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Shame on the Australian authorities for not launching a criminal investigation. Not sure I will invest in Aussi activities again
I had a letter from my broker yesterday, looks like that is it. What I do not understand is how can they pull the plug and yet still keep mining?
I hope his next dump is a porcupine.
All shareholders will lose all their money - including me - the bonds will reclaim whatever they can as they now own the assets and the assets are in administration to protect from creditors.
Shareholders rank last in the list so we wont receive anything, not a chance.
Even if the company relists again it will be with a fresh capital table and different equity, so write it off.
Everyone said David Lenigas was dodgy but i though he was running a decent strategy - its only the corporate finance team that really know the picture.
£5k i will never see again.
So Bugerov can we believe what they put forth in their pitch to us retail investors?
"The bond is asset-backed and has security over mining
assets valued at AU$286m. The security is governed by and
enforceable under English law and assets are pledged to the
trustee, GRM Law Trustees Ltd, London. The bondholders have
security over assets"
Can we trust what they told us in their pitch (a matter of public record)? It is very specific. Indeed, it will be very interesting to see how this is resolved. To me if you put 100% apple juice on a package, well, there's got to be apple juice in the package.
BTW, AU286$m is a very large number, one wonders where it came from.
If the trading company's are viable they can be sold off with any proceeds coming to NQ that probably bought shares in them with borrowed money or raises. But I doubt if NQ will get sufficient funds to pay down its debt let alone anything for investors.
I'm in the same position as you Nickkdog. I was looking forward to the bonds maturing next Feb and getting the cash back. We'll see how this is resolved.
And what of those who have invested in this company by buying bonds? Sold through 3rd parties as "investment grade" and "Senior secured" mostly due 2/2022. I see this as a long process of liquidation and, one would think, at least partial compensation. Whatever the case, it looks like barring refinance profit generating assets will need to be sold.
I am amused by your false optimism. Our money is GONE
The main reason for thinking there was hope here was Lenigas confirming the upcoming listing on the main market of the LSE was progressing but alarm bells should have rung when On 26 July with a private placing to raise a paltry £35000
So now a complete write off and shareholders wiped out
Yep I fear that liquidators will be phoned within the month. I am not sure if at best Leni has miss sold the company or worse simply lied about the status of the business when raising recent equity. I expect he will sleep at nights, care little about his mismanagement and no doubt write a book.
My own costly fault as I should have investigated more into the company especially with Lenigas the chairman having only 20000 shares and foolishly topped up just before suspension
Every single company I have invested in which went into administration the shareholders have been wiped out and unfortunately this will be no different
Pip. Most of the BOD have gone - probably frustrated or perhaps embarrassed by their Chairman and his over optimistic broadcasts. Administrators normally take on their role to manage a company with a view to keep it running and at the same time looking to package the assets for sale for the benefit of creditors and in particular lenders. The owners, you me and other shareholders are always left with nowt and creditors getting 5p in the £.
Take a journey down memory lane and look again at the interviews Leni gave. Anyone would be forgiven for being sucked in to his very positive presentations. He talked a lot, drew a large salary and bought a few shares. Clearly a Chairman that did not drill down into the books and continued to have placements to pay for what? I doubt if we will hear from him again.
Why do you say lights out? i hope you find a buyer and lose out when they re list. Have some faith. Admin is to protect whilst they agree a deal like they said on RNS. I said admin would be next to give them time to agree. the debt is 90m from the bond its not running operations that has an issue. In order to list on LSE they have to reduce the debt and get the interest rates down. Give the board some space and quit the negativity
Lights out for all investors - lets hope there is enough in the kitty to pay the on going wages and suppliers. Leni I feel has been less than honest when it has come to his interviews and if he had managed the business properly he would have divested some of the assets to reduce debts. If anyone is confident the shares will have value I have a few to sell.
Do you even know what admin means? Its to protect investors and company. Admin doesnt mean the end. They have clearly said they are looking to refinance a deal and they managed 55m I think they can manage 90m. Also most mines carry huge debts its normal. But this also comes with huge assets long term. Soon as this is sorted they can list on LSE as planned and investor confidence will return with a proper share up lift.
new RNS. Board been unable to refinance . Administrators appointed. Company gone into administartion.Dire news and no point in saying anything else
Third paragraph says the there is some doubt in the ability of the company to continue as a going concern without a restructuring so knowing this the BOD would have been obliged to suspend so as not to incur any further liabilities they could not meet. I wonder what the 55m has been secured on. We will see but it may take time.
I think the problem is that it is hard to have faith in a board that quit. Last count was 5 have left. A bit question is why? Also, they have been trying to refinance debt for some time, nearly immediately after activating the 55 mill facility from ING.
To me it looks like a very nice, profitable facility at Hellyer and an over eager expansion plan that they can't now pay for. I hope they can refinance otherwise they will be selling off /restructuring to pay the bond holders.
What an earth are you on about?
They requested to suspend not the other way around?? They are in the process of arranging re financing to reduce the interest rates not make it more. They already secured 55m with ING and the rest is 90m. All mines have big debts but why is everyone always so negative. They have 1b in gold at Beaconsfield and huge Nickel resources. Have some faith in the board and I am sure we will see a positive outcome.
If this follows the usual route we could hear very little. Workers will want paying as will suppliers. Interest will bite on the lending and any refinancing will come at a heavy price. We are locked in so can do nothing but wait and if we can servive then the dilution will be huge. Hope for the best and expect the worst.
Does anyone have anymore news of the situation at NQ?
I am affraid we have to fear the worst. Over trading I suspect and they have always been raising cash to fund day to day expenses rather than investing in the business. I don't have £80k invested nor does DL but no doubt he has drawn his salary. Debt is high and so is the interest, just have a look at the recent published figures. If we servive there will be massive dilution and the sale of assets. Not good.
Sam - I have over 80k in NQ. You really think the board want to sink the company? Post like that which in the past have driven the sp down. NQ mining operations are solid and continue to make profits. If they have offers on the table for refinance its about picking the correct one so all parties are happy. Have you spoken with the board and did they suggest its not viable? NO
I do not think they new the bond holders would have issues with the new structure and had they been then I think accounts and refinance would be done now. It's not an ideal situation but Aquis is not the worry at the moment. NQ requested to suspend not the other way around so don't get things twisted.
Why not just get behind the current board and NQ and lets all do what we can to support them.
LOST THE LOT ? Board clearly feel company is not viable. Looks like I have lost £800 . Thank god not more