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“This is a resource that the world – including Mexico – should benefit from" -- makes one wonder why no one pointed out that the offtake agreements with Chinese and Japanese companies left Mexico with nothing.
Having reluclantly accepted the offer sometime ago when am I likely to see the funds in my account?
Thanks
they are giving 20 business days notice for the cancellation… (see page 50)…
Fozdog
I have a slice of SAV and EMH in Europe too. LAC, FL and PLL over the pond.
trikidiki - I don't recall EV or Obs giving anyone any advice! Anyway, HL have extended the closing date for the vote until noon on 23/12/2021.
EV-Bull/Observer.
It's no skin off my nose either way. But I hope you are right if there are people who followed your advice and held onto their shares only to find out tomorrow that they can't trade them (at least on HL). As they say DYOR.
Sleep well.
@Fozdog Totally agree with you that is better to have the cash now and seek new opportunities then wait for six or more months for something that may or may not happen. Besides mining I want to invest in nano technology ...any ideas?
It’s a great article or can be more cyclical like me…ironic how Mexico left bcn alone with licences, allowed a Chinese company to prove clay/take over bcn…almost like you want to get the understanding from Gf first….funny enough I won’t touch Mexico mines on back of this debacle with bcn!
If I've understood this, the 26p represents a distribution of book cash over all the shareholders. If 75% accept the offer now but 25% don't, could this eventually mean 3 x 26p = 78p for the non-acceptors only as the cost of buying them out?
Not how I see it Joe, you are talking like the 25% are the rulers here?
If they have book cash why would Gf give it to the 25% left?
Being fair to all shareholders means you give it to Gf 75% holdings also. It’s still cheaper for gf to distribute that cash to everybody now then give it all to 25%.
Plus why? They only need to buy out 15% to get to 90% anyway and I’d assume that gap getting smaller.
Genuinely I think good chance you get more holding on and hoping, but let’s face it it’s hope over being hugely sensible.
We got sold down the river by bod and m&g.
Yep tc way I see it as the acquirer I do not believe they can buy shares on the open market, it’s got nothing to do with retail being out or not and solely from my understanding on takeover code post a formal takeover bid that’s been accepted.
Not sure why you are referencing retail like they are the yardstick here? Rules are there to protect retail so if all retail was out and gf did a deal with Weiss wouldn’t be fair would it? I’d expect many retail investors want the price Weiss get and panel and everyone is there to protect retail.
They pay a higher price in 6 month window they owe that price to all shareholders previously.
Don’t know how it works when becomes private but delisting and becoming private takes time won’t be a 2 week window.
90% is just a clean up.
If I've understood this, the 26p represents a distribution of book cash over all the shareholders. If 75% accept the offer now but 25% don't, could this eventually mean 3 x 26p = 78p for the non-acceptors only as the cost of buying them out?
are you all saying that once all retail have gone… ganfeng can’t buy bcn shares on the open market… after the offer has been declared unconditional… whilst bcn are still a plc… up to the point ganfeng close the offer… (when they’ve got the 90% they need to squeeze)…
The more you look at this deal the more it smells.
https://www.aljazeera.com/economy/2021/12/21/mexicos-lithium-and-the-global-race-to-lock-in-white
Ev whilst delisting is not the same as removal from Index, I pointed out that was the rns days ago whilst everyone was getting wound up thinking it was the doomsday 75% trigger….
Hargreaves are under no obligation to quote this stock. So if you remain in I doubt they will have it on their platform with current outstanding free float and the fact it’s not in an index why would they?
Another assumption but wouldn’t be surprised if you have to quote all the stocks in the aim index if you provide any funds that are based on aim. So the moment it leaves aim index it’s in now mans land and you will need an intermediary to trade on your behalf.
Jeez the more you think about it, more tiring it gets! Be prepared to be stuck with this for a long time, and 26p on 67.5p is 40%.
I reckon you make more on other liquid stocks in next 6 months.
I don’t believe Gf can pay higher for stock for next 6months if the company remains listed?
If so they would have to come back to previous holders…sorry but I can’t see anyway the panel special approving it for minority at all. It’s not in their interest to do so, and you talk about gf in public eye…that’s the last thing the panel needs.
