London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East and have access to Premium Chat. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Copied from ADVFN board, again why is it not that simple.
There's a lot of discussions going on about Consolidation and Placings/Dilution. Consolidation and Placings are entirely different Corporate Actions. So why link them together in the same debate unless it’s done for mischievous reasons. FWIW I think in this case Consolidation is quite likely given it’s already been muted. In so doing I believe the intention is to improve the company’s perception and possibly re-classify the shares to suit other markets along with encouraging Institutional Investment and such like. On the other hand I see no evidence that further equity will be released at or near the same time. Placings can’t always be classed as Dilution in any event. If releasing equity subsequently leads to an increase in value (the Market Cap) in a positive ratio to the increase in the number of shares released then the action must be regarded as Accretion. Not Dilution. Under the current market conditions and potential opportunities I very much doubt any future equity releases will be dilutive. By intention they will be value enhancing and accretive in my view. At least in the short to medium term with growth and increasing shareholder value featuring so highly on the company’s agenda. The reason why the share price is where it is there has been more sellers than buyers since relisting. Simple reasoning and math since the last placing justifies where the share price currently is and supports the fact that there is absolutely nothing untoward going on here. The share price won’t be staying down at this level very much longer in my opinion. Those that disagree should either sell or stay silent until they’ve done their own calculations and are prepared to share them to support their innuendo. The pathetic FUD created here by some with an obvious trolling agenda is less than discrete and hopefully genuine shareholders won’t be taken in by it .
10-1 was never on the cards, he had that on the books already available before the vote
recently to implement an available facility for UP TO 100-1 , If that AJB is correct and an
erroneous release that should have waited until Monday , its clear and concise it is
100-1 and effective 1st October
The why's and what for's will be the only answers that matter, be it 156m shares or confetti
the wonga types can still drag it backward with a rising market cap and falling SP from
further dilution, so why the change NOW ?
The restructure to make any sense at this time should be to attract better financial
support with raises into a rising not wonga falling share
As for the earlier comment all consolidations fall , utter tosh all come back at exactly
the same value, then go which ever way the wind blows
Just the same as here if come the day still nailed down at 0.32p we will return 32p
and the same low Market Cap of £50 million
Then IF there is a placing , when and what for will decide how it is viewed by PI's
and the wider market
My own ideal would be one I have seen before , current shareholders slapped in the face
BUT profits to all , that was consolidation completed after rising on news, the sweethaeart
deal to the new STICKY long term direct equity INVESTOR and off we went
For us being nailed down at that 32p mark has me thinking its possible Arty has cracked it
and got such an Investor on board and will to temper the anger of the consolidation also
release our operational and deep updates first
SP rises to say 40-50p consolidated and bang DEI comes in with a buy in for 33p the 5
day vwap during initial negotiations during mid and late September after conducting
due diligence we are delighted to report the DEI has agreed to take an X% stake in our
company resulting in Y Millions now paid to Copl , We look forwards to a long and
successful association with DEI as we execute our ambitious growth plans
cheers , thanks a lot Arty F.P
No idea why, but it does.
With consolidation the share price always goes down never up.
So far no notification from RBC Canada.
I am with IG, HL and AJ Bell. Only AJ Bell have sent out the corporate notice regarding 100/1 consolidation. We will get more information on Monday.
The big problem with the whole system is that undervalued shares make it easy to raise funds. That's the paradox that leads to the pump and dump cycle and the denial of shareholder value.
Is there any downside for a CEO repeatedly acting to deny value to investors? Even now when there actually is value, to snatch it away posthaste - what I'm asking is, would Art now do a placing to net high-worth comrades and as you say wonga-lenders for tens of millions diluting to a ridiculous degree for high-risk or ill-defined goals. Would there be anything that would give him pause?
On the Canadian forum a poster said:
'@VictoriousSecret Placees don't need value added -- they just need to buy discounted shares at 25 cents or whatever (post consolidation) and sell them for 30 cents. They could give a **** what oil wells were bought with their money. Because they will be gone.
It's only retails like us who are sitting here hoping that the SP will rise.
But the BOD has every incentive to leave the SP nailed to the floor, as they have done, and just keep milking debt and equity markets to fund their next acquisition adventure.
