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(I haven't read back through the posts, but I agree the price hasn't been that low recently.)
I think CPX has been at that level, or incredibly close. It was a long time ago though, back in early 2015 (I know this because it was just after my first buy in, my average is a lot higher now!). I managed to pick up a small number of shares at a penny each back then.
Thanks PR! I have small punts in a couple of other companies but it's basically all invested here (and has been for several years). Good to see the recent price rise.
As to share options - I used to write them for companies for a living. There's a lot I don't know about but I can talk about share options all day long!
There are different kinds of options, but the ones here are employee incentives. I very much doubt there was any fee for the option itself (as opposed to the exercise price), it is purely a staff incentive, giving employees the right to buy at a fixed price (meaning if the company grows in value, the shares under option become more valuable. Optionholders are therefore incentivised to grow the company share price, which benefits us as well as the optionholders). If the share price falls below the option exercise price they would never be exercised, there would be no point. It is essentially similar to a bonus scheme tied to share price, though (in the UK at least) it can be much more tax efficient and doesn't cost the company cash, instead creating dilution - while our holdings have diluted, the company has potentially saved cash that would otherwise be spent on bonuses so the company is more valuable.
If an option is granted with a strike price equal to market value at the time of grant (which I suspect these were), they are a good thing for shareholders in my view.
The company gets the exercise price, so a little more in the coffers. I'd expect to see at least some sold to cover the exercise price for those who don't have serious £ sitting ready to spend in a bank account.
Very useful thanks Red. Interesting that a good faith purchaser could be pursued and that the fact CPX had initiated proceedings against Ioxus would count against that purchaser. The CPX legal team must have considered all this though you'd think, and will have far more knowledge than us (both factual and of the possible legal arguments!)
Would be interesting to know what were the terms of the sale. If at an undervalue / to connected parties that helpful link indicates there could be a possibility of some recovery. If to a genuine third party at arm's length there should be equivalent cash in Ioxus to replace the assets.
From CPX's negativity my guess would be it was a good faith sale and the resulting cash was spent on genuine debts etc that can't be unpicked. Here's CPX in May:
“As previously announced, CAP-XX has undertaken a strategy of pursuing several competitor supercapacitor organisations in potential patent infringement cases. In relation to this strategy, the Board remains confident of winning a patent infringement case against Ioxus, Inc ("Ioxus"), but is now not forecasting any significant financial return from this action, as the Board understands that Ioxus has sold all of its assets.”
Maybe the later statements show increased optimism (I hadn’t read it that way), such as the statement CPX would vigorously pursue recovery:
“CAP-XX intends to vigorously pursue the recovery of these awards, though it is unclear at this time whether this will be successful.”
Agree it's all real news, and the win against Ioxus has value. CPX is in a decent position.
PR - from memory I think you are right and that is the case in UK law, so might well be the similar in other jurisdictions. I think the UK has rules about transfers at an undervalue to connected parties to escape a debt and possibly stripping out dividends to reduce cash.
I am mostly disappointed that my public service statement of the difference between "spout" and "sprout" was deleted (together with the posts it referred to). Almost as if it embarrassed someone and they decided it was better to report the post so it was deleted than be shown to be wrong.
I agree Red. I'm comfortable with the cash position and don't see any imminent further placing. I'm holding close to 2m shares here and have been invested in CPX more than five years. All I intended to do was flag to those very new that the Ioxus settlement sum wasn't going to actually be paid to CPX so the cash figure wasn't a touch under £8m.
I regretted posting almost instantly however, as I knew I'd get the standard ad hominem attacks and Im not a big enough man to ignore it!
Once again for the slow of thinking, there is a difference between dollars and pounds. You are speaking in dollars Kencarv. My quoted figures are in pounds. These are not the same. To be very clear, £7.94m is very different to $7m.
I don't generally post because of this sort of nonsense. Any investor with half a brain will understand the point, which is not complex.
Lets be clear, are you saying that the £7.94m I quoted doesn't include the settlement sum? despite it literally saying "settlement" in the calculation? I've had it with the nonsense ramping. You are wrong, absolutely and unquestionably wrong and doing no one any favours by talking nonsense.
My reading is just fine thanks.
Quoting from Charlie:
“2.41m +1.81m +3.72 (settlement) = £7.94m cash total”
I am saying the 3.72m isn’t coming our way.
I think you are confusing dollar and pound figures. Your numbers are half those Charlie states above (Charlie is speaking in pounds and obviously including the settlement figure).
Im not saying CPX has no cash, Im saying it doesn't have £7.94m (or close to that).
Just a word of warning. CPX do not have that much cash in hand, they will not receive any actual settlement cash (or if they do it will be de minimis). The company has already told us this. There's value in winning the case, but it isn't the cash from Ioxus.
Apologies if already posted, for those who haven't paid for Pacermonitor, some free docs can be found, such as the original complaint and the below linked recent rejection of Maxwell's motion to dismiss:
https://www.ded.uscourts.gov/sites/ded/files/opinions/19-1733.pdf
This is all positive (though maybe Maxwell's filing was just a delay tactic they didn't expect to succeed, instead costing CPX to defend).
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