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Canaccord indicated their address as Blackpool on the TR-1, so they are operating through a UK subsidiary. It is, therefore a UK-based investor investing in a UK-based company.
Canaccord reported a change in holdings in D4t4 from 15.9253% to 16.0025% yesterday, so they may be more diligent in reporting changes than some expect.
https://www.lse.co.uk/rns/D4T4/holdings-in-company-v5jjwsrzyzvlzr6.html
I can tell you from experience that the overseas II will not be considering any UK requirements from a TR-1 perspective. They may have some form of local legal presence, but they will be adhering to their known processes. I truly believe that Canaccord will be declaring TR-1 on 5% changes, not on 1% changes. We will see in the coming days and weeks.
One has to remember that this II is providing funds to subscribers, they are not some local UK player like Hargreaves Lansdown operating a nominees setup. They are offering wealth management, i.e. invest x with us and we will aim to return you x + %. For Canaccord to attract and retain their customers, they will need to deliver solid returns; I recall Woodford having a rather bad experience of investors running for the hills, and then the knock on effect that it had on their business.
Canaccord cannot afford to make slip ups, their investors will have high expectations. Any and all stock picks will be scrutinised by senior management and a business case will need to be presented. These guys are no some small bit part players, they are a very serious and large organisation, and their wealth management managers will be on some serious bonuses linked to performance.
I'm not yet invested, but there are guys and gals at Canaccord that have a major % of their annual remuneration on the line. They've picked UKOG as a stock to hold. I can only assume that the business case is a strong one and that they have a positive outlook on the SP. Their business case and investment strategy will certainly have a set of scenarios mapped out, worst case, expected, best case, etc. Each of which will have a buy/sell plan. Lets see what happens, if they accumulate more, then I will be putting in a serious chunk of cash myself. These guys do research that is far beyond what I can do.
Until then, enjoy the weekend. I'll raise a glass of my favourite red to all. Catch up early next week, as I dont do weekends on chat boards.
On this point
scallywag3 is incorrect
and ocelot is correct.
CANACCORD are the person, shareholder or vote holder. Their country of residence is irrelevant.
UKOG are the issuer of shares. They are UK registered. = UK issuer.
Therefore by default the 3% lower threshold applies to all shareholders, including shareholders that reside outside the UK like CANACCORD.
However there are exceptions, such as market makers 10%, and investment firms 5%, and others who are not themselves 'interested share owners' but are providing a service to many clients or to the market.
The exception is not based on the country of residence of the shareholder.
CANACCORD might qualify for one of the exceptions, in which case scallywag3 would be correct in saying that the 5% threshold applies to CANACCORD.
https://www.handbook.fca.org.uk/handbook/DTR/5.pdf
05-Jun-20 16:37:48 0.206 30,000,000 Buy*
A person ( Canaccord) notifies the issuer of its shares it holds UKOG with a TR1 UKOG then issue a RNS to the market.
A person or company residing in the UK have a 3%+1 notification and those outside the UK are 5% + 5%
my interpretation.
ATB.
A person must notify the issuer of the percentage of its voting rights he holds as shareholder ...
How can it be the issuer of the RNS who needs to be notified?
10 Billion shares in issue by August!
Don't think so ocelot. You are then saying every other country in the world is 5% while we alone are 3% + 1
"issuer" refers to the issuer of shares, UKOG.
Canaccord are a non UK issuer of a TR1
Aperson must notify the issuer of the percentage of its voting rights he holds as shareholder or holds or is deemed to hold through his direct or indirect holding of financial instruments falling within DTR 5.3.1R (1) (or a combination of such holdings) if the percentage of those voting rights:
(1) reaches, exceeds or falls below 3%, 4%, 5%, 6%, 7%, 8%, 9%, 10% and each 1% threshold thereafter up to 100% (or in the case of a non-UK issuer on the basis of thresholds at 5%, 10%, 15%, 20%, 25%, 30%, 50% and 75%) as a result of an acquisition or disposal of shares
https://www.handbook.fca.org.uk/handbook/DTR/5/1.html
Matt,
the TR1 level is 3% for UK issued shares and in 1% steps above that. If Canaccord are buying they would also have to declare when going past 6%.
I think you'll find it's the UK arm (wealth management) that are holding the shares from the TR1, although the ultimate controlling company is in Canada - but that makes no difference regarding TR1 levels as UKOG are a UK plc and it's the issuer not the holder - for obvious reasons - that counts..
