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Confused now Egm was on 5th May,are they having another one?
Ok;thanks
No, but they will do after their EGM today
Have they stated a Rns will be out today?
we will just have to wait and see what they put out.
Morning, what Rns are we expecting?
POO price & the RNS this afternoon, could have a factor by close today.
Again you might be right Gambier but it would be a big uturn, as they have tried to do the right thing over the last few years IMO. Why hold shares in Ruspetro in the 1st place if you feel that way. I would just sell if I was you as it's not good for you to continue worrying all the time about your investment.
Somebody will benefit in a way that is not clear to small investors. It is the extent to which small shareholders get shafted that is the real question. My bet, it being Russia, small investors like myself will get wiped out by hook or by crook.
I'd like to think that people don't drop that kind of money without an industrial level of DD. I have no idea what to think. RPO thinks they'll be better off without MM's and PI's. First rule: Someone always gets paid. There'll be more to this than what's in the public domain. I'm still holding. Punt money and curisoity. As i've said before, it's part of the learning curve. :) I suspect i'll be out before it goes private, though.
I agree, unless they see their RPO investment as damage limitation, I would be surprised that they were not buying at 0.8p. Given how many people might have already bailed out, maybe the free float now is only a few percent. I can't read this beyond knowing RPO debt situation is awful and the MET relief only really comes into play at high oil prices. If they could get to 10,000 bpd at a net back of say $40 per barrel, then that debt could be serviced, but that would require a $100 oil price. Gordeev bought in when oil price was nearly $100 and he paid $170 million for 25% (70ish pence) when net backs would have been $40 per barrel, you can understand why he bought in. Now that oil will stay at price range that will give maximum $20 per barrel netback, what does he value the company at? Reserves were estimated at over a billion barrels when he bought in, now they are 100 million barrels. Was it obvious to him that the reserves were obviously nonsense or has this reduction come as a shock. What does he value 100 million barrels 2P, with net back $20 per barrel,a $300 million debt and a potential year end production rate of 10,000 bpd? Does he see his investment as a disaster or had he factored much of this in? Does it he want more shares?
*tangent
Answering that on a tanget... i'm surprised that there haven't been holdings RNS' because it makes sense for the major shareholders to now be the "correct" people to benefit once RPO goes private. Obviously, it makes sense for them to be current hoovering up at 0.8-0.9p I wouldn't blame them for doing so.
Yes but this is a specific circumstance - what will it be worth to existing major shareholders of a LTD company. If we had some sort of metric to estimate the value of the reserves to the current major shareholders then maybe small shareholders would feel less distressed. Maybe they will hoover up any quantity at 10p+ post delisting maybe you will not be able to give them away.
That comes down the the normal investor question "what will this company be worth in the future?"
Not sure of the exact mechanism but I think it is based of the idea that you offer a quantity and price and then it is matched up by the operator. I am not sure whether you are able to see other peoples historic transactions or not. Again apart from the current major shareholders who is going to buy? And what price do you think current holders are willing to pay? Do they see their current holdings as a disaster and want no more shares? Or are they keen at the ten pence range?
the only bit im left not knowing is that when the company goes limited the shares can still be traded via capita but will there be any meaningfull indication of what the shares are currently trading at or does one simply put ones shares up for sale at say 30p listed for ever and a day and if that level is reached the sale is triggered ??
all true and thanks for your concern Pumpky
But as a Ltd company,no one can touch their personal assets just what the company owns,they may never show a profit or pay dividends, good luck if you decide to stay
the company will want to buy them for example as it saves paying us a Dividend when they start to make monies.
Whatever the sp is come June I will sell hopefully at a profit as I will be a minority shareholder and have no say and maybe no one will want to buy my shares once they go Ltd
4p 'Should' be the offer , that is 4p is fair in the sense morally justifiable. Not quite a metric valuation is it? It was oversubscribed at 10p share offer during a period when oil prices had fallen. Gordeev paid I think 65p per share for his 25%. Surely 10p would therefore be 'fair' which would be £300 million if you include the debt? If I was offered 4p I would take it, but will have to see what they do when they delist, maybe they will offer me f*ck all as per Russian tradition.
Whoever asked you to post this question please pass them the answer you given before. 4p was the price when they decided to delist to preserve the value, and 4p is the offer they should put. Hope that is logical and clear enough for you/them.
Logical? Clear? You wouldn't have a metric valuation by any chance ?