It's not a good look IMO'
Hoping is Hoping it sticks where we are Shaa , they seem to have nailed it down recently
and our MC sits on the cusp of success at £50 where the Real Finacial muscle will be
observing and interested
Dragging it down unless briefly to feed themselves , will not be the message they want to
see still unstable , dropped back below that for many minimum investment £50m criteria
leaving us wide open to Caw-Caw's here we go again with Arty can't help himself routine
He keeps talking a good game and shareholder value , outside of the wonga's and his
mates non have seen any other that we remnants that have been in for many years
fought with it to ave down and gain freebie and ultra low averages on the recovery from
0.05p and some even lower
Now is the time for him to make good on those statements and announce to the whole
audience not just the few insiders that have made money on every move and placing
Got to be somewhere , back in a few hours chat later m8
Consolidation generically on lifestyle and rainbow chasing AIM shares usually a blood bath
and kick in the nuts for holders as for no other purpose than to rinse repeat placings again
and look forward to another consolidation in a year or two these are usually conducted
at rates that result in say a company that was 1.5p dropping to 0.015 doing a 100-1 to get
back to back to 1.5p and placing with the wonga's to death spiral again with continued
Consolidation for the right reasons can be the trigger for a serious rerate new direct INVESTOR/s
as shareHOLDER that will double up as financial partner to assist in company growth, at the
current price our mould is
Attractive to the upper Financial houses and Funds £50m market value assets held worth 4-5
times the MC and potential for serious growth and dividends from a share base of 32p (now)
Initial direct investment of £10m at a sweetheart deal of 32p share having risen on operational
new to say 40-45p
Future funding support by same sticky holder if required down the line , say we are now full
tilt in Wyoming , Essar progressing Nigeria our share price sitting at say £1.50 still only £225m
at current share base, or say £300m if already expanded to 200m share base
Raise £15m via 10 million shares to our supportive INVESTOR less than 10% dilution
That is the difference between a supportive direct equity investor and the rest of the
market stifling wonga lenders who prefer the confetti they can manage and manipulate
with pump and dumps to clear safe profits no matter what the company does
Fingers crossed Arty has pulled a long term financial partner that will also ease the path
for things like taking out CUDA/CNOOC new AQ's Fund Nigeria without massive dilutions
until a balance is achieved between our revenues and capital requirements
For me, if it’s consolidation and no news then markets will use it an excuse to take it down but if we get a positive RNS news wise then I expect the opposite.
Expecting 100:1 to put this on the map and stop the mighty churn.
Why buy CUDA's interest when it may eventually get cheaper?
Make them pay their way and add it to the bill....
Time to look at self funding options as income streams come on line.
Looking forward to that nice Xmas bonus when this eventually takes off.
RNA message via the stock exchange rns news wire you would expect first thing Monday
saying its real or at minimum a
we have noted media speculation ...............etc
but we are talking go his own sweet way Arty, a lot of the additional stuff he reported in
Canada only , could have been sent over rns also during the suspension , like many other
companies I have been in , the comms and advice abysmal from day 1 have been told
we will not suspend , a first in decades of rto's for me rest all suspended with initial
Then suspended then took 3 months to a year to do the deal , followed by 3-6 weeks for the paperwork
we went suspended AFTER the rto completed and then spent 5 months to get the paperwork sorted
as read in previous post in a good few over time with YJ as pr side and a bloody waste of space
on all of them , who ever his additional advisors are appear to have sever timing issues lol
We will probably be informed this Monday via RNS of any consolation.
Quite odd the brokers released business news without company RNS before hand.
But I am with IG and HL and they have not told me nor have I recieved an RNS from the company?
pretty safe to say the consolidation is real , the message holders have got is it IS 100-1
and effective 1st October
The vote that was taken was only to put a possible UP TO 100-1 Consolidation on the books
that could be 25-1 50-1 or the max with no definitive if what when to proceed
The AJB reads pretty definitive
Why being done now is the words we need to hear, options on that one, yes a placing
but could also be just to make more attractive to a real shareHOLDER for investement
via direct equity which would be brilliant if he has pulled it off
Yes it would still be dilution but limited and a core investor that will make the share
sticky and usually attract other partners that will help Market Growth not hinder it
Until Arty shines a light on we mushrooms with the meat and bones of why now
and for what purpose will we know if it should be looked on with favour by the
market as value accretive or just another here we go again
Hoping is Hoping the restructure is for a better class of deal leading to a substantial
rise and future funding by higher price funding for lower volume shares becomes the
order of the day , to pay for operational requirements and the likes of taking out CUDA
until our expected future revenues not only offset debt but make Copl self funding
If consolidation does get confirmed then why are people so fixated on 100-1? If Art goes for 100-1 then we end up with 165,000,000 shares in issue. Seems like a small number to me for an oiler. Better I say at a lower consolidation level to get Canada away from CAD $0.005 trading and London into the 20p’s.
