Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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They released a gushy statement telling people why they should stand by Mpinga and not back the resolutions at the EGM. When that didn't happen their position was untenable as far as I am concerned. I also think that the Chinese might look at breaking the company up on a commodity basis. Would delisting make that easier, I don't know.
Let's hope the RNS gives more info on reason Peel Hunt quit! It does appear that Peel Hunt did not have the best intentions for Mwana at the time. We as the shareholders lost out due to Hunt Peels suddenly quitting. You would have thought the Nomad could have been a little more tactful and announced the exit after doing some due diligence on a successor. End of the day, the nomad is serving Mwana as a company including shareholders and not just the folk who hired them.
Who knows what the story truly is and why they resigned but there is every chance they might just regret it. It could be the case that the new BOD were going to ditch them and they resigned to save face? Was the note on "high consultation fees" a pot-shot aimed at them?! Who knows, but I am just throwing it out there. Those of us in the know already have an inkling to the incoming outfit ;-)
Obviously, there are still buyers out there liking MWA. Not many but they are there :). Hopefully... and I hope it is the case, Nomad is announced tomorrow. Potential buyers who have been sitting on the fence become more assured and drive up the price. And then hopefully, those who have been negative, will let go of their pride and join the bandwagon :)
Amidst all of this uncertainty and misguided twaddle somebody has just bought 2,000,000 shares at 1.20 - a £24K gamble. Is this leaky information as per earlier comments?
Nobody gambles 24k on 2 million shares unless they know something we don't yet know.
Quote: Previous directors on the management team were serving on other corporate boards. How can you give a 100% when you are working for several companies? On that basis why did they employ somebody like Olivier Alain Barbeau who is already a director of 19 different companies.
I am the last person criticise someone for going right up to a deadline, but it does seem odd that they were not able to finalise before now. I am sure you are right that Peel Hunt give their full support and that Mwana fully expects to have a new Nomad in place tomorrow - but really what else can they say. Any position less positive would see a mass exodus from the shares.
Earlier this year there were several issues raised on this forum about the amount of consultants, directors, engineers, advisors etc… The issue was about the exorbitant amount of funds wasted on human resources at Mwana. Previous directors on the management team were serving on other corporate boards. How can you give a 100% when you are working for several companies? This new management shakeup was needed at Mwana. Directors were over 70 and asking for retirement from Mwana. My feelings are that the Chinese know how to do business in Zimbabwe are fully committed and well connected in the region to turn Mwana into a success. I don’t think Hunt Peel managed the exit procedure very professionally and thus reason for the weak share price. I do understand that Peel Hunt are now giving their full support to Mwana with the new Nomad appointment.
That is my point exactly. QUOTE: there are certain people in key positions like Peel Hunt... and guess what... would you not suspect they might whisper a few things to people they know and who have also invested in MWA? We are all agreed that with a new nomad in place the share price will rise so why is nobody buying? after all Peel Hunt know better than anyone what's about to happen.
Nothing new here. It all depends on who you know, your relationship with your contacts. I would be shocked if other companies including FTSE100 are 100% compliant... it has never worked like that and will never work like that... there are certain people in key positions like Peel Hunt... and guess what... would you not suspect they might whisper a few things to people they know and who have also invested in MWA? That is the reality.
This has always been a leaky company with regards good news, hence the buyers came in and the share price always went up a day or so before the news hit the streets, so unless they have plugged the leaks? we may not be getting any good news, I think tomorrow we will see people who have hung on until the last minute start to bail out, not many people can afford to have money tied up in a share that they can't trade if it gets suspended. I'm personally taking a big hit at the moment, and as Richard pointed out it's now a game of roulette, do you put it all on black or cash in your chips.
