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Fully aligned with that thought process Bozi,
See previous posts
10 Oct 2022 17:44 : Tax Hypothetical
24 Nov 2022 09:47 : RE: Irwin tweet
Thing I don't get however is how much actual sway and insider knowledge does Irwin actually have? His tweets imply he knows something but surely if he knew something it would have to be disclosed via RNS. Whilst I note and read his tweets with interest, I treat with some caution for the above reason and I suppose only really give them any attention at all because of his perceived 'expert' status and experience. We all know however how perception of knowledge is not always closely aligned to actual knowledge.
That would be disappointing Orthern.
Flogging the lot in one go is the lazy approach and cannot possibly be the best way to attain full value for all shareholders.
With a full sale, plenty of shareholders who aren't desperate for an out, lose out.
With a spin out everyone gets to make their own decision and NewCo can still progress in Ecuador.
The IPO isn't important. It just needs a company creating, the assets rolled into it and a corporate action to do a demerger and maybe even a rights issue.
It's a no brainer.
I’m assuming that I was a typo, and you meant ‘on going miss management’
Without a CFO any spin out seems unlikely… same could probably be assumed for a JV… and Mather has said on multiple occasions, that any sale of just Cascabel has large tax implications..
Announce the date of the merger vote, followed swiftly, ideally same RNS, that a data room is open for a sale of the whole of Solg.. but Solg in all the years I have held their shares, don’t do anything swiftly
Add - I don't disagree at all on that.
But what is stopping the following:
SolGold announces completion of strategic review and announces two initiatives.
1.) SolGold decides to proceed with a spin out of the regional licences into a new vehicle. It names a full management team and board including new people.
2.) SolGold updates the market on offers for Cascabel and surrounding licences.
Shares of the spin out company would probably be unlisted to begin with, with an IPO tbc. SolGold would likely allocate a small amount of cash to NewCo for G&A and maybe a small budget to carry on working at Porvenir and attack the next licence with the necessary permits.
SOLG shareholders could be awarded shares in NewCo at a rate of say 1:10 SolGold.
NewCo then does an IPO after say 6 months with the necessary knowledge and expertise in situ.
In the meantime everyone gets their payout from a SolGold sale and can then go do as they please with those funds.
Once NewCo IPOs everyone can then stick, twist or bail.
This is something Atlantic Lithium have done in the last 12 months with great success. They now have a quality and growing lithium asset packaged up and gold (and lithium) assets in the spin out.
It sticks to the 'next cab off the rank' mantra and it gives shareholders multiple bites at the cherry.
I can't see any downside to this. Can you?
Bozi, that's not the point - I'm not talking about the process, but the ongoing management of the company. The market needs to see permanent board members, their track record and ability to manage the company. It's a non-starter without a CEO/CFO.
In the uk the rules are such that at 30% a company has to make a bid. In Aus and Canada the rules are more stringent and at 20% and perspective bidder has to declare their intentions…. Wonder what price NCM would be a seller at ?
Equally if the Chinese were to take the CGP stake too it would be then be interesting to see if they have been adding on the side or via Valuestone …. 20% wouldn’t be a million miles away
Forte, I think one aspect is upside down here.
I doubt that we need to complete the SR to then put the sale sign out.
I am pretty confident that a Dataroom has been open for a while and the company is rather hoping that the result of the SR is accompanied by some offer or financing structure that counters the theoretical sale prices that DZ discussed in the last presentation (the 78p slide).
Bu that is me...
I'm expecting a few TR1's to pop up when we get the new issue on Dec 9th. Dilution of approx 6.3% means BHP and NCM both drop below 13% level. A few others might be close to the thresholds. Blackrock might need to tidy up their 'instruments' lol or also face a TR1. Might explain why we've had over 40m to 50m share traded in last wee and a half.
Some might like the lack of transparency that comes with skirting around within the 1% thresholds, so will want to maintain that stance.
Thank you Q.
To be honest it's still better to talk about other shares than to start the mutual attacks and insults, at least we are sharing the same goals.....
There's no way Fawzi would answer a loaded question like that - not with any substance anyway. It also wouldn't be a fair position to put him in.
Just my view of course.
As we saying Bob Sangha can manage a billion dollar tender process but not an IPO of an exploration NewCo?
Come on fellas.
Good morning Bozi I am aware it's not for Solgold to manage the share price.
I was looking for a roundabout way to ask Solgold when they think they will have some share changing news.
In other words we have had lots of various innuendo but no substance.
Just wanted to know if they have a rough timescale.
Fort, you make a very good point about the CFO. In the absence of permanent executive officers, there's no way we could complete an IPO. And there hasn't been any suggestion that we're looking for them.
You probably have Fort as you tend to cover most bases which is fine.
