Member Info for bluegrass

John agree with most of what you have said this morning. Although not worried about missing placing since took the opportunity the following morning to pick up as much as I wanted for a couple of percent more.

We are where we are now and time to move forward. Think the placing price is now pretty much the bottom marker, so only up from here. Can't really understand why anyone is selling at all - we've had the difficult news (the money raise at a discount) and we are waiting for the good news (start of construction). So why would you sell now.

Part of the placing to maintain 25.7% not the additional to go to 29.99%. Think either is plausible. Will have to wait and see.

"It should also be noted that pursuant to the Investment Agreement dated 28 June 2019 entered into with Ganfeng International Trading (Shanghai) Limited ("Ganfeng Shanghai") which was announced on 28 June 2019, Ganfeng Shanghai has the pre-emptive right to subscribe for such number of shares as will maintain its current holding in the Company of 25.7% following completion of the Placing."

Quote from original placing notification states 'subscribe' to such number of shares, which implies to me subscribe from the placing. But then confusingly it states following completion of the placing, which would mean you are right.

Quote from Placing Results.

"In addition to the Placing and Retail Offer, Ganfeng Lithium Co. Ltd. ("Ganfeng") has stated its intention to potentially exercise its pre-emptive right at the Placing Price and to increase its holding in the Company to up to a maximum of 29.99% in line with its original shareholding in 2019. Completion of this investment from Ganfeng is conditional upon obtaining board approval and certain approvals and consents from authorities in the People's Republic of China"

You maybe right, but I think it is unclear. It would have made sense for Garfeng to maintain their original percentage within the placing mechanism otherwise we end up with far more cash than we need.

Interesting. Look forward to seeing full results of placing and who bought what. Don't Garfeng only need approval for increasing holding above 25.7% ?

Don't see why we would be out of business if Garfeng decided not to increase from 25.7% to 29.99%.

Sorry I am a little confused about this. The placing RNS states that prior to the placing Garfeng had 25.7% of shares and the right to maintain that level. I was therefore assuming that they had opted to buy shares within the placing to maintain that level, not that there would be additional created at a later date.

Garfeng then have the right to increase their holding up to 29.99% which would mean more shares, but not as many as you say. Also assume the price paid for the additional shares will be in line with the original agreement.

Is this not right or have I got it completely wrong.

Not happy about the price drop and discount for the placing but suppose they wanted to make sure it all went smoothly after the failed placing a couple of years back. Anyway now financing is secured how long does everyone think it will be before we get an RNS on construction? Finally lining up the ducks so could happen very quickly. Hope that will send price north again.

I know 2.5 years ago is not relevant to now. Just making point that there is not always any logic to share price movements. People fixate on whatever 'seems' relevant at the time. But, as you have said, nothing has changed with the fundamentals, which in my mind should give a more stable share price which is not affected so dramatically by minor movements in the wider market. Like you I am waiting for Q1 news.

Fozdog I didn't say 'stock markets were undervalued'. I was saying BCN was undervalued and was moving up to realistic levels. But agree share price here will never be solid until we get news on finance and construction.
I don't think I was getting caught up in one stock v broader since it was you who first referenced, in this discussion, the downturn in wider markets and I was just responding to this. I was trying to also illustrate the price drop here has been way over done and is disproportionate to any wider down turn in sentiment.
Two and a half years ago this share had a solid average of 80p plus and people on this board were not even starting to think about construction finance, it was all about drilling results and off take agreements.

Really can't stand the illogicality of these share price movements. We've now fallen about 17% from 65p while main share markets have fallen a fraction of this, less than 1% as far as I can see. Also as we are only a prospective miner, we are not actually selling anything at the moment, so any short term downturn in shares generally should not affect us at all. BCN share price is below many comparable prospective lithium miners and should be building, leading up to expected news. Don't think its right to say share price rose in December due to ramping, the share price was building towards where it should be and is still way undervalued. If you want to see ramping you should look at the EMH board. Think people on this board are pretty sensible on the whole. Maybe some people will consider this a ramp thereby defeating my own argument. Personally I think you would have to be mad to sell at the share price now.

No reason at all apart from a few people panicking, a few people trying to hang on to previous gains and a few people attempting to trade. Problem is it then becomes a vicious circle and SP drops more than it probably should. Then it reaches the level that it is now and the people panicking start to get balanced out by the people thinking that it is a good opportunity to buy and the price stabilises for a bit while people think which way the price is going. It could bounce back very quickly so the people that have sold low will be kicking themselves but a few are probably thinking it may drop a little bit more. The majority of people have done nothing and in the long term it will make no difference, I am at the moment in that camp. There will be a balance of people that loose or gain from the price drop. There has been no news, there is no change to the outlook, as far as I am concerned the fundamentals are good and I expect the overall trajectory to be upwards.

Yes definitely tempting if I had funds I probably would. There may be temporary dips like this along the way but over the long term or even in the short term the direction of travel is up.I am doing very well sitting tight on this share and don’t want to interrupt that process when news is due any time.

How Is the trading going johnphw. Did you get your timing right? I feel regardless of what is happening in the markets more widely BCN Is expecting news so could massively relate at any time. So trading it’s always a risk but I suppose could be profitable. At the end of the day BCN Is a speculative mining share on AIM valued a lot less than some of its peers in similar situations, it is not in production with a bottom line to hit. I think prices here are more dependent on people’s nerves and sentiment than anything else. I am a long-term holder here and well in profit at the moment. I am always guessing to myself about possible price movements but rarely trade. I don’t know how you come up with such precise percentages for possible falls and rises Fozdog, as it relies so much on sentiment it really is guesswork.

Should prove

In fact haven’t seen much of a market sell off at all. Also Biden as president show prove a boost to green energy.

How do you know there will be a ‘pullback’. Seems unlikely with news due anytime. Don’t see COVID news as really relevant to this share at the moment apart from maybe delaying news slightly. Maybe you are hoping for a pullback so you can trade the share as you say.

Why have they stated the market cap and share price as of 16/11/2020 ?

I have a few EMH shares but as I previously said I was worried about the hype around the opening on different markets that led to the sharp rises, rather than a rise based on real news. I will invest more in EMH but in a cautious way. I believe they are awaiting offtake agreements, but that has not always been a guarantee for the share price of BCN. The things that really seem to matter are finance and construction on site. I think BCN are ahead of EMH and my ideal scenario would be to make a packet on BCN and then reinvest some profits in EMH, but that’s probably just wishful thinking.

Maybe I am missing something but I never quite understood why BCN Disposed of their 50% holding in Zinnwald and ended up owning less than half of the new company holding the asset. Could they not have split Zinnwald away and kept 100 % of the new company? I know it is small change compared to Sonara but it still doesn't make sense to me. Looking on the bright side BCN's share of Zinnwald is now worth nearly £15 million whilst it seemed to reflect no value on the balance sheet under BCN.