Member Info for alligin

Really appreciate your feedback, Valency. This company is lucky to have shareholders as committed as you! I am cautiously optimistic we will re-launch in a much stronger position and it is heartening to know PL is acutely aware of shareholders concerns. Have a good trip home. Alligin

Thanks in advance, Valency. It might be interesting to learn where PL was at the time of the AGM! Good luck with your visit.

I certainly don't think the three of us who attended the GM have a different view of what the company needs to do to turn it round- we have said the same things and the board were given a heavy steer by everyone present. We do have a different view about Paul Loudon, though. Let's face it, given the overwhelming proxy votes processed in favour of the Rasmala deal, the GM merely went through the process of formal approval. Although, I too anticipated seeing PL, frankly I would far rather he spend time securing a funding deal at this time than taking a few questions at the GM. CE said he was abroad, ie not in SA, and I inferred from that that he was pursuing positive options. Echo BobZim's view that at the next meeting (and I do believe there will be one) we ought to introduce ourselves prio to business and indeed share a beer/coffee afterwards. Have a great weekend, all.

Heartfelt apologies re mis-naming you! It was great to talk to you and let's hope the next meeting we attend is in a more secure situation for the company.

robust and feasible enough ( unlike previous plans, I guess) I put forward the view that I had put to this board that a couple of weeks ago, there was investor appetite for a placing at a slight premium. Most people felt that, in the new scheme of things, this would not be appropriate. I did, however, stress that the company has a very solid, loyal pi base and this should not be ignored. I think they got the message. Towards the end of the meeting, there was a unanimous view coming, very strongly, from investors to the board- this period of suspension must be used now to secure financing sufficient enough to see the company through to full production and that the board should only return to the market when such a plan was in place. The directors noted this- they could not fail to do so- as investors clearly feel let down by the company's management thus far. Comments were made that had a CFO been in place, the current mess may never have happened and there was also the view that PL has carried this company and needs more support. CE commented ( very pointedly) that although the mine flood has knocked the company off track, little else had changed in the big scheme of things. PWC had reaffirmed the company's resource base and operating margins, mining was being ramped up and with financing in place, the company should prosper. Hope all of that makes sense- apologies for the possible incoherence, but it's hard to take notes consistently whilst listening avidly and putting questions! Finally- this is my view now, having participated in the meeting, on balance, I feel there is a fair chance that DCP will re-list with a finance plan that covers all bases- including contingency. I believe financing will be sourced from re-packaged loans and' in part, a placing to current shareholders. The suspension may be a blessing in disguise, as my fellow posters said earlier in the day. The board has had a kick up the backside and I feel Chris Ellis is on the case now in ways that the EW wasn't. I believe the involvement of the black empowerment group at this time is also pivotal as politically, it would not be good for the jobs at Lace and all that means for the local community, to be jeopardized further- just a thought.. Sad to report that Steve West ex CMO at Lace is seriously ill and will not be rejoining the company. There was a view expressed that he has been sorely missed. I met Steve 18 months ago and he seemed a lovely guy, not one to feel easy at an AGM, but who was very passionate about Lace. ( He also has a handshake that could crush kimberlite!) Signing off now as it's been a long day. It started with me standing on the train all the way down to Euston so if you'll excuse me, having already complained to London Midland, I am now going to make an effigy of LM's CEO and stick needles in it's eyes until it cries.....Alligin

Evening all. I've just read through people's comments/questions today so I'll try to make sure I cover them in my feedback- if I have missed anything, please ask away. It was great to meet another LSE investor today, (SmallCaps, I think) and, capable chap that he is, he has offered to add to my summary if needed as a lot was covered in the Q/A session afterwards. The meeting was led by Chris Ellis, Chairman, and two directors, Neil McDougall and Rod Venables shared the stage. Sadly, no PL or other directors and CE stated that P is currently 'abroad.- read into that what you will.As you know, all 5 resolutions were passed today and to answer a couple of queries re Rasmala, CE confirmed that the company would repay the loans in full by the designated date (15th Dec) and He stated that this revenue would be sourced from the rough diamond inventory. So, hurdle number 1 will be cleared. Re the Business Rescue situation- according to SA regulations an appointee has to be secured within 5 days. CE was asked, very pointedly by Smallcaps, how, after being given reassurances by PL only six months ago that the business plan was on track, the company was in the current sorry state. CE, new to the board of course, gave a measured response and stated that the board were fully aware that the responsibility for the current weak position rested entirely with them and, reading between the lines here, he confirmed really that DCP had sailed too close to the wind trying to prevent significant dilution for shareholders. The 12 week period for draining the mine and re-starting it asked about and the company stated that it may not need that long. CE spoke at length about insurance and, importantly for us all, said that DCP had taken out very comprehensive insurance and this would cover damaged equipment, wages during closure as appropriate etc. This meant that the suspension period, whilst it meant little revenue, would lead to significant further debt- one of my concerns. I asked about the status of the current sp and because the final trades were set at 0.5p, this is the current nominal value of the sp. Questions followed re how could the company possibly raise the funds it needed whilst the sp is so low. The Nomads confirmed that a share rights issue could take place during suspension- a surprise to me- and CE explained at length that a meeting of all major creditors would be held to explore all options. He specifically referred to the IDC a couple of times here and said it is the company's priority to construct a robust financing plan that covered all bases and would take the company through to full production. He commented at this stage that this meeting was not a 'wake' and that we were not at the edge of the cliff yet. All through the meeting, CE exuded a guarded confidence that suggests the company will produce such a plan. After the meeting, Smallcaps and I picked up exactly the same vibe. CE also said that he would ensure the plan was tested to ensure it wa

