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Spikey, can you explain the difference between an investment bank and a merchant bank please?
The early Feb RNS says - "The Company clarifies that its conversations with CITIC to date have been with CITIC Merchant Co. Limited ('CITIC Merchant'), the merchant banking arm of the CITIC Group Corporate Limited. CITIC Merchant is 51% owned by CITIC International Assets Management Limited, which in turn is a 46% subsidiary of CITIC International Financial Holdings Limited (a wholly owned subsidiary of the CITIC Group):
http://www.citiciam.com/index.php/article/management_read/catid/280/id/319.html.
CITIC Merchant provides M&A advisory, corporate finance, asset management, principal investment and fund management services."
hi peter. i am not knocking CITIC merchant as a company,
no negative comment implied about it as an entity. just
noting, it is not an investment bank, and EUA was issuing
RNSs about relationship with the CITIC investment bank.
bedtime, perchance to dream.
Yeah Citic Merchant is only a small business! apparently they work from a shed at the top of a sky scraper believe it or not! Jacnife told me so it’s got to be true, right?
You went from just viewing the situation to pure desperation spikey, you’re looking like a real fool now.
hi jimjamuk. so far as i can see, CITIC merchant is a small, partly (minority)
owned subsidiary, but CITIC merchant does not appear to be an investment
bank? - the EUA RNSs last year seemed to imply that there was some kind
of ‘relationship’ (/‘conversations’, lol) with CITIC *investment bank*. perhaps
it was just a typo? - in which case rather odd they didn’t correct it promptly.
[NB sorry folks not to get round to doing the ‘game 2‘ updated
list this evening, i will aim to update that tomorrow evening.]
All banks all owned by Citic Group
https://en.m.wikipedia.org/wiki/CITIC_Group
? but CITIC merchant is not actually
part of CITIC investment bank, is it?
(v happy to be corrected on that, if
someone can supply a relevant link.)
jaknife notes that CITIC merchant is a small, separate entity based
in hongkong. the chinese investment bank CITIC owns a minority
stake in it, but it would seem somewhat misleading to claim that
CITIC merchant is an investment bank? makes it rather odd that
those EUA RNSs last year referred to CITIC *investment bank*, eh...
Thanks.
I’m not sure on the second part of your question. I don’t know who can call for suspension.
Re the clarification of their relationship they have clarified which part of the bank they are dealing with but no more, personally I think that’s a stalling tactic but no one other than the NOMAD or BOD will know for sure
If the position has been clarified then the suspension should be lifted? Or can a company suspend whenever it feels like it?
I guess that depends on how much of a deal they want to achieve. The share price currently is far too low based on the projected profit from low cost, high yield, open pit mining so I would imagine that the board wouldn’t want the share price to be eroded while they flesh out a deal with one or more interested party. As I understand it there are two banks representing parties (VTB and CITIC) so if they clarify the relationship with one I would suggest that this could jeopardise the relationship with the other.
If I missed an RNS stating that VTB were no longer involved apologies but I’m sure I haven’t seen that.
Why does it take over 3 months (almost 4 months) to clarify the company's relationship with CITIC? Shouldn't this be straight forward to find out, announce to the market and lift the suspension?