Proposed Directors of Tirupati Graphite explain why they have requisitioned an GM. Watch the video here.
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Wig answer the question ???
I'm fed up with bull$hit rampers knowing Sh&ite about petra.
Misinformation from idiots isn't healthy for new investors here !!
Simple question with simple answers all is needed.
Carats not getting the reaction he wants. Perhaps if his posts had wit or humour they would garner more attention.. I’m afraid being boring and repeatedly wrong not working at the moment.
A disaster reaction to that update from yesterday!!
I'm sorry my prediction was right again.
I will ask again are we actually paying off any debt as the $336m notes are due in 2023???
So what are we paying $45m each quarter for because the market knows but I don't.
Confused.com ..
2.6p old money!!!
Everyone here can add up, redwine. Leave the attitude somewhere else and come back when your posts make sense.
Adding up clearly not your strong point.
Sorry redwine - but you make little sense. If you do not believe the “free cash flow story” is attractive, then how do you conclude the shares are undervalued? Nobody is saying the debt will be paid off over the next year - it will be paid off as it matures (read my message) - and as this happens it will materially offset the $60m added capex, leaving a net $30m reduction (again, read my message). Please do not come to these boards believing you are teaching all and sundry about investment, because I can pretty much guarantee I have worked at a more senior level in front office fund management than you. Nor do I recall you here at 70-80p, where many including myself were investing.. a bit of a jonny come lately, shall we say.. atb
Capex is f/c in their own report to increase by 60m in 2023 vs 2022. Interest costs are c 30m. Even if they pay down all the debt, which they will not without penalty, read the restructuring deal, I am not sure how you can see this as 'highly attractive'.
Petra are now in a positive cycle and the SP is undervalued IMO but there are posters on here who do not understand the cash will flow to the bottom line.
Not sure what you mean by the “free cash flow story”? The net difference between the increase in capex and reduction in interest payments is about $30m, which would perpetuate a highly attractive “free cash flow story”. And the suggestion that the cash flows of a diamond producer are dependent on diamond prices will not come as news to anyone.
Decrease in interest payments will be more than consumed by increase capex.
So FCF story depends on diamond price level. This is why Duffy keeps referring to structural changes in diamond market.
Free cash flow here will get a further boost as available cash is used to pay off debt as it hits maturity. They will be paying $30 odd million in interest each year while receiving little back on cash held, so all of that will eventually fall to the bottom line. I suspect the price reaction has been muted as the market digests higher expansionary capex in future years, but when falling interest payments, a higher diamond price environment and further exceptional stone discoveries are priced in, we will see a far higher equity price. IMO. A very happy holder from 85p :)
Thank you for your BS. Hope you continue to do so as this share price is directly proportional to your BS.
Redwine
So what the hell are these $45m payments every Quater for ?? I have always said about the debt maybe these are interest payments on the notes due 2026??
Something stinks here hence the 132p share price when any other company with the same financial situation would be trading at £7 + !!
I get to a similar number c260p using 6xPE based on my FY22 earnings assumption
"No worries, we are still moving steadily up within the channel boundaries. So, just keeping status quo and we will break the 140 resistance this month, and then as a minimum pass 150 in May..."
Ran the current uptrend channel out to the end of 2022 this morning - 280p was the result. Only needs to increase 1p a day to get there...
Confused people here. Petra is not debt free and cant start the process (terms of the restructuring deal) to pay down its debt until 2023 at the earliest. Shareholder returns require the bondholders to agree. All the same, given its growing free cash pile I would expect the bondholders given the amount of shares they took on to agree for a return to shareholders during 2023.
just a turn around story i think and they often take longer to turn than they should.
Make use of it
We have a company debt free in Q3 2022 or year end apparently!!
Generating $200m FCF and production increase with less capex in 2024.
So a total cash machine for ever paying a divi around 7% minimum ??
But the market doesn't believe any of it so what is going on here .
Does petra have Skeltons in the cupboard like a $500m unpayed credit card somewhere??
No worries, we are still moving steadily up within the channel boundaries. So, just keeping status quo and we will break the 140 resistance this month, and then as a minimum pass 150 in May...
Let them out and up we go. Can't argue with more and more money being made and debt wiped out.
Simple buy and hold here now.
I blame Mr Carats
He said something positive this morning and the SP falls. I demand Carats reverts to the usual negative posting so we can start to climb towards £2
Further to the trading update - Production &Sales summary. (9M FY.)
Ore processed up 41%
Diamonds recovered up 7%
Doesn't sound right?
.... where would we be on a poor RNS!
That was my take as well Wigwammer,
There is the potential for a lovely end to year if they sell inventory down and similar cash flow they will be net debt free in 3 months - and that’s without any exceptional stone funds.
Great time to be in this company and the credit score re-rating is big news too. Still a long way to go till we reach this companies full potential I feel.