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Remember this
"It is envisaged that the Disposal, if completed, would constitute a fundamental change of business pursuant to AIM Rule 15 - the consideration, as currently calculated in the Heads of Terms, will significantly exceed the market cap Consideration Test threshold. The Disposal would therefore also require the consent of SDX shareholders being given in a general meeting. Upon signing a sale and purchase agreement, the Company will issue a further announcement and publish a circular containing details of the Disposal and convene a general meeting."
I think the disposal is near, looking between £10m-£12m for the disposal. Sdx will likely let the buyer keep the cash in egypt and receivables. Finally we can get closure from egypt.
I can assure you once it lands we will get alot of daytraders. We may even touch 10p on the day..
The sales declared are the trades they've entered into within the applicable period. The 8.3 form has to be issued as per the previously rns, the disposal means a change of terms to sdxs business
It's another sign the deal will complete and we should see some more of these. The disposals notes are not material given the overall size of their holdings.
Get it?!
Then what is the reference to a sale on each document ?
Take over ?
I think you chaps need to google what a Form 8.3 is - its NOT a TR1 and its not a sale announcement!
The secrecy will be a condition of the deal until contracts signed.Quite normal
Why sell if this sp is going to double in the near future as many say. Who is buying these shares, as from recent weeks transactions someone is. Maybe aleph
Doh, share reductions.
It looks a quite a large couple of sells at a time when we all expect a better share price soon. But I only have a record of their share holding percentages not shared held. Percentage may have changed if more shares issued as part of the aleph? Guessing or hoping!
Its just a statutory declaration of how many shares they have ahead of a takeover - see AIM rules - expect a few more in the next couple of days - sounds like sale will happen next week
If you say so, Littlened will put a positive spin on this. This company needs to tell and show its shareholders the facts. Egypt sale , why all the secrecy on sale details.
These sales may be connected with coming year end, and Canadian tax on assets on 31 Dec, I have heard on other forums of dual-listed oilies e.g. TXP that many Canadians will get out of their holdings for the month of December to escape that liability, and jump back in on January 1st. Or in the case of these big guys, are they selling a chunk to cover the year end tax liability? The timing (and the fact it is two separate holders) seems to back this up. Presumably if they had major concerns over SDX they would have sold more!? But if anyone has a better explanation, happy to hear it!
It keeps both parties honest in their future relationship
Prudence probably
Okay, but why will they need a prepayment?
I dont think they will, they will still get over $11 per mcf.
What i don't get is why they need the prepayment [presumably with poorer terms] if they will have cash for Egypt...
I tell you what will be nice, if the egyptian sale is announced. Shortly after we get the offtake deal sorted with citic.
"Additional HoT for a larger prepayment transaction to be agreed and planned to be drawn down by early 2024".
This agreement will be close now. One would assume.
28-Nov-23 16:54:57 4.10 200,000 Sell* 4.00 4.10 8,200 O
28-Nov-23 16:54:02 4.10 125,000 Sell* 4.00 4.10 5,125 O
28-Nov-23 14:29:36 4.058 67,608 Buy* 4.00 4.10 2,744 O
28-Nov-23 12:38:24 4.10 125,000 Buy* 4.00 4.10 5,125 O
28-Nov-23 12:38:13 4.10 200,000 Buy* 4.00 4.10 8,200 O
"...definitive legal documentation"
Im assuming documents would have been sent out and now the legals are going through em.
The strategy rns could only have been issued now if the deal would go through. Would look like idiots if it didnt.
Very interested to what they get, granted egypt is not the best place to invest so will be discount how much?
Well if its on track for completion by end of year then we definitely should get an update by end of next week
"Financing Strategy
The successful execution of the Company's Corporate strategy in the short and medium-term is contingent on the effective divestment of SDX's Egyptian assets and executing on the management's funding strategy. The Board remains confident that it is on track for the Egyptian sale as per the Company's earlier guidance and further announcements will be made once definitive legal documentation has been signed to effect the sale." Rns today
Hopefully $15m. Imho on target to complete by end of year.
Well clearly the chinese need gas, they now have 3 factories in kenitra. They helped with upfront payments in september for q4 gas.
I think a bigger offtake will be signed very soon.
Once egypt asset is sold, can see it 10p a share then maube start moving up once wells start to get drilled. Interesting 6 months.
Still maintain they should get £12m, with that they can bring 6 wells into production easy. But i think citic will contribute to wells.
East bagger within a month..
Imho
I agree Legache but the amount of Egypt proceeds will determine the pace of change.New BOD know that they have to provide free cash flow quickly