Utilico Insights - Jacqueline Broers assesses why Vietnam could be the darling of Asia for investors. Watch the full video here.
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Thanks mrtibbles for the explanation however according to my understand law 32 will never arise as it is against all democratic systems, in any country you will be able to sue a government for a decision was taken even a contracts that doesn't apply to the country constitution. That is why Law 32 can't be applied in a democratic society. Ask any lawyer will tell you the same. Otherwise it will be a communist country. Have that law in US, Canada, UK or any where else will be a revolution waiting.
Also, if the new law apply or not that is no one can assure us, I have asked 10 times by emails and no answer to some of my Q's.
GLTA,
Dan
The new Egyptian mining laws will not affect the existing Sukari agreement in any way.
The existing Sukari agreement is enshrined in Egyptian law.
The existing 160km licence was never in dispute Centamin have presented the appropriate documents and these have been acknowledged and accepted the court.
The court case remains on hold until the commissioners make a decision on Law 32.
if Law32 is not ratified then the court case can reconvene for a ruing
I have posted all this on several occasions previously.
MrBond46, there is no dispute about the 160 sq km as you say and again the case is close and will not open again.last presentation it was mentioned the work with on other areas within the 160sq km. If there any issue El-Raghy will not mention it so the court case is gone. Please guys check the presentation page 8.
GLTA,
Dan
I have said the same,as you know Mr T..
As I see it .any more in the 160 sq km is still under dispute with the law and part of 50 /50 with EMRA.
It takes new licence agreement outside that area for the new law to apply.
Unless it is possible to give up and re-negotiate the present licence for the disputed 157 sq km.
IMHO
Hi Cowichan,
Thank you for posting that piece, I have read it many times before , however all investors and company directors need to be aware of it and reread it n a regular basis to remind them of the reasons when it is very prudent to pursue a share buy back policy!
As you are aware like others I have written to Centamin many times suggesting that the board should consider a share buy back to bolster the share value, promote market confidence and protect the company from the recent carpet bagging attempt by Endeavour.
Andrew Pardey was always adamantly against any share buy back for whatever reasons.
I know like me most retail investees are aware that had that Endeavour take over been successful the dividends would have ceased (never to be reinstated) and Centamin would have been asset stripped for none other than to prop up Endeavour, enrich the Endeavour board and in the short term cover up the appalling errors of judgement that some investment funds have made on behalf of their clients.
Make no mistake if the Endeavour takeover had succeeded the shares in the newly created company would have risen in the short term, this was all part of the calculated strategy put in place by Endeavour and co-conspirators (ETF funds, certain brokers,analysts,former senior management) to enable them to divert Centamin funds to their best advantage whilst continuing to feed the market with exaggerated and in truth unrealistic and undeliverable forward performance predictions, obviously when it became apparent to the market that the promised results were not going to materialise then the new companies share holders (us)would have suffered the consequences!
Cowichan, obviously you are right as W.B. But when I read last statement ,
“The best use of cash, if there is not another good use for it in business, if the stock is underpriced is a repurchase.”
IMHO, and I am guessing as what was said by Mr. El-Raghy he is waiting for the new law to go for other mining business in Egypt, I assume he will start or buy under a new miner with the amount of cash on bank and to be distributed to the shareholder with shares for the new company.
Unless the new law will apply for Centamin then just build a new mine in far distance from the current and double the production. 160 KM is huge land don’t forget that another one don’t have any money and have the gold to be mind such Aton resources....
Also if nothing on their plate I would go for buyback. But why they didn’t when was at .90!!!!
GLTA,
Dan
Basically, if you believe a stock is undervalued (and based on Centamin's output growth potential, reserve growth potential, dividend growth potential I believe we are undervalued ) you buy (to cancel - obviously) A rising share price adds confidence, builds momentum and
encourages more investors to buy your stock — thus the increase in popularity is what grows market cap.
------------------------------>>
Buybacks, when done right, are a value investment
Unlike dividends, which are typically implemented with the understanding that they will always be paid to shareholders unless there is a dramatic change in a business’s situation, buybacks offer management the opportunity to do what Buffett likes best: buy undervalued stocks.
In discussing why opportunistic buybacks are better than perennial dividends, Buffett told CNBC in February 2018, “The best chance to deploy capital is when things are going down.”
That echoes what he said this week on CNBC about a 10 percent decline in Apple being a good thing, because it means management would likely buy more stock.
In a 2015 interview with CNBC, Buffett said, “Many management are just deciding they’re gonna buy X billions over X months. That’s no way to buy things. You buy when selling for less than they are worth. ... It’s not a complicated equation to figure out whether it is beneficial or not to repurchase shares.”
“Anytime you can buy stock for less than it’s worth, it’s advantageous to the continuing shareholders ... but it should be by a demonstrable margin,” he said.
Buffett’s comments this week echo what he has said over the years about the powerful effect buybacks have on stock ownership. As far back as the 1996 Berkshire annual meeting, Buffett explained one of the greatest benefits of stock buybacks to shareholders: You don’t need to spend a dime to increase your percentage of shares held.
Buffett said back in 1996 that he has “enormous respect for the power of a really outstanding business. And we recognize how scarce they are. And if a management wishes to further intensify our ownership by repurchasing shares, we applaud.”
Berkshire vice chairman Charlie Munger said mergers often lead to a decrease in value. “Generally speaking in America, when companies go out hell-bent to buy other companies, they do — they’re worth less after the transaction is made than they were before... I think that a great many places have nothing better to do than to buy in their own stock, and nothing as advantageous to do as they can — as buying in their own stock.”
“We’d rather have a company whose stock is undervalued buying back stock but the trouble is if you pay a dividend you’re not going to eliminate it,” Buffett said, using Apple as an example.
“The best use of cash, if there is not another good use for it in business, if the stock is underpriced is a repurchase.”
https://www.cnbc.com/2018/08/31/warren-buffett-explains-the-enduring-power-of-stock-buybacks.html