Will do, Jaf.

I initially thought that the trade that took place on yesterday morning ie post suspension, was a blip, but mu TD Direct account is now showing my shares to be valued at 0.5p, 75% down from 2.05p. Did the sp crash prior to suspension?Has anyone else experienced this? Will find out as much as I can tomorrow from the formal part of the meeting and the Q and A session afterwards. I will also try to collar PL to gauge his view on the company's future.

The suspension may be a blessing in disguise and to be honest I was surprised the company didn't go for a suspension when the funding crisis hit and the words 'going concern' appeared in the RNS at that time. If DCP remains in suspension until the flooding issue and subsequent re-mining issues are sorted ie 12 weeks plus, then that gives the board some more time to consider the best options available to it. As Jaf said earlier, I believe a restructure of debt will form part of the answer, with the shortfall coming down to a placing of some kind at a price that is fair to current shareholders and shows we have confidence in the company going forward- unlike EIIB, who are trying to screw the company whilst it's down. I guess, as Val has said, the board may now be forced to re-visit the bid that was tabled if it doesn't have confidence in raising sufficient funds going forward. However, given the flooding event, the bid that was made may well be lowered! I have had no reply from PL re my proposal, but given how pushed he has been on lots of levels, that doesn't surprise me. I will, of course, float the concept of a premium-based placing at Wednesday's GM, and will report back to this board. Just when we thought things had hit rock bottom.....

I'm delighted the board has resisted any offers that were made during this period. We have our company back! Next step, substantial funding and I'd expect that to be announced by year end. GLA.

Thanks to everyone for their responses to my proposal. It is heartening that, at such a perilous moment for the company, pi's remain strongly supportive. Overall, 16 posters (+ a contact of Valency's) have said they would be prepared to buy 2,480,000 shares if a placing was offered at a slight premium to the current sp. Whilst in the big scheme of things, this may appear to be a drop in the ocean, the level of support shown, if mirrored across the private investor community, could form a very significant source of funding without adding to DCP's debt pile. This evening, I will mail Paul Loudon, CEO, with my proposal and with a summary of the direct support posters here have shown this week. I will also inform him that I will put this proposal to the GM on 16th November, for the boards' comments. It is crucial, especially at this key stage, for our voice to be heard and for such a potentially crucial funding stream to be considered. We may, of course, be over-taken by events and it may well be that the board has already secured the $2-3 million it needs to see the company to full production. I guess we could also hear within the 28 day bid process that a fair offer has been made, but I personally feel this is now unlikely. Finally, it would be good to know if any other posters here intend making the GM as it would also be useful to have a few key questions to fire at the board. Thanks again for your input this week and have a great weekend. Alligin.

Thanks for that- I'll add you to my list. To answer your question, I do believe funding will be sorted by year end, principally because the $700,000 secured through Ramala was short term. Given the scale of funding required for the medium term, my guess is the company will need to use a range of strategies and that is why discussions are ongoing with institutional investors. As you know, I strongly feel that pi's should figure in that equation and I'll do my best to raise that issue with the board. If funding is sorted, I would expect the sp to re=rate- the question is from what point. If a discounted placing is set up, then the sp will plummet, even from here, before it can recover, although that might be offset by the news that the company would be on a secure financial footing. I don't do forecasts as even the experts get those horrendously wrong! I invested here to hold until full production and possibly beyond and at that stage, say 2019, the current issues should be a distant memory. Good luck.

Thanks for that. It's good to have someone involved with your knowledge. I note that the shares I received from MCB are titled The Betting Service Ltd.so will there be issues as the business has since changed its name? Regards

I agree with your perspective and in testing out the views of fellow posters re a placing, I am aware as a small proportion of the total number of pi's here and in SA, even with a high percentage of us responding positively to this idea, we could never begin to approach the level of funding DCP requires to take it through to full production. However, what the response on this board has already demonstrated is that there is an appetite for a placing. Even more significant is that people are prepared to look at a placing price at a slight premium to the sp rather than the heavy discount you describe that would seriously hammer the market cap of the company. I feel that pi's are always seen as passive components in the big scheme of things and this is a fundamental flaw in the workings of listed companies. Whilst PL and the board may pay no heed to any proposal re a placing, I want him to know that we are significant players in this game and our views need to be heard. Pistacchio, I think we all feel your frustration at the current situation, hence my determination to try to do something positive. Fingers crossed.

