Member Info for 100notout

Directors can't buy shares when they are in takeover discussions. Don't you think they would be buying now, considering they were buying not that long ago at double the price.

Hotel Chocolat was 170% premium. There is no way MM will sell THG for less than 70p after rejecting double this figure previously. Which shareholder on here would accept a derisory offer especially considering the price has been manipulated so much. Shareholders are better off waiting it out for a turnaround which will happen, it's just a matter of time. It would appear that MA is desperate to buy THG and I wouldn't be surprised if he has got his mate the odious Odey to help him orchestrate the share price decline. One thing I agree with MM is that the city is bent and so often the share price of targeted companies are manipulated downwards pre takeover.

Exactly Mickey, conversely it's the non holders and shorters who want it done quickly. It's much better practise to get it done properly and these things take time.

I wouldn't be surprised if they have had interest from PE who would make an offer for the whole company as this will be their last chance. If so I hope the BOD put it to all shareholders for consideration not just the 65%.

If MM is so unpopular with shareholders why is it that he was voted back in with over 94.5%? There is a lot of negativity on here at the moment but retail in general isn't great but I'm confident that THG will get through it. The last placing was over subscribed and the directors have purchased which is a positive. Patience is needed.

THG has had considerable PE interest in the past, at the current price I'm sure there are still a few which are interested now. If anything the delay will be caused by this. I really don't see why people on here are getting their knickers in a twist over something so trivial. In the scheme of things whats a couple of weeks. Absolutely pathetic.

The same happened to RR and look where they are now, same sort of negative comments at the time of their lows. If things were so bad then the Kelso share price would have halved and it hasn't fallen at all.

The beauty division alone is worth double the current price. This is just being played with on relatively small volume.

I think there would be better companies to short than Kod as at the end of the day I see Hainan wanting this and they could put an offer in at anytime. I'm not so bullish on my previous TO estimates but it will be a bit higher than the current price.

One of them had to pay it as I would hate to think of what the consequences would have been if they hadn't. $15m is small change to Hainan especially considering what they have invested in Bougouni already. If the next $7.5m is to be paid by KODUK then surely the coffers there will be feeling it.

The construction spend is $65m and this payment is $15m and suay chin need to be paid $14m. Just those three alone add up to $94m. Having said that there will be a payment of $4.2m from the MG and Bernard says it's fully funded so no need to worry.

The $15m will most probably be used as a bargaining chip by Hainan in the stage 2 off take agreement. Bernard won't want it coming from the Kod plc coffers as then he will have to raise more money because how much of the $17m will be left.

I took up my rights in RR. to but in all fairness I don't think you can compare the two.

I think large investors wanting exposure to Bougouni would probably prefer investing in Hainan as ultimately they will be calling the shots. Ultimately I can see Hainan wanting to buy out Kod but my feeling is that the offer won't be as high as some on here are expecting unless the price of spod rockets up. Stranger things have happened.

Yes, let's hope so Elcobbledore. Kodders could do with some good news.

Does KMUK still have a balance of $100m though? If the mine was on budget thats $65m off alone and don't forget the Suay chin buyback payments, Mali capital gains tax (although KOD plc may have to pay this) salaries and exploration. I think you will find that there won't be a huge sum left. Perhaps Bernard will update on the current finances rather than just repeating the fully funded line.

I think the 'popular position' should be a balanced opinion. We know the resource is great etc but Bernard needs to reassure that the relationship with Hainan is good, that will go a long way with investors but we still have to remember that the mine is in Mali, look at what Major had to say about it.

Even Laverda has alluded to some sort of fund raising. Hopefully it won't happen but don't be surprised if it does.

Surin - In the scheme of things $15m isn't much to Hainan but if it's the case that Kod have to stump up the cash with a balance of $17m then that's a big deal. How will Kod be able to prove up the gold reserves without a placing!

If Kod is correct in its thinking and KOD uk are responsible there will not be a huge amount left in that kitty. Just the Suay Chin payment of $14m and the tax payment of $15m is $29m. Were either of these expenditures accounted for in the initial funding package? This alone is a big chunk of the $35m.

