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Yep, i imagine it is all down to the timing here. Might be possible to get some sort of extension on that though if the RTO is looking to go ahead. All depends on the regulations for listing Maybe someone with more knowledge could enlighten us
Time scale I believe. They went into suspension in September and had 6 months to rto. I don't think they have time to get it done. I could be wrong but that's my understanding.
if I am being stupid but there has been much talk about GWIK delisting and then relisting which will mean those that have shares in ISAs will lose the tax benefits. The Paternoster RNS clearly states that the deal constitutes a reverse takeover under AIM rules. If that is the case why is it necessary to delist? http://www.investegate.co.uk/paternoster-res-/prs/subscription-for-shares-in-glenwick-plc/201702060910310983W/?fe=1&utm_source=FE+Investegate+Alerts&utm_medium=Email&utm_content=Announcement+Alert+Mail&utm_campaign=Paternoster+Res.+Alert
if I am being stupid but there has been much talk about GWIK delisting and then relisting which will mean those that have shares in ISAs will lose the tax benefits. The Paternoster RNS clearly states that the deal constitutes a reverse takeover under AIM rules. If that is the case why is it necessary to delist? http://www.investegate.co.uk/paternoster-res-/prs/subscription-for-shares-in-glenwick-plc/201702060910310983W/?fe=1&utm_source=FE+Investegate+Alerts&utm_medium=Email&utm_content=Announcement+Alert+Mail&utm_campaign=Paternoster+Res.+Alert
Agree 100%. i3 will give us early stakeholders great returns this year imo.
Good post and makes great sense. I3 is what I am excited about mind you, I believe this offers massive potential and life changing amounts of profit. It does happen on the AIM you know and this to me seems one of those opportunities, Do you agree??
yes that makes perfect sense, I understood the first part but got quite confused with your earlier posts with all massive amounts of shares added then consolidated again.. Now all makes perfect sense, and in all fairness it won't be much point selling them (my view) I will keep them and see what value AVD can generate - she isn't here for no reason. Also I remember her talk that there are some way undervalues mining plays in the world so maybe she just grabbed one of them and we will see great value returned to us in long term of course. Thanks once again - brilliant post and much appreciated
let me illustrate with some figures right now there are 2.2bn shares in issue and the share price is 0.6p (£0.0006) for an mcap of £1.32m issuing 230,000,000 shares takes shares in issue to 2.43bn and the MCAP to £1.458m a consolidation means that you end up with 24.3m shares in issue with each share now worth 6p instead of 0.6p. The MCAP remains at £1.458m your 1m share holding at 0.06p each becomes 10,000 at 6p each. Now assume that they give KOLA/Hummingbird owners 24.5bn shares (pre-consolidation) ...which is actually then 245.8m shares. The total shares in issue becomes 270m. KOLA/Hum's holding represents 91%. The key unknown which will drive the share price is what the company will be valued at once the CORA assets are added. lets pretend that the relisted company is valued at £10m. (imho thats wildly optimistic!) You are looking at a share price of 4p (or what would have been 0.04p pre-consolidation. The revised company valuation will drive the value of your holding upon relisting and of course any subsequent placing and dilution will further erode the value of your holding. I would guess that they'll try and raise another couple of million, which at 0.3p (25% discount to the revised share price) will mean you will be adding another 75m shares in issue . the shares in issue increases to 345m and assuming the MCAP neatly factors in the market value + the raised cash then the share price drops to 3.5p. With shares being sold into market, not unreasonable to expect SP to drop to 3p. so your shareholding of 10,000 shares which was 6p is now 10,000 shares worth 3p. does that make sense? this is all just based on my experience and understanding of the market dynamics and of course share prices can go up and well as down. just not as often on AIM unfortunately.
vxrandall - sorry for a silly question but does that mean that if I hold 1M in Gwik now I will hold only 10k of shares? of a new base of 230m as per your explanation of consolidation ?
not listed and therefore doesnt matter how many 'shares' there are because they are all in the hands of KOLA and Hummingbird hands. 100% of the shares will go to GWIK in exhange for (estimated) 23bn or more likely 230m GWIK shares
put it this way...a re-listed GWIK with 25bn shares in issue will never be able to raise money because the bucket shops and their clients won't be able to flip the paper easily enough# 100:1 will reduce it to 250m which will make money raising somewhat easier. less shares in issue = better liquidity. for a similar example, GEO (formerly NMG) ...they reached 4.7bn and then consolidated 100:1 changing the share price from 0.08p to 8p. they promptly raised right after, placing another 40m (would have been 4bn) shares into the market.
