Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Bowie is a coward, a fraud, and an incompetent nobody.
You wait until the new Kallak boss is unveiled. It’s probably one of the seven dwarves with a shovel.
Hi ho, hi ho, it’s off to blag we go....
Do they even know what they are doing? Look at Bowie's employment record. He was a business development manager 8 months ago (business speak for salesman)
Between 1996 and 2008 his longest job was 3 years and shortest less than a year.
7 years at Amphi Capital, which is a BS dormant company
Current chairman of the board at Cora Gold which has its pretax loss widened to USD2.5 million in 2022 from USD1.8 million a year prior. Cash and cash equivalents fell year-on-year to USD461,000 from USD5.4 million. Cora Gold did not declare a dividend for 2022, unchanged from a year before. Out of his three current appointments: 1 is (and always has been) dormant and the other two are losing money hand over fist. Utter incompetence
RNS What a very complicated arrangement.
I didn't so much as sleep on it as stayed awake on it and that's exactly what my theory was; as you say we've been here before, it's familiar territory.
I have a theory, but only that, as to why they may have gone this route. By announcing a heavily discounted equity raise it might encourage more participants if the SP stays above the dilution price. They had trouble getting all the shares away last time and will be aware that could happen again. They need to raise the max they can irrespective of the damage it does to the SP. I assume they are banking on some 'good' news within the next year and a hope the SP will recover. Somewhat of a gamble if I'm correct, but then we have been in gamble territory for a long time now.
It would be facinating if the court jumped the gun and came out in favour of the government - it would make the issue into a true farce. I'm just staggered that this had to be done before the outcome, if we're so sure that it'll be positive for BEM then surely get all the background in place and then push the button...hey ho.
I am mindful from Tak's post that all us LT holders have certainly fallen into the stupidest category of investor. The reality is that none of these people are remotely intested in investors - they just need new ones to show up occasionally to believe the latest promise. There is no strategy or incentive to get the sp up in that sustainable way - these people want it low to entice the fish, they can then make a backroom deal for themselves and pusg the go button.
Make no mistake, there is no community here, Kurt and Ed pay lip service to rewarding people but it would be a mistake to believe a word! I recently rechaed out directly to Ed on Linkedin...no replies he's here to take what he can...we'd be wise to play the same game!
Pocko, Oaktree and Tak, good to hear from you. Decent thoughts about what’s occurring here.
Best wishes all.
Agreed SJ. It needn’t have happened like this. Bowie ensured that it did. He is ultimately responsible, yet seemingly irresponsible.
I won’t post as much today, but might pop on tonight, to see what has occurred at our meeting in Sweden this afternoon.
Morning all.
Yes, that's what it looks like, Sj, it's indecipherable.
Expertise are non existent in the raising money camp. Why do they have to tell every Tom dick and harry about the placing 3 weeks before announcing the price? It’s like they want it to be driven into the ground to dilute as much as possible!
By comparison Kefi announce a placing via primary bid on the 4th with the discount and it’s done. We tell the market first so the share price drops 30 or so % then a few weeks later do another 30 or so % discount to the average share price of the last week or so. It’s a joke and the whole thing stinks.
It feels deliberate for maximum destruction and dilution.
And on that theme, Bowie, as with Budge, clearly don't have the expertise or connections to raise the finance required (Demonstrated by this latest cash call). Working in small grubby investment firms doesn't qualify either of them. Performance to date demonstrates that. What they're both good at, is rinsing small investors.
The CAPEX required when building the mine will not come from private investors. That is when we potentially get truly wiped out.
That doesn't mean to say the BOD shouldn't be working their nuts off to achieve shareholder value. But as I stated, there is no incentive when Bowie and his ilk are salaried. Pay them in equity alone, and watch the SP soar.
