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At time of posting £140.00 per share. Do as many calcs as you want but that is what the shares are currently worth, simples.
They are changing hands at that price so thats what they are worth!!!!!!!! My gut feeling is the biggest shareholder and his family will take us out at about 2 quid. DYOR.
Ive seen a number of posts across this and other boards that rdh cant take this out below 27p buy in £4.05 new money. Dont know where it comes from (prospectus) but been quoted a lot. Really welcome view of if its true or not ? As would make me happier.
Thompson in practice yes but the whole point of boards is for investors to figure out if the market is right or wronh. Consnsus view seems to be fall over done
Banburyboy
The Takeover Code states ....
"When a person or group acquires interests in shares carrying 30% or more of the voting rights of a company, they must make a cash offer to all other shareholders at the highest price paid in the 12 months before the offer was announced (30% of the voting rights of a company is treated by the Code as the level at which effective control is obtained)."
https://www.thetakeoverpanel.org.uk/the-code/download-code
This is a useful article too
https://www.pinsentmasons.com/out-law/analysis/takeover-code-financial-distress
AH PC you beat me to it.
Yeah so we are OK until next October...
I'm sure he's buying 1 share a week at the moment!
Also, remember when watching the DE Haan %age, he triggers at 30-0.36% because he is deemed to be in concert with his old mucker who has that %age.
(4) Under the Takeover Code, Roger De Haan is considered to be acting in concert with Andrew Deacon who has an interest in
4,000,000 shares in the Company (representing 0.36% of the total voting rights). Please see paragraph 16.1 of Part XIX"
In the H1 report the shareholder equity value is stated as £556.4m which divided by 139,594,769 shares ..equates to 398p a share ...at present the share price is 138.20p .... ( £718m booked as goodwill , so take that as you see fit )
But even if you marked down some goodwill and the £60m cash on hand was wasted...the equity would still no doubt be more than 138p a share ..IMO.....
There is no short term loans due as that was paid off with the fund raise , and they have £60m+ cash on hand and a £100m RCF to drawdown if required
Thanks pokerchips so they have around 60 million in cash in the bank at present including the 140 million plus the existing cash as of feb 2020 of 95 million.
Are long term borrowings around 450 million now then instead of 600 million? Many thanks
Fantastic poker chips you really know your stuff. Think that regulation provides a lot of security as we will have sight of finals and 2021 interims by the time the period lapses. And more importantly a year to get cruising again.
Interim Results RNS
“ The equity raise is intended to improve the Group's financial position by reducing the term loan from £134m to £70m and repaying the drawn £40m of revolving credit facility, with the balance of proceeds raised increasing available cash by around £36m.”
All good news of course but the £740M is now £36M.
"but the £740M is now £36M."
sorry RoxburyHouse ..but what does that mean ?
#£140M Lol Confusing myself now.
I do genuinely believe all this 5 for 9 and 15 Consolidation is just dreamt up to confuse everybody I really do.
Sorry about that. This should make more sense.
“ The £140M equity raise is intended to improve the Group's financial position by reducing the term loan from £134m to £70m and repaying the drawn £40m of revolving credit facility, with the balance of proceeds raised increasing available cash by around £36m.”
BTFAITH
"so they have around £60 million in cash in the bank at present" - CORRECT (£28.8m at H1 + £36.4m net fund raise )
...including the £140 million - CORRECT ( £100m went on short term debt repayment)
Are long term borrowings around 450 million now then instead of 600 million? - CORRECT - £454.8m
Corporate Bond of £250m due May 2024
Ship loan of £234.8m due June 2031
Term Loan of £70m - due May 2023
They took delivery of the second ship in the last 30 days, so you can add another 275m to the credit side of the balance sheet and 330m to the debit side.
RoxburyHouse
Personally I wouldn't get too bogged down in the mechanics of the consolidation and fund raise or you are in danger of making it all more complicated than necessary.
