Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Serif, thanks for the clarification, was a bit worried about that.
@Yanis. I may have misremembered this but I think the BGF holding is one of our longer term IIs and nothing to do with the last placing. I think they had to issue a TR1 at the time because the dilution reduced their overall percentage holding, not because they were a bucket shop sales outfit!
Cloves, not really, Is just that generally the Finals are out by now, so they appear to be late - maybe because they are updating the report for Wressle windfall plus North Sea venture? Hopefully anyway.
Only if you're looking for something to moan about, I suppose.
In the last 9 years only once they were issued at the end of October. 8 out of 9 times they were issued before today - by this metric they are late.
Final Result issue dates:
2020 - 13 Oct
2019 - 10 Oct
2018 - 17 Oct
2017 - 30 Oct
2016 - 03 Oct
2015 - 05 Oct
2014 - 06 Oct
2013 - 11 Oct
2012 - 16 Oct
So, is in October, it could be anytime within the next 10 days, but only ones in the last 9 years they were issued at the end of October. Hopefully, this week.
I'm going to break a decade long taboo, stick my neck out and recommend a STRONG BUY here. We're in the strongest position that we have been for ages IMO, but new investors, please DYOR. GLA LTH's too.
Tovoc, I fully agree - any further dilution would be very damaging to shareholders. In fact the shares from the previous placing appear not to be fully dispersed; BGF still sitting on 11.8% https://www.lse.co.uk/rns/EOG/holdings-in-company-aejk3u4d724efrd.html
With the Wressle windfall there really isn’t any urgent need to dilute further. Let’s hope that this new North Sea venture will not involve a placing. The SP isn’t likely to go anywhere until the funding issue is cleared, hopefully in the pending Final Results report.
Any further dilution of shares would be a disaster IMHO. We are already siting on 0.6B shares in issue.
What ever price they decide the placing we'll see a crash to that price or lower as happened before, plus adding potentially another 100M/200M shares, diluting us even further.
I'm hoping Wressle turns out to be our Golden Goose.
IMHO
It's his job to face the music and make hard decisions to earn his self-appointed jobs salary is it not.
Agree with all you say except first sentence. We simply can’t know what Simon does or doesn’t realise - if it was a mistake he can’t unsay it - or if it was part of some mysterious “cunning plan” ….. We will have to see how it plays out!
Serif, I don’t think he does realise what he has done, in my opinion he has no idea.
As per your analysis below, for (2) and (3) if he announces a placing now to fund this new venture, at what price would the placing be?
Had he not mention the pending new acquisition, or at least clarify the funding issue if no placing is involved, the SP would be much higher now. If a placing is needed it would happen at a higher SP had he kept quiet about it, resulting to less dilution.
The sad point now is, instead of talking about the Wressle windfall and the benefits to the company and shareholders, we are talking about placings!
I can’t believe he doesn’t realise that Yanis, just looking at our SP performance v Egdon.
As I see it there are 3 likely routes ahead
1. No dilution in which case we should easily leapfrog Egdon as we don’t have to spend the first 6 months of Wressle profits clearing debts
2. Small dilution at a reasonable price recognising the SP is already choked back by the uncertainty that this might be on the cards. Think that would be quickly cleared as investors calculate value of Wressle once the facts are known and so long as the acquisition doesn’t look like an expensive albatross.
3. Large dilution taking us back below 1.50 - probably peg us below 2p until whatever he’s brought starts to prove that it has real promise.
Personally think that this delay makes 1 or 2 the more likely options as if he wasn’t bothered about the SP level he could just have gone ahead and raised immediately as UJO did. But then who knows!
Serif, that is a good point but I think Simon should be made aware of what he has done by announcing the North Sea acquisition prematurely.
Frustrating. But at least they should have picked up somewhere between £500-750k from Wressle in the meantime, so as each day passes any raise that might be necessary for North Sea venture should get smaller!
December 2018 - https://www.lse.co.uk/DirectorsDeals.asp?shareprice=EOG&share=Europa-Oil-and-gas
Yaris, 100% right on all points. Shame isn't it but it seems to be his style of Management.
And to make matters worse , these guys don’t even acknowledge shareholder communication.
Eldon up ~12.5% this morning and we are standing still. Trying not to think about it but is getting difficult - the very premature North Sea acquisition announcement was very stupid. Is now very annoying. Even the Final Results appear to be delayed.