Think really clutching at straws there….genuinely I hope those remaining get a better deal you deserve it.
My assumptions for best outcome are they can buy back stock via bcn treasury as that’s company approval not Gf….and delisting id assume restrictions for stock purchases for 6 months maybe? Not sure how it works there.
Tricki with you on a lot of those calls, cusn, cl, znwd all on the adding list once this clears, Bradda might add more in also.
Thesis hasn’t changed. Right call on bcn wrong outcome any way you cut it, I had to average down hard in bcn even at 15/16p during covid to make returns I did and so to me yes it was a bad investment regardless of the final returns.
Gotcha, thanks Joe
This is one interpretation, but another interpretation is that the offer can be revised which would not constitute a new offer...
For some reason I find this difficult to follow. Does it mean:
WHERE an offer is declared unconditional in all respects (and so the bidder, together with any concert parties, holds more than 50% of the target company's voting shares) but the bidder fails to acquire all of the outstanding shares,
THEN for a period of six months from closing the original offer a bidder, and its concert parties, cannot acquire further shares on terms that are more favourable than those that were available under the bidder's original offer or make any special deal with favourable conditions with any of the minority shareholders (Rule 35.3, Code)
UNLESS such special deal is given the consent of the Takeover Panel.
lol @EV. I was trying to be less blunt! @triki - if you aren't having a laugh, it'll click at some point and you'll slap your forehead. ;-)
You are wrong trikidiki3 and whomever you have spoken to is also wrong.
Removed from the index is not the same as delisting
lol
Key phrase here: "except with the consent of the Takeover Panel"
They consent to everything.
"Where an offer is declared unconditional in all respects (and so the bidder, together with any concert parties, holds more than 50% of the target company's voting shares) but the bidder fails to acquire all of the outstanding shares, except with the consent of the Takeover Panel, for a period of six months from closing the original offer a bidder, and its concert parties, cannot acquire further shares on terms that are more favourable than those that were available under the bidder's original offer or make any special deal with favourable conditions with any of the minority shareholders (Rule 35.3, Code)."
Observer, you can't beat a bit of patronising.
I have just spoken to HL who have confirmed that if (as per the RNS) they are delisted tomorrow, you will be unable to trade through HL. They would attempt to put you in contact with an intermediary to facilitate a deal but that would be at much higher cost.
You might like to read:
https://www.pwc.com/mn/en/capital-markets/assets/mn_successful_listing_in_london_eng.pdf
If you can then explain what happens to the shares if they are delisted from AIM index, I would love to hear.
Fozdog, I wouldn't call BCN a mistake, I made a chunk in the time I held them, shame we couldn't see it through to fruition. But seeing the writing on the wall I wasn't prepared to risk getting left holding shares that I couldn't sell (easily). I did buy LAC too, around the same time and am doing nicely there. As you suggest, there are plenty more places to put the BCN money. Could top up my stake in Cornish Lithium (when they come to market/listing/index) and Cornish Metals. I sold my holding in ZNWD to buy more BCN, I will be adding to the distribution and topping that back up with some of the proceeds, hoping for a dip when the distribution is made and a possible sell off from ex-BCN holders.
tomcat, As I have already said and johnpwh echoed, Why would they want to get to 90%, they are already in control at 75% and don't need to spend another $60m of their capital when they can use the holders' capital. When they sell the Lithium at cost to themselves there is no ROI for the remaining 25% and they will likely sell at any price.I don't see it happening but if Dee's idea that they will increase the offer to the holders then I wish them the best of luck.
Dee - they would have to wait 12 months after the closing of the offer being withdrawn
https://uk.practicallaw.thomsonreuters.com/8-502-2187?originationContext=document&transitionType=DocumentItem&contextData=(sc.Default)&ppcid=7621337b9a834e1eb01c7453d4ae949b&comp=pluk#co_anchor_a701724
21. If a bidder fails to obtain control of the target, are there any restrictions on it launching a new offer or buying shares in the target?
For 12 months after the date on which an offer is withdrawn or lapses, a bidder and its concert parties cannot, among other things, launch a new offer or make a statement raising or confirming the possibility that an offer may be made.