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It would seem that they are late in publishing results. Last year RNS on the 6th announcing results published 13th. To date no announcement and can we assume results are at least a week away? Any views as to why that may be? I assume things are more complex after the Tailwind acquisition but seems strange.
Chinch
I think it is fair to say that the share price here has rarely in the last 6 months or so represented the true value of the company currently. The Eigg drill seems to have overly depressed the current price and production. Regardless of the result, thanks to HM gov and its so called tax, that takes away nothing from the companies value in my opinion.
Whilst we can all wonder why our board felt no need engage, we should also consider the following.
Both offers were using our money and offering us paper in KIST that we have all speculated has been artifically rasied during this period. I personally suspect that if the deal had gone ahead that the KIST price would have fallen rapidly to a level that would leave us at around a price per share that we sit at now. Secondly it is clear that the money men were not prepared to back AA in a higher bid or a full on takeover or he would have taken a different route today.
It is also interesting that this approach did not flush out any other suitors at this time. They could be coming but nothing in the share declarations leads me to suspect that to be the case.
Whilst, as a modest holder here for a numner of years, I understand the frustration towards ACW et all in the last few years we should not forget that the deal they made with BP has put us in the position we are at today. The recent LTIP set a target of double the share price of circa 3.40 and one assumes that those that made that decision were pretty confident of achieving it if not exceeding it. With increasing dividends during this period I for one would be happy to take that.
I am sure many will disagree but this is not a bad share to be in whatever the market does tomorrow, with circa 50% of the current price sitting in cash the downside is fairly limited in my view.
Is there a danger that the nearer to the bid price that sqz rises that sellers who do not wish to take KIST paper will sell? Those shares then purchased by those close to the KIST bid and then mission accomplished for the bidder?
My thought is that it would be a minimum of 7p based on a 3(ish)% yield. I base that on they will not want to raise it to a level that is not sustainable should gas prices return to a more normal level. I know things are not looking that way at the moment but a long time view would suggest they may return to lower levels in the future. Of course a special dividend might top that up this year. Just my view.
Could also do with an update on extending the FPSO as that is due to be sorted soon.
dickupham,
I agree that a special dividend could be issued this year which would be on top of my 7p, which would leave them room for future years.
I share the concern about the future as we have had the statement that looking for appropriate opportunities and not over paying for them in several updates. My worry is that they are judging these "opportunities" against the BKR deal which as we all know is not likely to be repeated and as such "our" cash is just sitting idle .
Thanks for confirming that. Now we need to hear what the plans are for the future development of the company and announcement that a deal to keep the FPSO on site has been agreed.