Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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wh0sthedaddy ..... you could be right, there is another possibility in that those warrants are converted before then, but even then if they are all converted i think it'd only bring in about 5mil
so much as i hate to admit, a big placing is likely to happen
Oh look, the GSA is still being negotiated... If I recall correctly that's been the case since 2017. Anyone would think ONEE isn't actually interested in signing one...
IF they manage to restructure the bonds, they only have enough cash to survive til April. Either there's a monster placing coming or Sound will be no more in 6 months time. Sad state of affairs.
Correct, ericnat, and because this turkey is not going to spike above 5p in the next year with all the uncertainty hanging over SOU, the warrants will not be exercised and will be no use in terms of covering operating costs next year. We will still be scraping the bottom of the barrel looking for funds in April. The warrant holders won't pounce unless and until there is a much more substantial improvement.
But I'm certain there'll be some other nebulous announcement about progress before they pass the hat around again in April. If you look back you can see it's the standard modus operandi. There's the 15% dilution today, the 15% dilution back in July, the 7% or so back last December, another one the previous June (back when SOU could actually raise significant funds for a mere 2% dilution at an SP of 10p). Every raise was on the back of announcements of pending deals, exclusivity arrangements, monetisation of assets. Every one so far has turned out to be nothing but smoke rings. If this ever comes to fruition we will be VERY lucky if SOU's share of the Horst gas is worth 5p/share. With an average of more than three times that, I know when I've been suckered. No LTH is ever getting their money back here.
The noteholders will not convert on a spike they will want to convert and make money. What would be the point in converting and then Selling at a loss.
They will only convert when they are sure that they are safe..ish.
I would Think that is well over 5p.....imho.
it is entirely possible for the price to spike enough to bring those warrants into play if we manage to line up one of the things that people keep saying are pending or good points, what you are forgetting is that many of us longer term holders are holding averages way above that 60% increased price, and as such are just going to be shafted even further when all you newbies bail with your little bit of profit and the warrants dilute the crap out of us again, and then force the shareprice back down.
I want to average down, was trying to do so before the last spike that would have allowed me out without losing too much, but, even if i manage to get the price i'd like, which i doubt i will, i'll still be at >3p average
as for bringing in many millions of pounds... they need it too, we're out of funds april next year, but that wont help to recover the shareprice, because that money will simply be churned over into running costs.
So anybody concerned about they warrants causing dilution must be sure that we are going to rise 60% + from where we are today. Are you sure you are not ramping........
I would be very happy with another 60% plus rise from here. Don’t forget the warrant will bring in many millions of pounds into sound so it’s not like it’s money for nothing.
So if we take those to points into account you can see why it is a good deal.
"A wiff" is one way to put it, someoen also mentioned a good time to bury bad news in an RNS nis when all the markets are down, and lets face it, only enough captial to cover until next April, and IF the note holders accept the reduced interest deal, extending the maturity date until 2025, then we'll be diluted to the tune of them issuing to the Noteholders 245,457,596 warrants, that's fairly large amount in anyones books, and going to take a long time to convert and churn through, guaranteeing constant downward pressure on the sp in the long term
I guess being down just shy of 10% means the RNS has a whiff about it.You guys keep pushing you're beads about that abacus but selling Dept is what AIM is all about Suck it up