Totally agree with you on that side of things and their are certain directors who've had strings of failed companies and have been milking director fees for years whilst diluting their shareholders and achieving little. Doesn't help that the IIs who do get involved with AIM end up doing okay regardless given the prices they get in at on equity issues etc, so probably don't care too much about the companies. Would be nice if they all decided that it was actually worthwhile making money long and seeing the good companies grow as each piece of news falls into place.
Gary when you think of the majority of the companies on aim and how BOD appear to use AIM and it's investors as a get rich quick vehicle then it is no wonder it is where it is.Regulation is needed but it wont happen since the only people that lose most of the cash are the little guys
Getting to the stage where they are in danger of completely breaking the market, especially the AIM one which was supposed to be a place where promising young companies could raise funds that they might otherwise have had trouble accessing. Yet these days it seems to be that a lot of the companies that aren't that good and don't have much in the way of long term prospects that are attracting investors purely on the basis of crazy spikes up and down!
stupid idiots lost themselves 30 million by allowing the shorting of stock that they own.Which kind of highlights lending out shares in general as bonkers if the share price doesn't recover as a result.
I was thinking the same! The farm out agreement (based on the details we've seen) makes no mention of it being conditional on EEAA and unless Lukoil knew that was definite they wouldn't have got involved until it was - it does of course mention a further payment upon FID but the bulk of the money comes upon completion. I still think it more likely that a condition of the EEAA was accepting this deal, rather than the other way around - but that is just my personal view and maybe I'm being too suspicious as to why they'd sell out on the cheap (without EEAA the company would be screwed and the Cameroon government, plus of course Lukoil, knew that!).
Yes, West Africa is attracting a lot of industry interest and I think BLVN being considered as takeover candidate as we are presently so cheap. (I note some posters on iii seem to think EA is still being considered - it is a given as simply a rubber-stamping exercise now just as anything else of material significance has to be officially signed by the President). Certainly momentum building up now and SP should re-rate to 70p in short term.
Think a lot of people are taking a stake in bow now. Seriously de risked now with potential cash on hand plus money coming in from production from etinde albeit not for a while yet. Market valuations of oilers rock bottom unless they have some sort of production money coming in
I was interested to see that so called evil knievel famous investor has taken a 200000 stake in bow. This from iii...
3 July blog
I offer the following summary note on Bowleven: “BLVN is capitalised at 39p at £126m. They have just sold two thirds of an asset in Cameroon (political risk) for £147m cash (held in London) keeping the other third for free but valued on the deal basis at £73m.
BLVN already have cash of £10m+, no debt and other assets which are worth whatever but here taken at NIL.
BLVN’s overheads are perhaps £8m p.a.. So, if they fool around, a bidder will emerge and if they do not fool around a bidder will still emerge. There is no evidence that the BoD are crooks although it must be said that they have attracted a torrent of abuse. I am no judge as to whether harsh criticism is in order. In any event, I do not care.
All in all, net assets are £230m+ and, sooner or later, probably sooner, the share price will move up closer to perhaps 70p. Some dream of considerably more.”
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