The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
If the government is trying to push the SP down and force PDZ to sell, then that proves they want the mine as a priority. Which is good news in itself. Even if dirty tactics suceed, the resultant buy out will surely still be many multiples of the current mcap of �48 million for a resource worth seveal billiob. Even if the dirty tactics net them a large discount, this is still much better than PDZ not being brought out at all. If on the other hand the government is sinking to the absolute bottom and trying to divest PDZ of the asset for nothing, and then PDZ win the court case, the damages the Polish government will have to pay PDZ will similarly be many multiples of the current share price. If the government manage to get the mine and get off scot free then granted, we lose everything. But both the above scenarios,- and both of which are liklier - place PDZ in a stronger position than it was prior to the news. I suspect the real reason why the price has collapsed is not that the market thinks we will lose the mine. If it did, I think the price would be much lower than it is now. I think the problem is that this may well take time and lose us all the nice head of steam we had built up. Is this thinking loo
I agree with both those comments. I don't really understand why a drop of this magnitude as been insemianted though. The MMs refused to move the price for a whole week under what appeared to be constant buying recently. Then they move it down by 30% on a few trades- no big sells at all, and this isn't a tiny cap company.
On behalf of the Polish BoE? The market assumes a sinister motive...to somehow divest Prairie of its mine via the back door. But could it just be bureaucratic incompetence/ intransigence? Maybe the necessary piece of paper will be whipped out shortly now Prairie is making more of a fuss....
Would have thoguht they would be a lot on interest on buying on the bell on relist! Might get a bargain!
Ah, now I see it. But, why so little excitement? Buying more on the bell?
Are we actually relisting on Monday? I don't see where in prospectus it says this
Herein is the real problem with AIM 'investment'. I don't mind being slaughtered on bad or even indifferent news. It is when the share price of a company magaes to trickle down 50% during a couple of weeks on no news and tiny volume that is the most dispiriting.
Do holders think it will relist on the same day as the RNS, or give the market a couple of days notice. I hope the latter- will give it much more publicity for an explosive open.
In for a gamble too. Sees to have absorbed a lot of buys, MM may move up to 0.15 quite easily.
Is there any substative proof this is working yet? So far, it would seem that proof is confined to reducing expected decline rates fairly marginally. Is that a fair characterisation? However, one imagines the Aussie bank must have been convinced of something for them to have made this agreement. About 90% down here, so many miles to go for me, but pleased to see a bit of life. The one thing that can be said is that it does not take much good news here to put the rocket pads on.
I'm slightly surprised that these haven't happened yet, but I suppose a £4.5m or so buy would be needed to trigger a holdings RNS crossing the 3% threshold. I think that that will be the green light required to kick things off properly here because volume has really dried up and I suggest without this - or news of some other kind - we'll sit at about this level now, that's what the market has decided its currently worth.