Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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No it’s not worth it as a stand alone listing to someone who just wants a listing, that is unless they can renegotiate the debts or if the debts are held in a subsidiary that they can liquidate that removes the liabilities from the plc.
But if they are doing this working with the debt holders to enable the company to raise capital from shareholders to repay the debt holders then it makes sense from the debt holders point of view.
They both have extracted more in wages from shareholders at angus then what the company has generated, if they can generate a return from something here with out extracting cash from new shareholders (ie financing against a revenue generating asset) here I would be amazed and I would love to see it for once over the normal style of death spiral financing.
In Tids defence he did lose millions in angus.
Wow, some coherent discussion on the CHAL board. I genuinely had double check that I hadn't opened a different board by accident.
He will be a director of the new company and will be creating himself a new income stream, new company, new remuneration levels, new credit lines, ready to extract.
You can’t raise capital outside the stock market that you don’t need to ever repay back, but if you can “invest” $100k in a shell, put yourself in a paid role and then extract millions over years if you can keep the idea of a return going.
Use the “lord” for The idea of “ A Lannister Always Pays His Debts” and it goes along way.
PS a lordship can be purchased by anyone and costs £24.95. And If you use the title you are a certified bell***.
It’s not what chal was, it’s what the listing can be used as a vehicle for...
People are not necessarily gullible most just timed their trade wrong, a small few have made good money from trading chal, this has always been a speculative stock and a lot of people get caught out by buying on the spiked days that a few use to sell, many people only buy this because it can rise 50%+ in a day on little or no news, deep down they know it can drop the same way on a couple of trades but where the fun in acknowledging ?
Been as It looked like this was going bust before tid and luc arrived, i think There is Now a chance for a longer term future for the listing, everyone who purchased in the past 18 months up to ~0.2p could probably recoup their cash and possibly profit if they traded on the next few spikes or during the rule 15 period, but long term they can’t magic cash from nowhere, it will eventually be raised from shareholders one way or another.
I’m not a mind reader but I’ll give fortune telling a go and I will guess how the story plays out, as follows:
They flip an asset in to chal, by tid and luc taking a director roll, they convert the $100k debt to force the approval at a Gm with around a ~25% holding that they will have plus stock the other directors hold.
Then some of the old debts get converted to stock and maybe partly refinanced, they might knock a bit of debt off to make an rns look good, knowing they can make it back later / plus some extra cash is raised to finance the RTO period, say £200-£500k. Converted stock is sold off by the big debt holders in to a ramped up speculative share price, they are happy they recovered some cash and with them paid back tid and luc can borrow new funds from them on new terms with more fees.
Tid and luc don’t care about the $100k, they get it back in wages, fees, perks, kick backs one way or another, they might have even been fronted the cash by the RTO target.
Asset will probably be a US oil play to utilise chals US losses, plenty of Texas and Permian assets going bust, or urgently need refinancing, or are being taken over by debt holders who now wanting to off load them, so they can be taken over with low upfront cost, (ie the uk based £1 saltfleetby deal at angus) but lots of longer term costs or repayments needed, it moves liabilities from one book to another.
RTO completes, stock at some point gets consolidated, re raises capital, might have a bit of a future but all old holders are diluted out of the equation.
Possible The big debt might not be converted and is instead repaid by a fund raise instead But that’s capital heavy and conversions are easy to flip, and every party here is skint.
if not all converted early its converted down the line, but in the end lots of cash will be extracted from the stock market to pay for it all.
This has all been foretold in my crystal balls, they are wrong a lot of the time, but more often by luck they sometimes speak some truth.
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If it goes Sub 0.1p, it could be worth a quick dabble on the idea that conversions will happen at 0.1p but who knows.
Ps I’ve Still not purchased any, still watching and waiting, and hope for it to be entertaining atleast.
Consider it as The debt holders appointing them to attempt to recover said debt instead of letting it go bust and them losing It all.
RTO over at Attis collapsed; wonder if that undisclosed party would be looking at us instead now ?
They do indeed, this Should set a 0.1p floor initially and give holders a ray of hope atleast.
True. But all the great risers have had, shall I say, a questionable background.
With them two If it’s like Angus and saltfleetby it Could be another £4-10m raise for a £1 asset purchase.
Debt holder will be happy.
and yet sub £500k and main market listing. Should be attractive to someone.
yes thats all you can do with chal
Lol They milked so much and failed at Angus, now looks like they need new credit lines for new ventures, to similar to the existing board. But you might be able to flip a few bucks. Good luck.
full listing here. Cash shell with a lot of losses. Cash now for another year. Wont be suspended. A dawg but always bounces a bit.
end of the day the RTO target doesn't have to be a good one, just good enough to justify a capital raise that pays for setting it up and a little extra for a bit of debt repayment, wages and create enough volume to bump the sp up for some conversions, better to keep the company alive to extract some new cash from shareholders and maybe restructure the debt then it wipe out and take a complete loss on the convertible debt.
look at wdc icon and the never ending conversions, it was rubbish for shareholders but the legacy debt (and a heck of a lot of financing fees) has been repaid with funds extracted from new shareholder funds over time.
Plenty of negatives but while its trading there is still a chance for a little upside.
Its not for me but i still keep an eye on this.
You make a fair point about the CEO but I'd suggest you check out George Lucan who was appointed as a director. He is a finance professional. It also states in the latest RNS that the company are searching for a reverse takeover candidate. It could not be any clearer.
The CEO has failed to execute a single successful project throughout his time here, so I have significant doubts about his ability to find a suitable RTO candidate before the company's ever-dwindling cash pile runs out. Time will tell anyway. One of us will be right!
Dan, the issue is you actually cant always buy shares. This rose significantly yesterday and has spent today consolidating at a higher price. I look at the company and the market cap and know it should be a lot higher. It is much more valuable than its market cap with a main market listing.
There is a book's worth of reasons why one might be negative about this company, but I haven't the inclination to write it (nor I imagine, does anyone else to read it).
I think we're all agreed that this company has nothing to do with wheels or indeed any other kind of project any more. It's now a zombie company running on fumes. They'll either manage to find a RTO candidate before the music stops, or it's game over. If the results are any guide, it's almost out of cash now. It's a punt, as we all acknowledge.
What irritates me is the kind of rampy rubbish which gets thrown around on shares like this, which is clearly designed to fool the gullible. All this 'can't buy a single share' drivel is easily disproven by putting through a dummy trade. You can buy as many as you want - tens upon tens of thousands of shares at any time. There's nothing wrong with saying 'I'm trading this dog share as a punt'; just cut out all the lies.
Dan, why are you so negative about this share? I was burnt here in the past too but I recognise that this company is nothing to do with wheels any more.
I can confirm that shares in this company are extremely difficult to buy. Yesterday they were NT for significant portions of the day. On Wednesday I spent half an hour unsuccessfully trying to buy and couldn't get any for the first 45 minutes reading yesterday. Today is clearly a consolidation day but it's a very positive signal that we are holding at these levels.
Lol, you can buy as many as you like. As always. One thing this company isn’t short of is shares in issue.
Well. Mr London. Maybe buying
Buy a bean
People say stuff like that a lot on Twitter, to create the impression of demand.
Someone on twitter just posted they can’t buy, not sure if true, but I can sell ok?