I'm not implying that there isn't going to be a consolidation, let's wait and see if the 1/100 call is right. I've never been in a Company that's done this, so yes it is complicated to me and many others
Another (hopefully fairly obvious) point worth noting in relation to ISA/SIPP holders is that if the GWIK/Cora shares have been admitted to AIM following the delisting and the i3 divi is still outstanding then don't Bed them back until u have the i3 divi or at least some clarity as you will obviously be selling your shares & then immediately buying them back in the ISA/SIPP which will mean the transaction itself will (likely) put ur shares outside the i3 ring fence (as outlined in the last RNS). I hold about 1.5% of GWIK. 50% in ISA's the rest outside. Good luck everybody. Patience soon to be rewarded.
Frey, I suggest you study the RNS again. It is HIGHLY UNLIKELY the Cora transaction will be completed before the deadline so GWIK will be delisted. Part of the stated reason for the £130k fundraise was not only to cover the costs of the Cora transaction but to pay for the process of a 'new admission' to AIM. It's a tad frustrating for anyone holding stock in an ISA/SIPP as it will then no longer qualify to be held in that status. Holders will have 30 days to instruct whom ever they hold the stock with on where they will like it moved. ie just over to a normal fund/share account. If you don't notify you'll simply receive the share certs in the post along with an admin fee! Once the shares are re-listed you will then have to bed them back into an ISA/SIPP should you wish to do so. If GWIK were able to mark the shares ex-divi prior to delist then all of the above would still apply accept for the i3 divi could then be paid to where ever the shares were held on the date they were stamped ex-divi. That would allow them to go DIRECTLY back into an ISA/SIPP. It would appear that the likelyhood of GWIK stamping the shares ex-divi prior to delisting is slim as they won't conclude the i3 share distribution plan until the transaction with i3 has been completed. For technical reasons and subject to the fact things can always alter or fall through that would make sense. The more cynical view would be that the BoD are yet to announce what their own remuneration packages will be. ie. Another slice of the i3 pie (& how big it will be) before it's finally served to shareholders. Single whammy for anyone holding outside ISA/SIPP. Double whammy for anyone holding inside ISA/SIPP. The fact remains we'll get a windfall (0.08 being the eventual guesstimate) & that fair value on the i3 IPO should be comfortably beyond the list price. Hugely exciting prospect!
It's not random at all. It's well reasoned and based on my experience of the market. Just because you don't agree or don't understand doesn't make my assertion some how worthy of negation. I've already stated that i have a holding here but i seem to be getting disparaged by a collective of desperately wishful thinkers who still believe AIM is where they will make their fortunes.
Consolidation, 1/100, that's a random guess, no one knows what the final outcome of everything will be.
Cora Gold deal is only good as it stops Glenwick from delisting, not a lot of value there for us but better than nothing, as long as it do not effect i3 investment any further it can only be good news
The dilution of course will be huge, but on the bright side the company should be valued at maybe 10 times the present value. So, not so bad after all.
ty jezzoo. and as i also said...expect a big share consolidation to make future fundraising palatable. you cant do placings with 23bn shares in issue. but you can with 230m. 100:1 is likely.
VX is right I'm afraid, otherwise the existing shareholders would hold approx 2 million, you can't have it both ways .
its a pity that you dont understand basic maths then. cora owners will be getting 91% of the ENLARGED share base. well...since there are 2.3 (now 2.6) bn shares already in issue...for Cora to be getting 91% of an enlarged share base go found out what number 2.6bn is 9% of (which is what existing GWIK holders will hold) before you start running your mouth off at me...do some basic mathematics.
Slightly miffed that Paternoster are entitled to 10.6% of our I3 shares as well, we haven't had the chance to increase our individual shareholding after suspension on a ( seemingly) dead cert 50% uplift on i3 IPO when it lists as they seem to have had.
I'm glad someone else has noticed that 91% of 2 billion doesn't equate to 20 billion :) he is talking utter shite
Nozzle, summed up fairly accurately. It remains to seen however whether the BoD will effectively dilute us further (post £130k fundraise) to satisfy their own renumeration/bonus with a further slice of the i3 pie. I'm fairly happy for now but there's still an element of uncertainty here.
A tad confused, 2.3b shares, 91% and you have a figure of 23b.