No problem, Valency. It's the least I can do compared to the hours of research you and others have put in and shared on this board. So far, 16 pi;s have responded to my proposal and have said, collectively, that if DCP were to offer a placing, they would be interested in acquiring 2,430,000 shares- not a bad start, and no-one has kicked the idea into touch so far. Banksman has reiterated his suggestion that maybe a crowd-funding arrangement could be offered to support the company. Please keep the posts coming, Thanks for all comments also relating to this issue. Let's see what tomorrow brings.

Thanks for all the replies so far....really appreciate it. Amazing positivity given the circumstances. Will collate today's responses tonight and let people know. Alligin.

Interesting that someone piled in and bought one share today.... but then sold it again at a loss.

I've been mulling a proposal over for a few days and rather than sit on the sidelines waiting for some news, I've reached the conclusion that, as a stakeholder in this company, I need to do something, even at the 11th hour. As always, I'm perfectly willing to be slapped down, but please consider my suggestion. At the present time, there are around 480 million shares on issue and on Friday, the sp closed at 2.4p. Fact; 40% of shares in the company are owned by institutions and directors, therefore 60% are owned by private investors-us. Whilst my 250,000 shares at 6.9 represents only a tiny fraction of shares on issue, as a group, we own 287 million shares. In other words, we really do own this company, a fact that many companies conveniently forget- we are the little guys, the last to know anything, as individually we carry no weight. Collectively, though, we carry all the cards. My proposal is that the board of DCP should issue a placing to current shareholders. That placing should be at a slight premium to the current share price so if it was calculated today, I would suggest a placing of 120 million shares at 2.5p. This would raise the £3 million the company needs to take it through to full production. I am proposing a premium because that sends a clear message to the market that shareholders value and support this company and fund-raising of this magnitude gives a strong signal. This is crucial after the recent set-backs and mention of the dreaded phrase 'going concern.' Whilst of course, this implies significant dilution, something the board has been keen to avoid, it keeps the company and it's future in our hands and prevents potential vultures like Darwin getting their hands on our company. Importantly, it also adds no further debt to the company's books and will see the company in profit sooner than later. As a rider to this proposal, I would also wish to see Panmure Gordon waive their admin costs for overseeing such a placing, given the precarious position DCP is in right now. What I would ask you to do, by Friday of this week at the latest, is to indicate whether, as a private investor, you would support such a proposal, a simple yes or no; and secondly, if you would support such it, realistically, at what kind of level ie how many shares would you consider buying? Please head your reply 'proposal' and I'll collate responses so that by the end of the week, I have a clear indication as to the extent of support for a placing. I will start the ball rolling by saying I would buy 250,000 shares at 2.5p if the offer was made. Please respond, at whatever level, and remember that collectively , we could make all the difference here. I am prepared to follow this proposal up by contacting PL prior to the AGM to indicate the level of support from posters on LSE and would be happy to speak to such a proposal at the AGM. I also feel that this option is far better than a derisory bid made whilst we are in such a weak position. Regards, Alligin.

It's been interesting to read posters views on issues such as potential placings etc over the last few days. I agree with those who have suggested that the board could/should have pushed for more funding at the last placement (10p) but I also agree that PL et al made a calculation that in their view minimised dilution whilst raising 'sufficient capital.' Since I first invested here in 2009, I have grown to trust the board because it has demonstrated throughout that it really does have shareholders interests at heart. The board have secured short term funding, but as importantly bought some much needed time to consider the best way forward from here. It is very significant ( and I don't apologize for repeating this) that around 40% of DCP's shares are held by four institutions and directors. Equally, we shouldn't forget that a black empowerment movement own 26% of Lace. Each of these organisations has a major role to play in where we go from here and I cannot think for a moment why any such party would sanction a cash sale for a tiny fraction of the asset's worth. Equally, each institution is under pressure to deliver on it's investment and my guess is all of them are involved far higher than 6p. Given the board's relationship with it's shareholders, I believe that unless a deal is put on the table that is fair and reflects the true value of the business, they will walk away and resort to another placing following a General Meeting. That may involve pi's- it may not, depending on on discussions with ii's. Whilst some are willing a quick sale on us, I would rather be still posting here in 2019 with the sp 12-15p and discussions being held on potential dividends. Finally, I don't think Aim rules would allow a crowdfunding scenario through pi's but I am sure significant numbers of us would wish to support the company through to profit by getting involved in a placing. Off to France for a week tonight to catch up with some relatives and drink some of the good stuff and I'm wondering what will happen in the next 7 days! GLA

Hopefully, DCP treats its shareholders better than Firestone has done. I was invested in FDI and the management at times was shambolic culminating in a massive consolidation three or four years ago. It has moved into a good position on the back of pi's who have lost millions!