If Hainan are in dispute with Kodal then I can't see an off take agreement anytime soon. I hope I'm wrong and the relationship is strong but this could turn out to be a game of poker and right now Kod isn't the one with the aces up its sleeve. I just think there should have been a bit more transparency as this has become very messy. Hainan's share price hasn't been affected by this fortunately for them but Kod's has been under pressure but it's good to see it up today.

Kodal isn't a Chinese company, although the two largest shareholders are. Hainan will be more concerned in their investment of $100m in Bougouni rather than the $17m invested in Kod I would have thought. By your rationale the Chinese will be backing Hainan's interest's over Kodals.

With regards to the remaining $35 it is written in the funding RNS. I would urge you to look at it.

Surin you are right and that's good news as it installs confidence in the lithium sector. However Bougouni is in Mali and as we know it hasn't been plain sailing. Hopefully for Kod it has circumnavigated the largest waves and it's clear sailing from now on.

It is a desirable resource and Hainan are aware and that's why shareholders bought in too. I'm still a holder but a smaller one now because the risks have ticked up and if there is a buy out my expectations are not the same as I had a year ago. There is plenty still to look forward too as production starts soon and for the record I wasn't bothered about the delay as things never go as plan. The resource will most probably exceed 50mt and it's likely that the spod price will increase. It's not all bad but for some unfortunately there is no balance and everything is always rosy. When I first invested in this there was no mention of a possible buyback of the off take agreement, no mention of the 2023 mining code, the potential of a 35% stake literally given to the Malian government, a $15m capital gains tax payment. If the relationship falls apart with Hainan and Kod then this will be another problem and a major one. It seems some will paper over the cracks and not want to look at anything remotely negative, that's their prerogative but it could be the downfall for others. I would urge anybody investing in this company to go through all the RNS's, AGM's and the interviews and come to their own conclusions.

I'm fully aware of that Surin but Hainan will be fully aware that the Bougouni mine isn't the only mine producing spod in the world.

I think shareholders here have to see it from Hainan's point of view. Perhaps when they signed up to the funding package they weren't under the impression that they had to buy back the off take agreement from Suay Chin, that the mine would be on the 2019 code and that the government would pay more than $4m for their 35% stake. Now they are being told they have to pay a $15m capital gain. They paid in the money they weren't the party which made the gain. I think I would be feeling sour if I was them. I'm sure they can live with the spod price being low as they will be taking a very long term view but I doubt they have the appetite to be so generous with the cheque book with their partners the Malian government and Kodal for the stage 2 off take. It's best not to bite the hand that feeds you.

I certainly think there is more hope of the Ukraine war ending soon, interest rates falling and further tightening of pollution control which is great for the lithium price and could be the catalyst for Hainan to make a move. I would say this is the most likely outcome however if the price doesn't increase Hainan will play hardball. Hainan maybe using this $15m payment as a tactic for negotiating the stage 2 agreement. I think it's imperative to clear this blunder up asap but I'm not of the belief it's a simple typo.

Matt fwiw I had over 100m shares and I have a small fraction of that now and I'm glad I sold when I did. Perhaps Lav can point out when the next inflexion point will be and we can all buy more then...

Having said that with the situation right now you don't really know if you want to be in or out over this weekend.

One potential pitfall will be Kodal's ability to pay for their share of stage 2. Perhaps Bernard will address this issue in the next interview to put shareholders at ease. Will the government also pay for their share or will this burden be on Hainan's and Kodal's shoulders because I very much doubt there will be enough made from stage 1 unless the price of spod dramatically increases. Another pitfall to consider is the off take agreement for stage 2 especially if the relationship has soured between Hainan and Kodal. I would also assume that the Malian government are bound to back the Chinese in any decisions because they are the ones with the cheque book at the end of the day.

On the good news front I'm sure Bernard is pulling all the stops out to get the resource update completed and let's hope it's far higher than 50mt.