Proposed Directors of Tirupati Graphite explain why they have requisitioned an GM. Watch the video here.
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S4 Capital largest Shareholder, source of information Bloomberg terminal. Courtesy of RackersTheDone from ADVFN discussion board. Thanks Rackers for the update.
https://i.postimg.cc/Y9MWMF06/SFOR-ownership.png
Puts it into perspective that even Sorrell is underwater at these levels. With the dilution having taken him down to 8.63%, assuming that % is correct, would value his stake today at a little over £28m. He put at least £40m into this.
At least there's a sense of we're all in it together. He's not one of those CEOs getting rich at the expense of shareholders, not from this stock at least. Given all that and his age, he'll surely be keener than anyone to turn this around pronto.
Struggling again
40 million and another 3.5 million at the rights issue price of 3.15
Sorrell also purchased 8.9m shares @142p in 2019, also 30,000 @500p plus in 2022. I'm surprised that S4 directors haven't averaged down at these low share prices, what I read in to this is that they don't expect a turnaround yet. If they were to start buying shares now then I would follow them and top up. I don't see anything happening until 2025 or 2026.
" Puts it into perspective that even Sorrell is underwater at these levels. With the dilution having taken him down to 8.63%, assuming that % is correct, would value his stake today at a little over £28m. He put at least £40m into this. "
with that kind of money on the table you cannot dismiss the idea that he has hedged his position to help cover the downturn , using derivatives or CFD shorts etc ...
I am not so sure a guy like that would just have a pure Long position
"with that kind of money on the table you cannot dismiss the idea that he has hedged his position to help cover the downturn , using derivatives or CFD shorts etc ...
I am not so sure a guy like that would just have a pure Long position"
Pokerchips, If you're right, and I have no reason to doubt you, then even more reason why if he was short protecting his position, that he would have now closed and have plenty of spare cash, to take advantage of the weak share price and go long by purchasing more shares having been diluted through M&A, (like the rest of us.) This would also help restore much needed confidence in the company, because as it currently stands we just look like a sitting duck.
It's highly unlikely that insiders ever directly take out short side derivative like a Put option/CFD or such, and without the market knowing about it. That kind of activity will need to be declared, unless Poker, you're suggesting that MS is engaging in illegal trading activity in the wild-west that's the UK stock markets?
The business turnaround is still not taking hold and until it does, this is a trader's paradise. Personally, I just don't want to be trading and get caught out on a day when some kind of positive news lands, and after a dismal 2023 in terms of news flow, IMO any positive 2024 news flow would be H2 loaded, more so towards the end of Q3/early Q4 when the trends become apparent.
I think the drop is down to the bad news coming out of itv yesterday not that I think it should directly affect us. Very annoying share at the moment.
GoGPI,
There are such things as "Variable Prepaid Forward Contracts" where a Director could forward sell their shares , but because they havent "actually" sold them but just "forward" sold them through a contract, they dont usually declare the "sell" until the end of the forward contract date
There is no way Martin Sorrel has sold and option to sell at a higher price... no way
"There are such things as "Variable Prepaid Forward Contracts" where a Director could forward sell their shares , but because they havent "actually" sold them but just "forward" sold them through a contract, they dont usually declare the "sell" until the end of the forward contract date"
Poker - the VPFCs or however they're termed in the UK, will need to be declared as it is a form of an insider transaction, albeit on the sell side of the euqation. This is just like an insider is mandated to declare the fact that they receive options/RSUs/RSAs from the company in question - in effect these are not shares that they have received on the grant date, but an option to receive these shares at a future date, potentially subject to certain conditions before they vest. In the same vein, should an insider take on a derivative along the lines of what you suggest, they'll be obliged to disclose them.
It sounds like that's something that a sophisticated financial markets related listed company insider may take on, but to think MS would put something like that instrument on and not declare that to the market, sounds like fantasy to me!!
I think that I'm right in saying that if Sorrell was to sell any of his S4 shares he would lose his (golden share) B share, so I would say that it's highly unlikely that he would sell any shares, he's in control of the company he founded as it stands.
It's preposterous to think Sorrell is shorting his company. Success is what drives him not money. Ridiculous.
GoCPI
Putting SMS aside specifically, many companies have hedging policies with regards to insiders. This came about over the years as Directors complained about the eroding value of their awards and shares as a result of a huge increase in the general market use of derivatives, which of course causes market peaks and troughs , ... troughs following war,recession,inflation etc etc which are largely outside a company control
Institutional Fund managers of course buy derivative insurance during downturns and you would probably never know it, and think they are holding all their shares and seem positve despite the downturn
the SEC have rules in the US and it would be interesting to find exactly what they are in the UK ...although I doubt you would get anything in an RNS
Totally absurd idea that Sorrell would be playing around with derivatives on this share, silliest thing I've read all day.
The chart seems to suggest a downtrend again and buying back in the 45p area
Such frustrating stock, not a stable investment at all
It certainly gets driven down on vey thin trading, much like an AIM minnow.
Plain fact of the matter is until they signal an upturn in trading it's going to be like this. Switch off and look again in 6 months.
Unfortunately so. SFOR is in a trading range between say 47/48p and 60p until there are signs of recovery in the agency digital ad sector/ rates are cut/ there is more bid news or speculation. FWIW, that's my take. We're nearing the bottom end of that range now.
"Such frustrating stock, not a stable investment at all"
Agreed Joe, nothing will change here until S4 post a profit, and that could be 18 month away. I have plans to more than double my investment here, but I have no confidence in the share price, its being played by traders, down over 10% this week, with no company news reported. Unless directors start buying shares, I will hold off adding.
Two large trades reported as sell's for 950,000 X 2
I know what you mean Nige. I added another 3k yesterday at 54p which I'm now regretting. Oh well, live and learn. I find it frustrating that the time when it is predicted for S4 to become profitable keeps getting pushed out . Like a typical jam tmrw stock
You're still "averaging down"?! Wow! Good luck buddy!
I'm averaging up when I can. ;-) Tis the darkest before dawn and all that!! Roll on 2024 and roll in 2025.