The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
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https://astanatimes.com/2022/09/public-and-experts-express-high-hopes-for-tokayevs-address-to-nation-but-give-cautious-assessment/
Seems alright if he gets elected again, I like the statement about making it easier for businesses getting access to capital because that could really help us out.
Also, although I am pro- extending maternity leave in principle, the extra needed economic support for families to procreate should further legitimize Toyakev as a leader people want and the last thing we want is more political uncertainty.
It is classic ramping but he does have a point there will come a day hopefully when some news will send this off with the 16p mark never to be seen again as happened when in the single pence, also do not forget the insiders who bought the Directors shares when he had to sell for 30p they saw 30p as a fair price so time/patience is what is needed here as us long term holders know.
"Get in whilst you can because once this goes these low prices will never be seen again."
classic nonsense ramping line
but holding on with grim determination
Speculation to say the least.
"Get in whilst you can because once this goes these low prices will never be seen again."
Heard that before several times from 40p downwards
Those same ppl have no sold out
Half year financials out mid month so hopefully get some updates regards what's on the horizon. All it takes is for one of the tyre manufactures to sign an agreement regards the carbon black and this will fly. Get in whilst you can because once this goes these low prices will never be seen again.
Nice rise today - onward and upwards from here hopefully
Still nicely under the radar but plenty going on behind the scenes - rizq highlights some key issues
Nice summary & the reasons I’m holding long and strong… current sp is disappointing as I’m 50% so I’ve accumulated at the wrong time but this was always a 10 year hold… not sure I want more down here as I’ve over exposed here anyway
What makes this company attractive for investment imo are the following
They currently have small and profitable operation
They have Mick Davies on board the mining giant with experience and contacts
They have a massive resource with very low cost perhaps the lowest cost once in production.
They have other by products which are being investigated which, if susseful, can add hugely to the the companies profits.
They don't require huge investment for deleveloing the mine which is stated at aorund 100 million so quite possible to raise.
They also have a outlined investment of tranches with vision blue which they will hopefully take up at 25p all the way upto 75p.
So the risk from here is small IMO but do your own research
That's the same reason I invested here, I think a pe10 would only be possible if the company gets a premium for being the lowest cost producer but I think phase 1 in 2025 is a bit optomistic. It took the company over a year just to get connected to the power line. I sure hope the coming news flow prior to the next placing gets the shares high enough to soften the next round of dilution. Not sure how much the company can lend from it's future earnings but am yet to see above a 4X ebitda debt covenant on a companies balance sheet. I am assuming VB's 30M$ will be all that's needed.
i hold a a significant proportion of my portfolio here, currently a large paper loss, which is madness for a PI like me to hold that many individual stock massive risk but........ with massive potenitial upside imo.... Driver101 id be delighted with half your numbers :-) holding long and strong 13 years until i can access my pension anyway!
Courtesy of Cyber from another board. This post before we had Carbon.
If everything is confirmed technically in the FS then VBR will invest their $30m and raise another $70m in debt, and construction can start, with first production in 2025. At that point we will have approx 500M shares in issue and could be making $100M profit after tax = £75M. Put it on a p/e of 10 = £750M cap and a share price of 150p. And the debt will be repaid after just one year!
The real bonanza comes when FAR use the cashflow from this plant (Phase 1) to raise debt (=no share dilution) for Phase 2, an even bigger plant. This is projected to create $400M p.a. after tax = £300m. Put it on a p/e of 10 and that's a £3bn cap, with 500m shares in issue = 600p share price... And probably a 30p dividend!
Any news on how they intend to finance the project?
I was really hoping we'd be back at 12p so I can load the boat.
The market hasn't caught up with FAR, the future divi alone could easily be 30pa more than today's sp with an sp of £4 to £6
Phase 2, with output rising to 22,400 tonnes per year. Combined NPV was estimated at over US$2 billion. Plus we now have a spin off (Carbon Black) correct me if I'm wrong but FAR's revenue from Carbon could be $1b Pa at today's price.
From RNS 1/7/22
Carbon Black
The potential output of this concentrate is potentially over 200,000 tonnes per year from Phase 1, or 800,000 tonnes per year from Phase 1 and 2.
One tyre manufacturer is currently testing samples as a prelude to commercial negotiations. Other manufacturers will be approached when the test work is completed.
Accumulating
From RNS March 2021:
""Construction funding rights:
In addition to the Initial Investment and Further Investment Rights outlined above, VBR will retain the right to further invest up to US$30m in FAR based on pre-agreed share prices. These rights will only be triggered in the event that FAR launches a process to raise capital for the construction of the Balausa Project and where the Initial Investment and the Further Investment have been exercised.
A summary of the terms are outlined below:
a) Right to purchase US$10m of additional shares in FAR at a share price of 25.0 pence per share, equating to a pre-money market valuation of US$150m, at the agreed exchange rate
b) Right to purchase US$20m of additional shares in FAR at a share price of 78.0 pence per share, equating to a pre-money market valuation of US$500m, at the agreed exchange rate""
So clearly someone in the BOD thinks it would be above 78p
Was just about to ask same question Rooty.
What’s behind the current rise ?
Thanks in advance anyone ?
On how much each share could be worth in a few years time?
Nice little upswing atm on no apparent news. Has helped me lower my average but am curious on possible reasons for the change in share direction.
The spread is a good indicator of share requirements, if it’s a narrow spread ie 2% then they are encouraging to sell. When it’s 6.5% they have share to sell.
As soon as there is buying interest Just no stock to sell ok yes will get a few small sellers selling for a quick profit but no large holders selling at these prices need to be way way higher.
Bit of selling there from folks looking to make a fast buck, understandable given a big spike on no news. Still, in the medium to long term this is only going one way, long term hold for me
GLA
There will be shortage for buying, as my previous post where are they going to find the shares to sell so many long term holders who are and where are the sellers going to come from ?
Seems very strong demand for these shares, premium to buy decent size order