Why buy out all of CUDA and their 28%? I say it is better to leave them with something and go for just 18%. Lower costs and cash out to COPL. Keeps them alive so we can do a deal later on but has them paying a nice price for the use of our pipeline thereby subsidising COPL oil flows. If we get the 15% CNOOC as well then all will be nice.
Will we ever hear about any new proper investor anyway. Can anyone tell me the name of the HNWI guy and the name of the $40m+$20m loan company? No one can, because it is ‘SENSITIVE’ info!!! A proper investor please Art.
Still thinking that the TWO near 5% holdings in COPL are possibly CNOOC International holdings. They took a 15% holding in the acreage before so why not take a 10% holding in a Canadian company. Could get their Wyoming exposure back and also have a free run on the great potential of OPL226. Sounds like a nice fit to me.
I feel some buttons were pushed inside individuals by the word PLACEMENT.
A few days ago lots were saying we need consolidation.
Personally I am all for consolidation but as you say Evans, let’s hear it first officially.
Neither copl or ajvell have addressed questions regarding it
It's a proper xfact of incompetence.
Let's see who the winner is.
Also what are the consequences of Ajbell releasing this info early if true?
Should be an RNS one way or the other on Monday.
Can i just remind people there has been no official announcement of either a Placement or consolidation.
The method of it just makes me think he lacks management skills and is someone who isn't in charge of their brief.
Not sure I view this moment anything but that at the moment. The fact neither have addressed it is just farce.
It will make people think he is upto devious things, just cos that's what these moments make people think, true or not.
Stops PIs discussing the great field performance ' I would buy more, but...'
He desperately needs someone to lead Comms and focus on his strengths. IAlex Higgins is managing the bar.
AM could have consolidated at any time since relist.
He chose now for a reason - so whats that reason?
Most of the big sells gone now, volume decreasing could have been the trigger.
surely the SP doesnt matter in consolidation, only if there is dilution following so would benefit from a rising trend
He knew there would be churn, didnt expect it to last this long or no value whatsoever assigned to the MC, nothing it seems is priced in or believed.
So II roadshow, no big buys for a while indicating II joining following this - so either the asset is not as enticing , AM sales skills not as great or they perceive risk of further churn/not willing to join at 0.3p as lokan outlined. The only solution to that is consolidate.
Less shares in issue sloshing around, those being more tightly held with horizons much longer than a trading afternoon. Positions held for the company strategy to evolve, all is on track so far, better than expected performance in MF, with the Deep discovery being the cherry on top.
If Deep has lower horizons to exploit, more likely also BFU and CC have aswell - all adds to potential reserves in time and what ultimately the company may be valued by.
Consolidation is what it is, leaked on a Friday not ideal but it wasnt a dilution notice - there may not be dilution on the back of this, AM needs to get the II on board and move up in value based on what he has got right now - not stall the rerate by immediate dilution.
He has about $20m-$30m in bank plus accordian - more than enough for the CUDA WI.
Based on MF curve, he could have 7000 bopd gross by Spring 2022, revenue pays off debt plus allows exploration and infill drilling - there is no rush needing dilution now, much better for next stage of development following this foundation in place and MC true value gained, dare I say a PE as per COPL peers, PE 25 average in USA O&G sector.
Come on Arty give us a red dot Monday that will raise a cheer in London you
can hear in Canada
something that screams DIRECT equity investor not DUMPER coming
With some price moving operational news thrown in , have no problem with you
getting us 30-50% higher, then giving that as a discount to a solid D.E Investor
and core ShareHOLDER who's name alone will cause a riot and give them and
us a 200-400% rerate lol