Thanks Mary for expanding. I was conjecturing on AP's 13% being an indicator if cash strapped AP let go for a nominal sum. Having just been burned on FPM with a rights issue, good to see you agree that its in the offing here going forward. GL and All
Hi Beanup, Most JV's are on a 70/30 split, that is 70% of partners interests must be agreed before expenditure. That is why PMG increased the stake in Davaar to 74% and why it bought ATL 50% stake in Polecat and Marten. Most of the JV's are involved PMG own more than 30% so they have control of expendiure. ATL own 13% of Perth so they cannot control when it is developed and would forfeit their stake if they did not pay their development costs. it looks to me anyway a rights issue is on the way. GLA.
Be interesting to see whether PMG or FPM aquire the 13% interest in the Perth licences that Atlantic Petroleum still hold. All very well acquiring these "hub" assets, but going forward it would require FPM taking on debt and a possible II rights issue for Parkmead. Perhaps we are playing the long game and waiting for Government tax relief !! I just can't see FPM in the near future being ready to play with what they have on going in Norway.
happy with my holding here and accumulation below 50p . GLA
Parkmead continues to analyse value-adding opportunities, including UK and Netherlands-based acquisitions, and is focused on strengthening its positions in core areas of the Group�s portfolio. Parkmead has maintained a strong and clean balance sheet.
As a holder of P.M.G. for a good few years my thoughts for what it is worth. I think we can all agree P.M.G. very rarely informs P.I.'s what is happening, so this announcement must be treated with suspicion. The Polecat and Marten stake was acquired from Atlantic Petroleum, a company in deep financial trouble ( my guess would be a token payment) which relieves Atlantic of any ongoing costs. A.I.M. regulations are so poor that P.M.G. can get away with not disclosing the sum paid as it is commercially sensitive information. P.M.G. increased its stake in Davaar ( again from ATL) but there was no R.N.S. for that, although to be fair it is tucked into the accounts. So why release an R.N.S. which tells us very little that we did not already know? Two possible theories, perhaps P.M.G. is up to something and news is leaking into the market , so this is a red herring to explain the price increase. Alternately perhaps we are just about to get an open offer AKA FPM to shore up the balance sheet and fund an acquisition. Nothing is ever staightforward with P.M.G. as Malcy alludes to in his blog this morning. As always GLA to all long term holders.
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