Member Info for 5h4k35p34r3

"The odds of the board not finding another 8% is virtually nil IMO."

BVT own 67.1% of Defenx and Stecconi (the founder) owns 2.58%, so together: 69.68%. They are the only shareholders with >3% share holding so they are over 5% short of what they want to do even if they act together. The only way they will secure 75% is if PIs vote for it. There is no apparent incentive for any PI to vote for it, either individually or collectively. This share was 8p a year ago and 130p two years ago. Apart from the recent penny share-buying types most long-term investors are going to get slaughtered if they agree to sell at current rates. BVT will need to make a buyback offer at a rate that would enable them to get to the 75%, otherwise they cannot delist.

"It would require at least 25.1% of remaining shareholders to make the effort to vote, and given the bulk of those are gamblers I can't see it myself."

Nobody needs to make the effort to vote. They need 75% positive votes to delist. Those who vote against, or not at all, stop the 75% being achieved.

"It is interesting that the % is still the same, so they are not buying on the open market? Which is kind of odd and you can kind of assume they know they have 75% or they would be buying on the open market at this low price?"

A company can only buy shares on the open market with explicit authority from its shareholders, usually at its AGM. That's why AIM and other stock markets are regulated, else companies could undermine PIs by covertly acquiring majority shareholding on the cheap at PIs' expense. You don't sound very knowledgeable on the basics of stock markets. I'd be very careful if I were you.

You can’t “shut up shop” until you have 75%. They don’t have that. The meeting being called in December or January will vote on that. It’s currently November. Hence, you can not “easily shut up shop” without the regulatory mandate to do so. Why it’s so confusing to some that this can’t happen until the December/January shareholder meeting that the Regulatory News Service notice explicitly cites is frankly comical. AIM is regulated. The RNS is a regulatory notice service. The statements made in RNSs are legally binding via regulatory rules. It is not “easy” to break the law without extremely serious consequences including sequestration, prosecution and imprisonment.

Because the last RNS clearly stated that they require shareholder approval to delist and they intend convening a general meeting of its shareholders to approve the delist, to take place in December 2019 / January 2020. You can't just "shut up shop".

BVT own 67.1% of Defenx and Stecconi owns 2.58%, so together: 69.68%. They are the only shareholders with >3% share holding so they are over 5% short of what they want to do even if they act together.

BVT own 67.1% of Defenx and Stecconi owns 2.58%, so together: 69.68%. They are the only shareholders with >3% share holding so they are over 5% short of what they need to do that even if they act together.

They need 75% to delist but only own 67% of the shares. They can only achieve 75% if the PIs capitulate.

That looks Ukranian.

Encouraging updates to the Defenx website with updated content, topical news and partner strategy. The site is performant and now a credible marketing tool. The companies that Defenx have partnered have potential and they are actively advertising Defenx's products, e.g. at 3: https://www.tre.it/business/internet/defenx-security-suite

The other partners show that they have a global reach confirming Defenx's model of developing product and using partner channels to re-sell.

I'm glad the convertible loans have stopped so share dilution has also stopped. Defenx's strategy does now appear to being implemented. Share price recovery will now be based on improved accounts showing that monetised sales are driving and recovering the business.

The next accounts are due in 10 weeks time at the end of June. I hope and expect that those will be submitted on time and not be subject to filing extensions, AIM suspension, etc., like last time. They won't be good but they should be the lowest point from which the company should now recover.

Any sizeable change in any company’s price will attract investors.

Can educate me why the price has increased with no trades since yesterday and the market not yet open?

The best part of this RNS is that DFX is not relying on loans anymore that can be converted into shares and increase BVT’s equity. It’s on conventional commercial terms based on the solvency of the two companies. Best news possible.

A mandatory takeover is when someone owns 90% of the shares. Delisting from AIM and taking a company private can be achieved with 75%: http://www.oneadvisory.london/publications/delisting-from-aim/

BVT own 67.1% of Defenx and Stecconi owns 2.58%, so together: 69.68%. They have the right to delist if 75% of shareholders agree. But they are the only shareholders with >3% share holding so they are over 5% short of what they need to do that even if they act together. They could achieve it by stealth though by continuing to issue convertible loans so they eventually acquire 75+%.

They can only take it private if they achieve 75% of the shareholding. They currently own 67.1%. So, buying up the shares and/or granting loans that they convert to shares increases their holding enabling them to do so. And the loans are effectively loans to themselves. Win-win.

Bizarre trading again. Who, in their right mind, buys £2.64 of shares, whilst also incurring a trading fee of at least £5?

I hope you’re right. At this rate, it would be more cost-effective to do a buyout and take it in-house instead of these loans, assuming that they are genuine loans with cash transfers, not an intra-company paper transaction.

Strange RNS. BVT, who own and effectively run DFX, are discussing with themselves whether to grant DFX distribution rights. They’ve been in that “advanced” state for 6 months with “no guarantee” that they’ll do for themselves what they need to do. Weird.

The only good thing is that the original timeline of the loan running out by end-April is confirmed. So, a possible buyout at 35p could happen then, else a buyout at 24p in May or a buyout at 19p in June. D-day at end-April, as predicted 6 months ago.

After the loan conversion to shares, BVT will own 67.1% of Defenx and Stecconi will own 2.58%, so together: 69.68%. They have the right to delist if 75% of shareholders agree. But they are the only shareholders with >3% share holding so they are over 6% short of what they need to do that even if they act together. They could achieve it by stealth though by continuing to issue convertible loans so they eventually acquire 75+%.

However, I now have greater confidence that the RNSs are credible. The revised website is a great leap forward, evidence of investment, going global and a genuine sales channel. It is consistent with their RNS saying they will relaunch in Q1 in which they also said that they are committed to providing value to their investors. We seem to be turning the corner and now have some justification in believing the RNSs.

The trades continue to baffle me though. Today's £27.47 buy, less trading fee, is bizarre.

This is extremely encouraging indeed. The website now has a brand new appealing design and is highly performant. They’re at last getting serious about marketing their products and services. You can actually purchase their offerings now instead of waiting minutes to be transferred to a page in Italian. And the new website is now multi-lingual with a very diverse range of languages showing that they’re reaching out to new territories. This website is very professional. They’ve spent quite a bit of money using some very competent people to enable a credible relaunch. At last!

The website is indeed back now to its former crippled state. But at the time that I posted it had been taken down and a page from the ISP substituted saying the domain name had been parked.

What I find odd about the trades is the sales of trivial value, e.g. £30. The trading fee makes such trades completely uneconomic. It’s as if those trivial sells are being deliberately made to hold the price down.