been really stretching but achievable targets. AB did say 'you would have to pay someone 2 to 3 times the salary' to do the job he is doing so I would imagine the share incentive in his opinion his his way of guaranteeing he gets paid what he feels he is worth.
If all targets are hit and all shares are dished out Alex Borrellis average will be 2p so I think even 20p will be seen as a huge achievement on his part. He doesn't strike me as particularly greedy so the higher predicted SP's (35p upwards) seem unlikley, given there will be dilution before all targets they have set are eventually reached. If they are able to prove and patent the technique for processing then that could be a real money spinner in the long term.
All in all, I just don't want long term holders to lose out here.
Good to see you at the AGM. Nice to put a face to the avatar after all this time!
I have been thinking about their 10% options. The more I think about them, the more I like how they've done it. The more they convert to actual shares, the more they will be keen to maintain/enhance their value. That aligns their interests with the shareholders interests for a change.
How long can that kind of money be chucked around before this rockets?
I think we can all agree the MM's are holding this back...
What more can AB do to improve the SP? He has promised him and his team 10% of the company at 6p for doing their jobs, he has consolidated the shares in issue which have improved liquidity no end and he continues to be upbeat and promoting the company and its future. Couldn't ask for more really. Sigh.
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