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Not that long to wait now to see what's exactly going to happen,news will be out soon
Do think mode was a good idea just was badly timed, bitcoin was too early for the reward scheme then. If they partnered with cashback etc would have been ++ but not enough exposure to the masses still for a rewards scheme on bitcoin
I think it is pretty clear that Revolut do want a banking licence and it is regulatory concerns that have delayed them doing so. They have made strides towards it such as changes to their management structure, but more needs to be done.
Don't forget the hoops that mode had to jump through to get theirs, particularly giving up their reward scheme which ultimately made them less attractive for users and pretty much stopped the good progress they were making.
Achieving the banking licence probably cost mode dear at the stage they were at, but Revolut are a much bigger proposition and likely need one for growth in the lucrative UK market and the gains likely outweigh any consolation for them doing so.
Imo
Also shows the growth redwood-mode can have
Revolut are work $25b vs Redwood £50m, could not see this being a partnership that Revolut would consider.
I think it is possible the reason Revolut do not have a banking licence is because they don't want one. If they get one they are open to more legislation which ultimately means they need to protect customers more and then comes at a cost. They seem to be able to operate just fine without the licence, I use Revolut for my business account and know it gives me no FSCS protection or fraud protection but needed to use them for another reason.
Could there be a Link up with revolut further down the road they are waiting for a banking license ???? Would be an ideal partner with the redland bank
Time will tell, as you and others have mentioned think they have to mention crypto / bitcoin to get to 20p but i think they will going by the ceo past and views on bitcoin/crypto and week by week more bitcoin doors seem to be opened as it is the future imho.
anything above 3p and i will be happy but want alot more
If I'm wrong and it turns into 20p it will be a 30x bagger for me, so hope I'm wrong. Just can't see a path to me not being right.
Should be under 90days then can see who here was right
This could quite easily relist at 20p and rise higher with the right news,I think this will be hot property when it first relist and your be lucky to buy anything under 20p if we have anything bitcoin related to this just my opion,either way mines Long term hold as crypto is here to stay
Stand corrected there was a post on the 14th September about the tweet and a suggestion of a RTO.
There were rumours, and some dot joining went on, but the confirmation only came the day of suspension. Until that time we were all gambling on an RTO into something being the outcome - that's why I held and presume it's why others did.
Agreed on all of that. As stated before, I'll be happy to see my investment back.. anything after that is a bonus
You are totally wrong and there was hints all the time regards the rto. Twitter rto liked by redwood. Redwood appointing a member onto mode etc
Buda_, the wishful thinking may make us some money yet. When it's relisted if there is enough blind optimism we may have a quick pump and dump scenario.
I'm trying to workout if people actually believe the 20p per share valuation that's been mentioned a few times on here or if they are just trying to pump and dump.
Trading off the rumours and volatility of the last suspension I've managed to be up about 300% on this investment. One thing that is guaranteed is when it re-opens it will definitely be a volatile share again.
Crober33, there were posts on here about companies house papers being signed by a mergers and acquisitions solicitor. The feeling on this forum was that they would be bought for the crypto licence, which if they were I'd have expected them to be bought for circa £5m.
Not once was a rumour of a reverse takeover mentioned, not once was Redwood Bank mentioned. It sounds like you predicted it but did not care to share it, any thoughts on the lottery numbers this week?
We all knew the RTO was going to happen why hold if you didn't see a benefit in one? simple
And for the record, everything that JM has posted on this makes perfect sense and seems based on facts and numbers; the wildly optimistic valuations on re-list seem to be backed by nothing other then wishful thinking.
As I recall, the proposed transaction was announced (i.e. confirmed) an hour or so after suspension
Good question that
So what do you think will happen, if you didnt think it was going to be positive why did you not sell prior to suspension as we all thought it was going to be a RTO with redwood by the comments, just don't know why anyone would hold into suspension if they don't think it would be a benefit in doing so?
DJMTrading91
If Redwood do wish to acquire other lenders and loan books surely they'll need to dilute the company even further.
If they buy good quality loan books (which are rarely for sale as the junk is usually sold) this could be a good long term play but no quick increase that anyone is suggesting.
It seems like people are clutching at straws as to why this could be a multi bagger but people never think the whole ideas through.
Metrobank market cap today is £214m, not sure it's even worth 25% of Metrobank let alone multiple times the value.
You could even go as far as saying £50m equity swap is a bad deal, but that would assume Mode is worth something in the first place. We're being thrown a lifeline is what I think and we should be grateful for whatever we get.
Hope I'm wrong as I'm holding a decent amount of these, but think realism is required rather than optimism with this one.
Complex deal completed in 'critical time frame'
When other banks run away from the complex, we embrace it.
To find out our team completed this particularly complicated case, visit us at: bit.ly/3x0dAgb
R8 currently has a market valuation of just over £2 million. The reverse takeover is expected to diversify Redwood Bank into a full-service bank by enabling it to acquire other lenders and loan books.
DJMtrading91, you say "they both need the deal equally as much for different reasons".
I disagree R8/Mode need the deal and Redwood want the deal. If the deal falls through R8 will be wound up.
There is a huge different between wanting and needing something, hence why Redwood should be in the driving seat for any negotiations.