I just measure everything against the H1 report myself and that is that ... the current number of shares and the balance sheet figures are all that I now need , really...and mindful now of the travel cash burn (£6-8m per month ) and how long that might last, which is a key figure to bake into the figures
The share price is very sentiment based at present and overly sensitive to current media data, for obvious reasons ...IMO
zccax77
yes...now we have to add in the second ship into the figures we have ...good point...but again this is long term finance
Thanks for that reminder Pokerchips and I agree. I do tend to get bogged down on the past sometimes it just frustrates me when I see messages stating you simply divide the current share price by 15 to get the old as if the share dilution of an additional 900M shares never took place!! Increased my holding again today.
RoxburyHouse
Share dilution only occurred if a shareholder did not maintain the same % ownership of the company after the fund raise as before ...if they hold the same % now as before the fund raise they have suffered no share dilution.... now..whether the capital value of their investment as fallen as a result of the large number of extra shares being issued and priced at 12p (old) and the market share price reacting to that, well that is a different story..that is capital erosion, but it isn't dilution...
Your comment about dilution, Pokerchips: I agree with you, although there are some on this board, I know, who would disagree. In my case, in order to avoid any dilution at all, I simply took up my full allocation of the 972m-odd new shares issued.
The SP dropped slightly by a predictable amount when the shares went ex-offer - which of course you can claw back by taking up your full allocation of the discounted shares - but the more recent precipitous drop from c180p was not directly attributable to the capital raise, and is more difficult to explain. All I know is, as a result, I along with many others have not been able to avoid any "capital erosion" - for the time being.
Pokerchips
Not true I’m afraid.
Every single person has been diluted by 17% if they took their full allocation of shares issued and considerably more (60+%) if not.
This is because “Sir Rogers” Firm Placing of 348,583,026 (almost 350Million) shares are new.
Try not to shoot the messenger guys I’m on your side but all of this has been hidden intentionally by the clever City people!
Hi Pianista I can explain the reason for that - with the help of the table.
You are not going to like what I’m going to say but Selecta will vouch for me I’m a good guy!
Ok
The Mcap was averaging around £160M for the couple of months prior to the Dilution.
At the new £1.80 the Mcap was £250M which the Market clearly considered too high and is walking it down IMO back to what it was before the RI which is around the £1.20 - £1.30 mark which I think is the bottom.
Hope this helps.
This share will explode with the slightest bit of good news which is why I am loading up.
Hi Rox
You say that the clever City people tried to hide the dilution. However the facts relating to dilution were set out in the prospectus as repeated below. The figures provided in the prospectus are correct and differ from those that you posted. I am not trying to be argumentative but only to help with the facts.
Dilution
If a Qualifying Shareholder who is not a Placee does not take up any of his or her Open Offer Entitlement, such Qualifying Shareholder’s holding, as a percentage of the Enlarged Share Capital, will be diluted by 46.4% as a result of the Capital Raising.
If a Qualifying Shareholder who is not a Placee takes up his or her Open Offer Entitlements in full, such Qualifying Shareholder’s holding, as a percentage of the Enlarged Share Capital, will be diluted by 16.6% as a result of the Firm Placing.
I think we are are all aware that there was dilution of our original holdings. This is an obvious consequence of a share placing. The fact that the placee paid over the odds for a large slice of the Company was a benefit to the Company and should be also a benefit to other shareholders IMHO. They own a smaller proportion of the pie (dilution) but the pie is bigger by virtue of the £140m capital raised.
Rox - the Firm Placing to Sir R was only 224m shares (not 350m), for which he paid 27p, ie well above the SP at the time. This was not dilutive therefore, it was the opposite of dilutive ("concentrative"?). Although it gave existing shareholders a smaller % of the (increased) number of shares, the value of the company increased by £60m, ie the money he put in. The net result of these two factors was an increase in the value of existing shareholders' holdings.
Batfasted - I see you made a similar point to my last post at the end of your last post.
Pianista
Sir Roger De Haan subscribed for 348,583,026 New Shares in the Firm Placing and is also subscribed for 204,250,307 New Shares in the Placing and Open Offer, and, as a result, from Admission holds 26.40 per cent. of the Enlarged Share Capital.
Applications was made for the 971,918,208 New Shares (pre consolidation)
Ref RNS Number : 8851A 02 October 2020