I wouldn't sell Cascabel to the market. I'd sell it to whoever wants to buy SolGold. That part wouldn't change. We'd just be removing the high priority regionals from the package.
I'd just be keen to hear the rationale from SOLG in terms of selling the company for X over selling Cascabel and surrounding licences for say 90% of X and continuing with the NewCo.
I don't think it stacks up unless SolGold can attract a bidding war that pushes us over 100p for the lot, and the merits of that are debatable obviously depending the side of the fence the individual sits on (Redknight vs Stackhigh).
Hello Italian I have followed vrs for years.
I believe with the amount of patents which are well regulated that this is a well run company.
We have concrene and also the graphene sports ware coming up.
Downside they have no money.
Just think when the recovery comes this company has a lot of upside.
By the way for clarity I am averaged at just over 26p so still underwater but will be buying more over next two years.
Anything under 30p I will go for if I have spare funds.
Hope to own around a million shares in two years time.
But if price takes off I will never achieve that.
Anyway only talking about vrs on here as nothing happening at the moment.
Not a share tip just sharing what I am doing.
Doing an IPO of cascabel like Rio did with Turquoise hill is something I have banged on about for a while but as the new CFO lady (IPO expert) has departed I think that's been shelved.
I'm not sure selling Cascabel to the 'market' is the best way to realise shareholder value as markets rarely price the asset at fair value and always discount by at least 50% due to project risks. What you want for fair value is an auction process. It's not hard is it?? Just announce strategic review complete and cascabel sale auction process underway with number of interested parties which may result in an offer for the asset or could involved the business as a whole blah blah blah.
Spinning out 'some' of the regionals makes sense if the parties interested in Cascabel are not willing to pay a fair prospective price for the acreage. May as well package up some of the subs and put them into a new co... which is of course what we know Mather wants as he's the exploration fan and has said numerous times... exploration = growth.
Porvenir may or may not be of interest to Valuestone/chinese anymore after hole 1 proved to be the highlight. But you never know, they might be keen to explore around the warinza region and fund the new exploration company. It makes sense to retain the SOLG brand name for cascabel as the locals are familiar with it. Although having said that, I highlighted a few days ago that ENSA seems to be appearing more often in Ecuador PR activity. So perhaps SOLG retained for exploration as will help with regional permit issues while Cascabel gets put into new co called ENSA and that is then sold or IPO'd.
At end of the day, the strategic review is all about maximising shareholder value and opportunities. Cascabel is a heavy weight around our necks with huge Capex burdens and questions that remain unanswered that is and has held us back.
IMHO, if SOLG were to drill some regionals and strike big, then the market cap could easily return to where we are today which just shows you how undervalued it is considering Cascabel literally priced at zero. Of course it's perceived the other way around that regionals are priced at zero. But they are in effect mini cascabels waiting to happen.
We'll find out soon no doubt and would expect some news on strategic review before AGM is they want the votes!! Otherwise... it could be tight again! The merger certainly isn't going to happen until 2023 as it looks like TSX red tape holding them back.
You may be right DBW, but it would be a shame to see the company sold when there could be so much more value to be created for those happy to take the risk over the medium and long term.
For example, it shouldn't make a difference to anyone wanting a sale whether just a company holding Cascabel and other local licences is sold because nothing else is carrying much value anyway.
Newc can then start again and give those inclined another bite at the andean cherry.
I don't know if this scenario really appeals to you personally but I've been giving it more thought and I'm really keen. I just think it suits everyone equally.
Quady, I’d decided some time back to drop Lloyd’s as a direct holding. Slightest misery in the uk economy and it seems to slump and the next year or two doesn’t look too perky, or the five after that. I’m holding more in investment trusts these days, allied, bankers, Bruner, Caledonia, city, RIT, witan at the mo. Trying for a less exciting life! Obvs they all have Lloyd’s in the mix, I’m just trimming out big individual company shareholdings .. except just the one now!
Q, I looked at VRS a few months back and decided to postpone the investment, luckily. Why do you think it's a good entry now? Sorry all for O/T.
*spin out (predictive text).
Quady - it isn't for SolGold to manage the share price.
SolGold management manages the company. The market sorts out the share price.
We should be asking the rest of the market.
A sprint out provides the fairest short and long term value for all.
It has Addicknt. I accept it isn't new.
I just don't think I'd really considered it, but now I am as I'm of the view that the price we'd get for an outright sale wouldn't be an acceptable return for some investors.
Good luck Scrat.
Not something I would have done, as I separate income generating shares from growth shares.
But with the housing market being what it is and Lloyd's holding a large mortgage book.
Who knows.
I mentioned VRS about a month ago. They are up about 60% over that time period.
I own less than 100,000 shares in them. But slowly increasing my holding with spare money.
Monte...have a look at Noront...23c to 110c in 5 months...
600% from the current SP is c115p...