The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
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. 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.
You're correct Seawolf. 6.75m just sold for 0.766. Tick down approaching. Mind the gap
OMR, Michael will still need to pull his finger out, otherwise there will be more scope for the SP to fall. He also has more scope to fundraise (more dilution) which I hope doesn’t happen.
Now that I've been put straight on my maths, 8.5p to 60p is more pertinent as that brings me into profit. Having said that, there is no difference in percentage terms pre/post consolidation.
GM, the simple answer is that the deferred shares are a vehicle to change the nominal value, and to complete the consolidation. You will have no more or no less than your current holding (to the nearest 100 (post consolidation) the fractions left over will be sold and donated to charity. Just bank on the 100:1 and take it from there. I hope this helps!
IHi All
I dont regularly post but I do hold millions (soon to be thousands) of these. I have a couple of questions about the RNS.
The RNS states "The Deferred Shares will not be transferable". Does that also mean that they are not saleable either?
It also goes on to state "Accordingly, the Directors consider the Deferred Shares, so created, to be of no economic value." so who would buy them? What can we do with them?
Not what I expected after 9 years of holding.
Seawolf
MM should have converted to groats that would have made for an interesting discussion ;-)
I’ve got a couple of Florins and groats in my old money tin if that helps!
Seawolf, my maths always was bad, I'd better go back to £/s/d.
OMR, 100p is the level we will need to reach to achieve the 1p in old money, a long way to go and a big ask from 8.5p post consolidation. Its a bit like the Treasury and the cost of Covid!!!!!!
I see the move as having a neutral to mildly positive effect on the sp. The higher sp will make the shares seem more "respectable" to potential investors and might just attract the odd one or two of them. The real benefit, though, is that we will now be able to do calculations involving the sp without needing more than 10 fingers.
Assuming the proposal get passed, we will at least be near the 1p level. How we get to 10p (the new 1p club level) remains to be seen?
MIB
Your explanation is correct.
It’s simple really, if we get good results / news going forward then the SP will go up, IIs will be more interested, refinancing at a lower interest rate will become possible, and the future will be bright, if we get poor results / news then the opposite will be true.
By the end of the third week of April we will all have a far better idea of where we are.
My glass is still half full.
Time will tell ;-)
As always. Wouldn't it have been good if WRES had provided a couple of examples. Communication skills are as below par as the shareprice is and will continue to remain.
Safetyman. You already lost 5% on the shareprice since it opened.
Sleeven, that is correct. Plus you'll have a handful of deferred shares too that can never be worth more than £1.
GUG, you state it’s incorrect to say no one will lose anything. I thought we wouldn’t lose out except for the tiny big for the WWF penny or fractions of a penny stuff. Have I missed something?
"no one will lose anything" Not correct.
MIB- yep.
Consolidation of SharesAlso known as a reverse stock split. A reduction in the number of issued and outstanding shares that increases a shareholder’s per-share value proportionately. Consolidations are most commonly used by public corporations, particularly when a corporation’s share price has fallen and it wants to prevent a delisting of its shares or attract more investors (under the theory that increasing the per-share price is attractive to investors).After a share consolidation, a current shareholder holds fewer shares, but each share is proportionately worth more. As a result, share consolidations do not change the aggregate value of what shareholders own or the overall market capitalization of the corporation. For example, if a corporation’s shares are trading at £1 a share and the corporation declares a one-for-10 share consolidation, every 10 outstanding shares held by a shareholder becomes one share with a value of £10.So, no one will lose anything. The share price will go up. II's will be attracted and everything in the garden will be rosy.Only if this is followed by the announcement of superstrong production and sales figures and some long-overdue news on the fabled gold. Maybe one last chance for Masterman to redeem himself and prove for what would surely be the final chance that he is a good CEO and he does know what he's doing. Time will tell and like a good number in here I'm so far under its not worth selling so I'll ride my luck and see where it takes me.