Richard, fully agree, have followed for them years and really hoped they had a chance of creating a serious operation. In addition to the points you make there is the possibility(probability) that they are not going to get a Nomad before the weekend. Suspension would then follow and if still no Nomad in a month would mean expulsion from AIM. I have also sold out, but would hope to return one day if still a quoted company
I think you have summed it up pretty well - particularly on the side of those who do not believe in the current management. But I have to disagree. I have had a lot of conversations with MWA since the SP went into a meltdown after Peel Hunt irresponsibly quit in such dramatic fashion. At no point did anyone looked at what they (Peel Hunt) did. That decision from them alone almost killed the listing. As for the new management, I think they have been very quiet, but at the same time they have a completely brand new team. They have had to do their own internal due diligence and quite rightly so because they need to be 100% when reporting or informing the market on the financial results, the decisions made (i.e. recently announced further cost cutting), etc. So I will give them that. It only makes sense. As I began to develop more insight from talking to them, my confidence in them started to build. All the announcements made so far since they came were indicated to me. Above all, I genuinely believe they want to make Mwana Africa a success. Give them room, give them a chance. Mpinga had a good year largely because commodity prices favoured the company then. But the recent cost cuts showed MWA might have been running with quite a lot of slack - consultation fees, over-employment, etc, etc. It goes to show had Mpinga stayed on, MWA probably would not be running efficiently. And it seems there's more slack to reduce to by the sound of things. On the point of nickel price falling below $12k. It remains to be seen whether there can be more efficient cost cutting to be gained. At the end of the day, the SP should reflect how the firm addresses all operational issues, sales, potential future business/projects - all these things translated into financial results. Trust is so important, and I am willing to give the Chinese a chance because like I have said all along, they have not done anything other than try to make the company better since they have come in. I don't believe there are hidden secrets/agendas here. It makes no sense to go through the hard work of appointing a new Nomad. If they wanted to take it off into private hands surely the time would be now. It really is beyond me how people think. Just unbelievable. I believe there are more announcements to come and I believe they will be positive. Once eveything is in place - new Nomad and Y/E results for MWA are out, I hope everyone will just let go of those crazy notions and give the company a chance to produce the goods.
Due to regulations and Peel Hunt will support until ready for a handover
Why taking so long nominating adviser?
Sorry made a few errors in that last post. I also neglected to say that if they get their broker, and the issues with the majority ownership of Freda are cleared up, and the gold and nickel prices come back, and that if they continued to reduce costs, and they manage to get the smelter up and running on time and budget, then this will once again look like an absolute bargain. But you have to agree, it is quite a big "If" and worth taking seriously rather than dismissing it as negative rubbish and simply looking at a 3 month old set of results as the basis for investment. good luck everyone still in, you deserve a break and I hope you get it. I took the hit and bailed but would love to come back
I really liked Mwana until all this mess. Things were looking really good. However, that chap below seems to be fairly correct in my opinion. Mpinga stated that he'd lose sleep if nickel ever dropped below 12,000. And is has done, and quite a lot below as well. So BNC will be struggling until the smelter is up and running, and even then we dont know whether it can be / how profitable it will be. Freda is loss making. The C1 cash costs are around the current gold price so all in costs are much higher. The recent results arent recent - we already knew all of the info from the quarterly update. The reall question people want answered will be in the results from April - June - how is the company coping with these suppressed gold and nickel prices, and has the downward cost move continued. Cards on the table, I bailed out of this when the clowns got back in a month ago. I tend to agree that this is heading for a private sell off on the cheap - but have no grounds other than the fact that I dont trust these chaps as far as I could throw them. I woudl say that we will probably see some poor results later this month / early august that will send the SP further down, and if the commodity prices dont turn around then it will either be another placing or a nice takeover from the Chinese / management. I'm "deramping" or whatever you want to call it. I really liked this company, and if it turn around then I'll be back in again. But right now I think the risks are even higher than they always were, and you'd be mad not to acknowledge that this is roulette and far from being a dead cert..
We are going to get RNS soon.
Hello Sharerise, I would ignore "MwanaSisyphus". He has only made two posts. Probably jumped over from the ADVFN forum to cause more trouble.
I urge all shareholders of MWA to get in touch with the company directly to address any concerns and avoid irresponsible remarks like this one here. I would also advise investors not to engage in arguments over their unsubtatiated claims - it would be a waste of time. I note yet another ludicrous short cover trade claim on the ADVFN forum on two notable buys of £11K each which came in early this morning. Imbeciles
Have you not read the RNS from BNC results yesterday or the RNS form the 9th July, both positive. Mwana are doing there best to finalise Nomad. Mwana are cutting costs to become more profitable. I think your remarks are uncalled for. What is your motive? Are you perhaps hoping the shares are going to drop on your unqualified remarks with the hope of purchasing MWA at an even cheaper price? Do some research and state the facts.
Spread still wide but quotes have nudged up :)
Assuming both mines are loss making at today's prices Mwana is burning cash (with somewhat limited reserves) - couple that against a new board with known predatory instincts and this has 'collapse and break up' written all over it... the 'survivability' fundamentals are so distressed I worry for folks buying in simply seeing a cheap opportunity - especially with a very real de-listing threat looming
So wide... very difficult to gain entry with a good price at the moment.