The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
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More buying opportunities if that happens.
Looks as if the vastly inflated stock market bubble has finally burst (and Putin has yet to invade the Ukraine!) .It will drag MTL down with it so we still have farther to fall before a bounce back in a few weeks or months. Batten down the hatches boys & girls.
Those with nous were buying late on Friday, some for as little as 1.38. Look for a bounce Monday morning. GLA LTHs.
Great post Lee.
The Q4 results were excellent, above forecast predictions, and selling was not because they were bad, the sellers haven’t patience, or are trying to trade the stock, those new to investing in MTL need to understand that MTL cleared $7.3 million off the debt after all costs and interest, on a lower priced golds value than current, the Senior loan has about $23 million to clear, and that’s possible by 2022 Q2, 100% a definite by 2022 Q3, we generate at least $10 million clear per quarter, and have forecasted similar results for 2022, but this is the main point, we have had a long period of high interest and it’s set to end in a few quarters, once we pay off the last of the Senior loan outstanding ($23 million) then the Mezzanine loan that’s accumulated interest at 15% and hasn’t had a cent reduce to date, becomes the new Senior loan and drops to 7%, and that’s where we can really hammer down that loan as our interest payment shrink by about 60% from todays numbers, efficiency improved to 89% in these latest results, not a mention on these boards, how good is that? and MTL long term investors have seen these continued improvements with every quarter for the last 2 years, and why some hold as much as 25 million shares, many with 5 million plus, because the hard work will pay dividends (literally) in the next 2 to 3 years, so buying in at the low levels we’ve had had for a while is investing for a huge gain down the road, and those looking for instant gratification should look elsewhere, as a mining stock takes time, some have been here from the start, and the rewards are only a small amount of time away by comparison, if you can’t wait, sell up, they get soaked up every time by the long term holders, most who have massively increased their holdings over the last 2 years, me included, MTLs value per share will 7 fold from here in 2 to 3 years, AAZ is another Gold Producer that had the same journey, and it’s value was as low as 4p, go look at the charts, I bet many let them go when the were a few pence, only to look a few year later later with disbelief, those without patience. GLA (a happy long termer viewpoint)
Solo,
The confusion is caused by the loose accounting term Net Debt. This is not the real debt that the company owes.
Net Debt = Real Debt - Cash in Hand.
So if a company owed £500m, but had £200m cash, their Net Debt would be £300m. Looks so much better on the books than £500m doesn't it?
Hey cuckold (lmao) Yeah, Ill get a grip and collect my toys I chucked out hey, especially as its now down 12%... Thanks for the sounds advice... As I said, this is all total BS... Nothing against the great performance of MLT... I am just sick of the stocks and shares BS world... Absolutely zero confidence in investing when so few can manipulate so many... People get fleeced every single day by this rubbish while other people get rich. I cant wait to get my money out, I just pray that I get back what I put in...
This might help, posted on ADVFN:
$39.7m PAID OFF THE SENIOR DEBT so leaving about $23m left to pay before the interest rate on the mezzanine debt is more than halved to 7%. This should be completed within the next two quarters showing that the $66.6m debt plus interest will have been paid off in 7 quarters. This will leave about $84m of mezzanine debt which will finally be starting to get paid off. Should take about another 7 quarters before being finally debt free. Guidance for 2021 production was 64,000 to 69,000 oz which was exceeded. Guidance for 2022 production has increased from 2021 guidance to 67,000 to 71,000 oz. Production is expected to peak at 80,000 oz during 2024 as per the brokers note and expect an average annual production of 74,000 oz through to 2026. Outstanding debt should be south of $65m on January 1st 2023 and debt free by 1st January 2024.
I thought also that interest payments is a possibility but this shouldnt class as a debt repayment
Believe it’s the interest as it’s fairly high.
I am also interested in knowing the debt situation. Update not very clear.
Net debt at 31 Dec 2020: 120 mil.
Senior debt repayment 2021: 39 mil.
Net debt at 31 Dec 2021 given as 98 mil. Doesnñt make sense.
Unless
Start of Q3 debt was 106.2 mil. Q3 senior debt repayment 7.3 mil which then takes us to the 98.9 mil. But that would be the start of Q4. Not the end.
Unless the 11.8 mil Q4 debt repayment is reducing the 98.9 mil to 87.1 which would bring closer to the 39 mil annual debt repayment. Thoughts anyone?
* exceeded by 33%
t2 - approx $23.5m outstanding on the senior debt facility. Two more payments of approx $12m should see the senior debt cleared.
Under the terms of the refinance agreement there are no fixed payment schedules. MTL were aiming to pay $30m during 2021 and exceeded this by 25%
The tax is an additional 10% on what MTL are currently paying when the FTAA kicks in.
Maintaining steady state production through another difficult year.
To quote DB during the recent Investor Presentation "We're laser focused on paying the debt" - IMO the senior debt facility should be paid off 2022H1. Interest on mezzanine debt facility then drops to 7%. Approx $84m to payback with $1.4m interest for 2022Q3 and reducing in each subsequent quarter. Two x $12m payments 2022H2 and $63m outstanding. Game on folks.
I agree Jim. All these short termers are doing is knocking the price down for those who can see further than their nose. I'm looking for the next 1.50 to buy more.
Sorry that should be "sub $100m moment"
We have dreamed of the sub $100 debt moment for a long time. Bowden's pragmatic approach to RNS's rather than exaggerating RNS's from other companies doesn't get "everyone" exitied.
But I am Bowden is the best thing that has happened to this company and his determination to succeed and ability to get his team alongside him has to be admired
I'm sure that those who were in at a lower price and the day traders have decided to take their money but I'm sure those of us who can see what's going on will stick with this stock.
We may have another shock to the price when it comes to paying tax but in the meantime and afterwards, this share is only going up and heading towards a dividend.
I'm in
Go Darren, you and your team are doing an amazing job
What rumours were they ???
Think the update was more or less exactly as expected. The share has only been trading for 3 hours since the update and you are throwing your toys out. Get a grip.
Well done Mr Bowden and your team for yet another quarters excellent work keeping us LTH on track for further gains.
"· Record gold sales in FY2021 of 72,447 ounces (FY2020: 68,510 ounces).
· Record gold sale proceeds in FY2021 of US$129.8 million (FY2020: US$122.1 million)."
And the share price goes down 5% - Just shows what a BS world stocks and shares are... I cannot wait to get to a position where I can pull my money out of this shower and invest in something that isn't a complete farce. Not against MTL, great work guys, just this BS world of people making money out of a BS system... At the expense of others
Buy the rumour sell the news... I hear this all the time... What complete bonkers BS. No wonder this world is so messed up so much greed and manipulation everywhere.