But a nice story, let's hope it comes true, but almost all speculation and wrong about the levels TR1 have, or should in the case of Tellurian, to be issued. Canaccord I expect to be far more on the ball.
as for buy/sell with WH Ireland awash with shares to place the 'big players' won't be buying in the market.
When the deal is done PW well services will also have in excess of 130,000,000 shares (at 0.21p VWAP for £275,000, 50% of the initial payment) which they may keep or sell - they might want to start replacing equipment. UKOG will have to RNS the issue of the shares - but they get no discount, maybe the price was inflated (last placing of £1,275,000 was to do much the same, if not a bit more) so they could sell for less.
But someone was supplying the demand yesterday and the finger must be pointed at forward sellers from this placing, Canaccord could even be selling their previous issue and replacing with this one - which wouldn't be forward selling.
Good thoughts new poster Matt Carter.
Keep an eye on Canacord and please keep posting your sums on their activity regarding UKOG.
They might even take the full 2.1bln in this case giving them a furhter 19% holding..... that will be interesting!
To correct my poor typing skills in the post at 13.38:
If there is no TR-1 by the 17th June showing a reduction below 5%, then Canaccord will certainly have picked up more.
And in response to the BUY v SELL discussion. The big boys will buy over several days if necessary to keep the SP down to a level that they are happy with. I don't see a big player buying a huge chunk in one day.
Looking at the TR-1 from Canaccord, they took up 5.4151% of shares back on 1st May, which was covered in the RNS on the 5th May. With the extra 2.1 billion shares going into issue, probably around the 10th June, then the Canaccord holding will drop below 5%, meaning that they would have to issue a TR-1 to show their holding being below 5%.
I know very little about Canaccord apart from what is published on their web-site, and I've only spent 10 minutes looking at that. But they do look like a fairly serious outfit and Wealth Management is their forte.
I think they took over 5% to make a statement, I've seen big II's do this in the past to signal to the market that they are in the game. They know full well that taking less than 5% means no TR-1 which then means no signal flare.
What I am wondering now is whether this Canadian II will be flipping those shares, or taking more of the shares. Looking at the timing of the last TR-1, it fell within 3 days of the £1.275 placing that WH Ireland were assigned to manage on the 28th April. The RNS is there on the 28th April showing WH Ireland, and the TR-1 from Canaccord shows that within 3 days, they had taken up what look like 80% of the shares that WH Ireland were asked to peddle.
I think that relationship may well be used once again, with WH Ireland peddling a good % of the 2.1 billion shares to Canaccord. If there is no TR-1 by the 1th June showing a reduction below 5%, then Canaccord will certainly have picked up more. Right now, I would imagine Canaccord wanting to show further strength and show their muscle to the market, I think they may well take up a position exceeding 10%, maybe 11% to 12%. In doing so, they will be showing their continued interest in this stock, and if that happens, then I do not expect them to start selling off stock for some time, they may take up 11% to 12% to allow them to flip 1% to 2% of stock without sending out smoke signals to the market. And I really dont see them flipping stock for less than an initial 30% gain.
The above are just my opinions, but I've seen II's take this strategy with small Cap plays in the past, and its usually something that they do very well with. I'll be watching for that TR-1 as an key indicator for investing; right now I am out and giving myself more time for research.
Yes the fact that the sp has held 0.2p tells us that the buys vs sells is about equal even though the reported trades suggest there were more sells. Enough buyers (or a buyer) are willing to soak up any sells at the moment which bodes well for a move up as sellers dry up. Who on earth is actually making any profit selling at this price???
A Billion shares bought up in a couple of days shows exceptional demand for these shares, No Big buyer wants to spook the market and end up buying at a higher price. just match the buys and sells.
You missed the point. ( deliberately or accidentally ?)
If the price isn’t moving then obviously there is no shortage either way.
Similar to the 0.8p rise to 10p So probably reach 3p when it takes off Soon.
Not really.
It's a little bit more complicated than that.
If you want to sell and nobody's buying, you have to lower the price you're asking or hold onto the shares.
Similar for buyers.
So it's not a mater of a simple exchange.
:)
If 1.7 billion shares have been traded in less than 2 days and the SP has hardly moved then the buys v sellls must be about equal.
Agreed?