Member Info for ac123

"As a result of the cancellation of ... shares, each shareholders' percentage shareholding will increase ..." RNS, today 10:01 AM

What?

Shares before issue : 1,232,318,465

Shares after issue : 1,467,807,345

Dilution : 16%

Buyback : 22,539,747

Appreciation : 1.5%

Just who does this moron thinks he's kidding? Do the maths, Schirnding.

On another board, I referenced Monty Python's Black Knight. All his limbs are lopped off, but he still keeps coming. "It's only a flesh wound, come back, you cowards ..."

For AVO, we've seen employee tribunal rulings, ADAM dissolved, now this Mabey group's winding up order.

Nothing serious, you almost hear them saying, just another month ...

An RNS which - as someone pointed out below - is pretty much a copy-and-paste of earlier RNS's.

However, the RNS of 02 Jan did state in addition that Swiss subsidiary ADAM had been granted a reprieve from creditors until 20 Mar 24. The Swiss link below (IWant, 10:24) indicates that this time limit is up, and that ADAM has been liquidated.

Is anyone clear on whether AVO actually has a functioning future if it no longer owns ADAM?

Two excellent articles on the problems on AIM from Charles Archer. Find here (or on Twitter, #ARCM) :

https://investingstrategy.co.uk/financial-news/is-the-aim-market-an-unregulated-mess/ (Nov 23)

https://investingstrategy.co.uk/financial-news/is-the-small-cap-market-broken/ (Mar 24)

There is a core of unscrupulous directors who have shafted their companies. But the main problem, he convincingly argues, is that regulator FCA does not - err - regulate. And it's not just companies who escape scrutiny, but also NOMADs and market makers.

In the November article he lists - chillingly - firms once praised to the skies - which then went bust. See his examples Dog Star Minerals or JPH (names changed).

The March article puts ARC's ultra-low issue price in perspective. It's not the first.

(Similar problems also affects the main market of course. The stream of companies leaving London for New York is becoming a torrent.)

DonkeyOatey - message noted, reply sent a few days back. Any joy?

I hope we're not tilting at windmills ...

So, the company in its wisdom issued new shares to buy back old shares.

Shares prior to issue: 1,232,318,465

Issued shares: 235,488,880 - Percentage: 19.1%

New Total: 1,467,807,345

Shares cancelled: 22,539,746 - Percentage: 1.8% (I had estimated 2.5%)

Adjusted new total : 1,445,267,599 (My calc)

Adjusted new total : 1,446,014,263 (RNS)

I.e. They ssued 19.1% to buy back 1.8%.

Wow. Is this all part of that deal of the century?

Come on AVO. Time to put up or shut up.

I'm not a royalist, but I've always admired a certain you-know-who for her quiet dignity. She - and Britain - deserve better.

Sort out your funding and get the cancer treatment technology out there. Or liquidate, sell the patents, and let others complete the task sooner rather than later. We, the shareholders, may lose out. But at least those with this dreadful disease may reap the benefit.

They, and we, have waited too long. It's time to wrap this up.

Incidentally, the enthusiasts have been saying the s/p should shoot up once the drilling schedule is released. But hang on, shouldn't it be ready by now?

The rainy season ends within a month. Surely Anglo have prepped teams, booked equipment, laid on transport, decided on timetables and next steps. So what gives?

Thing is, Anglo won't say anything for our benefit.

So who's going to provide that exciting news flow? We're waiting ...

Jeremiah99, let me just say, my analysis was not 100% correct.

The value of the 'entity' - i.e. ARC Minerals Ltd - was NOT the same before and after the issue. Of course its value rose by the amount of cash raised.

Nevertheless, there is a sense that we, the retail shareholders, are being shafted by the 'själviska jäklar' who run the company.

With greatest respect Jeremiah99, some may see it slightly differently.

Assume actual dilution is 16%.

Your share of the company increased from (J's shares ) / (Total shares) to (J's shares x 1.25 ) / (Total shares x 1.16) - an increase of 1.078, or about 8 percent.

So some might argue that roughly 2 shares out of every 3 you bought went merely to keep your relative shareholding the same as what it was before.

That is, only 1 in 3 of the shares you bought actually increased your relative ownership of the company.

Each of these 'new value' shares therefore cost about 3 x 1.8p. At 5.4p perhaps not such a bargain.

As our Swedish teacher friends may say of the BoD, fusk rövhål ...

The number of new shares : 235,488,880

New total : 1,467,807,345

Previous total : 1,232,318,465

Increase / Dilution : 19.1%

Interest previously held by Lärarnas Riksförbund (Teacher's Pension Fund) 5%

Shall we assume half had already been sold on the open market? 2.5%

If we assume remaining 2.5% is bought back and then cancelled, that still leaves dilution of 16.6%

Hardly sweetens the pill ...

