Well lets hope that this set of results concludes the consistent bad news ! We are down to a NAV of around 10p now and the Management team are consistently blaming the poor environment and downturn in mining etc...etc. but if you take a look at the report it reflects consistent bad results/news in other investments also which must show some dubious decision making at some point along the line. The only positive for me is the possible asset value in the Mandel project but will that ever improve on its current low valuation ? They have included a somewhat positive outlook statement which I have attached below :-
The outlook for the sectors in which the portfolio companies are active remains unclear, although there have been a number of positive developments after the end of the year. We remain convinced that our Chinese investments are well positioned to benefit from long-term trends in the Chinese economy and society. In Mongolia, the conclusion of the deal to fund the underground mine at Oyu Tolgoi removes a significant negative factor, and could provide the basis for a longer-term re-rating of the country's mining sector. We continue to review opportunities for divestments in line with Origo's revised Investing Policy, however, we will only propose opportunities to the Independent Directors which we believe will deliver appropriate value to investors.
Hmm, June 12th should prove interesting . I wonder how much the " Substantial reduction" in the NAV will be ? but then again how long is a bit of string ! One good thing is that the share price seems to have bottomed otherwise we would surely have seen some downward movement after the wording in this notice.
Yes I did mention Rio and the long term highs in the Chinese markets etc. but no reaction. Origo's holding "Kincora copper" is in the same world class Oyu Tolgoi copper belt of Mongolia as the Rio deal which should prove to be advantageous, lets hope someone is interested in Gobi and Molyworld? All the best Cadbury and will post if I hear anything else.
Cadburyhill, HawkA1, et al ... Well I finally managed to make contact, I asked for updates on their strategy regarding sales (future and present) and that it would be beneficial for investor relations to keep us updated as these progress. They assured me that the management team are making every effort to sell the assets in the allotted time period and of course with the shareholders interests in mind. Was also told that an update on matters will come shortly. I took this as a positive and at least they did eventually get back to me after chasing them up a couple of times. Finger crossed for a good update ! - All the best
Thanks Hawk, have also been a holder for a few years now, going to need a bit more than luck more like the management team making a concerted effort to repay the loyalty. I contacted them about a year ago and once they finally got around to answering, explained that they are making every effort to improve matters.... Well I guess as you pointed out, they have made some changes and statements, but still no rise in the share price...!?? - All the Best
Yes am with you on this one CH, its another of my "Lemons" that has plummeted so far that the turn should be just around the corner. I also have (PTF) and (KSK) which are similar, whereby I have held on to them because I cannot believe that they will not eventually improve. I am on a purge at the moment and am chasing the management teams, I have had some luck with (PTF) but (KSK) are not responding at all. For what its worth I have sent out a mail to Origo today asking a few questions on performance and share price etc. I will put up a posting if I hear back.
agreed that this should have troughed out by now, given what's gone on in china. mongolia is still a bit of a mess, mind you... petercam are now out but i guess we have to assume that there's another seller who just wants rid of the stock and this is keeping the sp under pressure? In addition, there are pref share holders here who may be adding to the complexity of the situation. i've decided to tough it out. I don't see any advantage from selling here. ultimately, this is asset backed and most of those assets are more in demand than they were a year ago and perhaps, incrementally, asset values and share price will start to increase. hope springs eternal.
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