Fair point Tak…by definition, Beowulf is not an investment to be held with the assumption that value will be added. Each fundraise is there to appeal to a new group of investors buying in on the new low hoping to get that short term bounce. I wrongly assumed this was something to back. You’re right, there’ll be a small rise if the courts come down on our side. However, there’ll have to be a serious series of funding to get beyond. Therefore we can expect this to trundle lower and lower…
A fund raise was inevitable. Not sure why anyone would be surprised. I don't think anyone is being hoodwinked or whatever here. It looks pretty straightforward to me. The company needs money to operate and there'll be yet another fund raise in time. Ed is probably hedging his bets on timing Oaktree. I remember reading a note around 10 years ago, saying something along the lines of 'its been going on this long, why wouldn't it go on for longer, don't invest'. The Sami know this and they know the constant appeal proccess is their best chance to drive BEM to the ground (as do you all). I'd respectfully suggest therefore that Ed is taking a careful path by diversifying more heavily elsewhere. Kallak was always political but not in the way that is discussed for the most part here. It's about historic land rights and how mining has been historically perceived. That doesn't really get resolved instantly via an election or by some government agency staffed by civil servants making a decision. They may help but it's a far deeper rooted issue. It looks like a good time to wait a bit for the SP to drop further and then to buy if you are betting that the Kallak court decision will go BEM's way (what other avenues do the Sami have after that if they fail?). There's money to be made here. But not by holding. Even if some assets look pretty good on paper.
Yes, I think we are all agreed, in that Kallak is the only real proven asset, as it’s the only one to be of commercial mineable value.
What a terrible day.
Have a good evening all.
Seems to be layer upon layer and a lot more than meets the eye... going to read it again a few more times...tomorrow.
Yes, there's a chink of light in that.
And EricDraven, both Vardar and Finland are liabilities... Not assets. For the company to describe either as such is untrue in business terms. Kallak, being our core business as an junior exploration company can be viewed through a different lense
Previous capital raises have aimed to raise around £6.5m... This one £8.5m. so I'm guessing, the 60% underwritten will probably get the board to where they actually need to be. Anymore and it's a bonus.
Other than what is now a slight discount to the market, and of course keeping the company afloat, they need to make a more compelling case to investors, given their prolificacy with our money in the last few years.
And they surely can't be confident they'll get the money except what's been underwritten..it needs a big leap of faith?
Eric...read it twice now and still haven't got it...changed my mind three times in the last hour about whether or not I'm going to take part in the subscription, have every other time simply because they needed the money.
The dilution is the problem. It is masked by these A shares and proposed capital raise below our nominal value level. It could be worth a fortune altogether, but then divide it amongst the amount of ordinary shares in issue and it looks like a different situation for us. Court decision being a positive outcome then we must pray that the sp responds. But Ed has decided to try and raise a lot of money now, at a derisory price, rather than perhaps staggering it to raise again on the babb back of the Court ruling.
I’m just musing but also suffering from acute brain fog.
Thank goodness today is over with and the markets have closed.
Not sure how to value Vardar especially, as nothing commercially exploitable has yet been found. Still early stage but it always seems to be.
I don’t know Sooz.
Ok…I said I would pop back in a year but seeing a 30% fall had me wondering wtf could have happened?!? Having sped through the RNS, I’m amazed this hasn’t fallen substantially further…you’ll be able to mop these up for half a penny in a month !
I’m quite staggered that Kurt and now Ed can be so inept, shortsighted, incapable etc etc. however, let’s be honest, these are self serving people who find it easy to lie, neither ever intended to reward Suzy, Eric, Pocko Ibjj or me…or the dozens of LT holders.
These people are here for themselves and if others benefit, well that’s a shame, it wasn’t intended, they come from the city and they’ll sell their mothers if they have to.
From a strategy front, why on earth do you go out for a raise whilst waiting for a court hearing that would turn the tide? If the appeal were settled finance would be that much easier…so why jump the gun?
- you’re greedy and want to secure £££s for your salary?
- you suspect the court will not be giving a green light?
- there’s a sneaky deal on the table from someone big to get this done, regardless of the sp?
Regardless, of motivation, I’ve learnt that these people couldn’t give a toss about anyone who has backed the company in the past. I was looking on LinkedIn as Ed appears to favour posting info here, and any ‘update’ is actually woeful in terms of actual developments that he controls. It’s all hot air about China, iron prices, the need for graphite…a GCSE geography student could offer more insightful updates.
I used to recommend this share to friends, I stopped doing that 5 years ago. I don’t dare say it now but not sure this chat room will exist next year…good luck but I think we’ve been properly played…