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NGR, there are not 325m tradeable shares. The ones I tendered were immediately removed from further trading on 8th April for me (on HL). So I'm not sure things will change materially. I could be equally wrong of course.
The company won’t buy any more shares than 21m. It’s a question of how much do they pay for the 21m. I hope they delay buying until the price drops so they pay less. It’s folly to support the price now at a higher price when you can buy more at a lower price and in theory bouy the price in the same way
Kooba, I can't paint! And I'm not ramping. If the price drops the company buys more shares for its £3m, and my % of the company increases. Win / win. Agreed, let's see what happens.
No it doesnt really work like that imo…it is all around the entitlement date and now we know the subscription was more than fully subscribed ( makes a difference as many thought it would not be) then it should be factoring in the ex entitlement..as said not sure if ordinary folks can deal in the balance of their holdings as of yet especially if they over subscribed.
But the cash is still in the company and there’s still 325m shares in issue today…..
Tomorrow that won’t be the case
That’s my interpretation anyway. I could have it horribly wrong.
NGR, I'm not sure the company buy back will wait for 17p... anyone who got out with the aim of getting back in at a far lower price will hope for it of course. Full disclosure though, I have no idea what the SP will do short term. It will be an interesting journey.
Ngr
They are trading ex the entitlement now ..so the adjustment should be getting factored in..its unclear to me whether folks who participated in the tender are free to deal in the balance of their holding or not..if you have sold up to 69% at 24p you might want to sell more here as an average ?.might be a factor?
‘The action happens tomorrow in my opinion when the shares are bought and cancelled. I don't expect any significant buy backs to happen today at 20.6p when tomorrow they can be bought at possibly 17p or lower.‘
Doesn’t make much sense. The news is out so regardless of the mechanics of the tender, the market will adjust to, and price in, the likely value it perceives the company to have now, not tomorrow.
Those looking to reinvest do not get the funds sent until the 25th and will need cleared funds to deal. In the meantime more shareholders wanted to sell at 24p than there was capacity so when some are free to deal they might want to sell more XENON..we can all paint pictures. Lets just see what transpires.
Kooba, it might be more than a bit of support. We will see.
FH, if only the market was that logical... will those who sold at 24p wait for 16-17p... there will be some squeaky cheeks playing that game of chicken..
The action happens tomorrow in my opinion when the shares are bought and cancelled. I don't expect any significant buy backs to happen today at 20.6p when tomorrow they can be bought at possibly 17p or lower.
TGTD, I'm not sure you can infer that from the information given. Nor are material commercial deals necessarily essential. But it will be good to hear when more of the orders arrive that STM has advised Nanoco to expect. Time will tell..
I get you ! Price short term might depend on buyback activity..but they are effectively going to be a passive participant it seems mopping up a level of any selling . Might support a bit.
Ahh yes but to be honest I expect the share price to drop back to 16-17p initially to reflect the same discount of the organic business.
Assets:
£23m cash
£10m roughly for the Runcorn site
200m shares would give a share price of 16.5p.
That's where I think this will land, then it's time to load up.
The take up of 69% of shares tendered at 24p implies thr big boys would rather take cash off the table as they dontvsee the share price going north of 24p for sometime yet while still holding a smaller pot!
The £3m on market buy back is simply a prop to try to keep the share price up from falling to the mid teens which it seems set to do in the weeks following 25th April.
Ergo if no material commercial deals are signed by June expect the price tp drift downwards, it may start high post 25th April but will inevitably fall.
Meant *tendered*, not sold.
Will be an interesting SP journey from here... Far reduced liquidity of the stock, Nanoco, starting today, will be in the market buying up to 21 million more shares. Expect tens of millions more shares were sold with the purpose of buying back in..
Flying
…if the organic business (currently valued at £0)
This is not true post this exercise at 20p the organic business will be valued at £14m..before it was valued at next to nothing and a some points a discount..still obviously leaves upside if the deliver but is valued a lot more than it was post tender. See where they settle.
" Charitable " - Mmmmmm
I'm also really pleased because it would appear those IIs who voted for this have also supported it. I thinks that's actually quite charitable. I pose a hypothetical scenario, that STM scale up substantially over the next year, revenue projections become possible. At that point the share price will be comprised of a combination of a revenue multiplier and assets. There will be a rocket under the share price in this instance. Alternatively, nothing get released and Nanoco languishes around 20p.
BOOM! This is excellent news! :D I'm astounded but really pleased. This is absolutely the best outcome.
Of course it begs the question why shareholders thought 24p was a good offer and perhaps that sets a ceiling at 24p for now, however if the organic business (currently valued at £0) proves value and of the IP, the upside on this share could be tremendous. Wait for the offer to complete, see where the share price lands, then buy buy buy in my view.
Is 'how to deal with a tender offer' behind a paywall too?
So appears if you tendered your whole holding you would sell about 69% of holding at 24p if i read that right?
Everyones perception of fairness will be different but those with the power have had a long time to think this through with additional info possibly not available to the minions - quite some advantage to exploit a situation IMO.