New investors might wish to ask, do these guys really have the time to manage the company you co-own?

Other interests ...

Nick Von Schirnding

Consultant Apollo Global Management LLC

Director JANGADA MINES PLC

Chairman FODERE TITANIUM LIMITED

Chairman Metals Exploration PLC

Brian McMaster

Executive Chairman Harvest Minerals Ltd.

Executive Chairman Jangada Mines Plc

marketscreener.com also states 'He is also on the board of 8 other companies'.

Rémy Welschinger

MANAGING DIRECTOR VIRIDIAN LITHIUM

Non Executive Director Infinity Lithium

Managing Director LIMEHOUSE CAPITAL

Non Exectuive Director Firering Strategic Mineral

Lantier/Sensible say, ignore me and the other doubters.

Fair enough.

But DO listen first to the SharePickers podcast below.

Somehow we need to pressure the board to change their ways.

Absolutely devastating critique of Arc.

See SharePickers podcast with guest John Meyer :

https://audioboom.com/posts/8474024-john-meyer-on-copper-lithium-atlantic-lithium-savannah-res-cornish-metals-jangada-mines-ar

(11nm:40s -17m:40s)

'complete shambles', '[don't] know how to run a mining company', ' ... self-serving directors that just don’t understand the junior markets'.

Crucially, 'all they’re interested in is promoting their other businesses'. He singles out Brian McMaster who runs (fails to run) Jangada mines.

The only bright spot, Meyer suggests, is that Anglo are running the show. But even Anglo must be wondering what's going on.

Truly sorry to ruin your weekends.

Does anyone think there's any mileage in the idea of setting up an activist investor group? More common in the US, I know. I don't know whether it's feasible on AIM.

The aims would be to put pressure on board wrt issues such as: avoidance of 'mis-statements' (or lying to put it less charitably); director remuneration (tying it to share price); greater clarity on strategy/execution (they divested non-core assets three years back, now they want to buy new ones/who's running the JV); fees (e.g. Rothschilds); tighter control of target setting/deadlines/messaging; participation in future issues; (at the extreme) non-exec seat on the board if malpractice can be proved.

The 'mis-statements' are the most serious issue; '30% not 20%'; 'weeks not months'; 'no need for a raise'; etc. See DG's post below.

There would be a cost in setting it up, not least legal fees. And I guess it's complicated by the fact that many of us own our shares through nominee accounts on trading platforms.

Another option might conceivably be for the group to contact the Zambian Ministry of Mines. They want to clean up their act so as to attract foreign capital. If there are suspicions that ARC are sailing close to the wind on corporate governance, they might not be too pleased.

Anyone with the legal expertise to say whether this might work?

Sorry, Diamond's absolutely right.

The BoD have raped the company and betrayed ordinary shareholders.

It may come good one day, but that's years away - new investors, take note. And what might BoD do to sabotage it even if it happens?

If in doubt, look at the value destruction year by year in my earlier message.

Like DiamondG, a sniff of 4p and that's it for me.

Very sad.

"hopefully the sp will move up soon." Err ... what???

23-Mar-21 7.40

13-May-21 6.00

09-Jun-21 5.50

28-Jun-21 5.00

08-Jul-21 4.89

27-Jul-21 3.75

02-Nov-21 3.01

06-Dec-21 2.55

10-May-22 4.50

14-Jun-22 4.00

23-Jun-22 3.53

30-Aug-22 3.04

28-Sep-23 2.81

28-Feb-24 2.26

11-Mar-24 1.88

Well done, Eloro, getting out when you did.

I well remember the share price at those levels - I had a stake back then, but did nothing. Greed breeds stupidity I guess. In my defence I had hoped for a complete buyout.

It amazes me that there are still people on this board and on Twitter who still sing the praises of the idiots who run this company. Do people not learn from history? If wilful share price destruction occurs today, why shouldn't it occur again in the future?

...absolute sc*mb*gs.

I challenge any - ANY - of this share's enthusiasts to put a positive spin on this.

And why now? 2 months either side the s/p would probably be significantly higher.

I speculated a while back about a lowball buyout. I guess this makes it far harder. Why pay 4p/share for 1.9p/share in cash?

Or is that the intention?

It's pains me to say this but - peggycilla, you were absolutely spot on.

I wonder whether we might see a sudden low-ball offer, perhaps 4/5p per share. 30% of a Tier 1 copper prospect for c. $50m?

[ In fact, should it be a cause for concern if we do NOT get such an offer? ]