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Am i missing something? There are currently 224,000,000 shares in circulation right? And they're 5.5p a share. So that's £12-13mill give or take. To buy £2billion+ in land potential. (plus the small matter of £100mill in debt and a main contracting business that needs massive amounts of cash (and risk) of course)........but to take control of the business needs £13mill right? Let's add a 40% premium to the share price.....so that makes for a total of 8p a share.......so that's it £18mill (or just under). Is it at this point everyone realises I'm an idiot ........or is that right? And if so.......why hasn't anyone done it - you're effectively buying land at a 85% discount to it's NAV right (40p vs 5.5p or 8p if you have to entice the shareholders).
It is probably being sized up in multiple board rooms as we speak.
There’s 40p nav at sept 22, even a fire sale / small cap raise its worth 20p.
With debt at this level enterprise value rather market cap is key metric. Ignore the £2 billion figure, the company should not be putting out such a misleading number. Last audited figures go all the way back to 30 Sep 21, no visibility since then, so all investors have to go on since then is board guidance. The question becomes can we trust that?
What we do know is there are related party transactions and that they sold 2,800 plots for £9.5m. Most recent numbers given on 06/09/22 and 25/01/23 paint two very different pictures, both covering same period (eg losses increased £50m+). Lets go with their Jan figs. If nav has now dropped to £90m - presumably after that 2,800 plot giveaway - and debt is £100m you can see how they quickly cancel each other out.
404x did you check out this RNS
https://www.londonstockexchange.com/news-article/INLZ/covenant-compliance-and-update/15890760
I know the £2b is waffle, it’s just marketing for the sales of their plots, buy the plots of us for X invest Y and you have Z at market value type stuff.
The nav at September we were told was 40p / share
If you put £50m provision / £5m cap raise against that you still got £40m of net assets, / 20p.
Further to its announcement on 23 March 2023, the Company is in advanced discussions with a view to commissioning an independent report from a professional services firm for the purpose of reviewing certain related party issues (which may or may not fall to be treated as related party transactions under the AIM Rules). The completion of such a report is a pre-condition to the finalisation of the Company's audit process which is estimated will take a number of weeks.
On 6 September 2022 the Company announced that it had appointed Lazard & Co., Limited to assist with a strategic review of the business. This process has now come to a conclusion, in relation to which Lazard has terminated its engagement.
SO they havnt "completed" the strategic review?
or did Wickes not like the answer he was getting from them, hence the fund raise.?
If investors weren't worried enough already they certainly will be more so now!
My apologies. I shall cease commenting from now on but i just hope that any readers of my previous comments were moved into selling their holdings to avoid incurring escalating losses here.
WORST...clown of clowns.
Well, buysellfredmcfc, I'm not a clown as it's turned out, am i?
Looking forward to seeing charges brought against the former directors as the related party issue findings are published, must be time now surely, which could be far reaching, a sad ending to what was once an interesting business but was run as a private enterprise and not for the benefit of the non-director shareholders.