Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Gosh that really is accretive. Spend $3-4M to save $250,000 pa Mel
LuckCounts I have not met Hart but I have had dealings with the previous chairman. Here is the critical factor. The main reason I have no confidence in COC is because they appear to have made no effort to tell the intitutions what the plan is. The Monaco base screams of gimme the cheque book. mel
chris211 Feel the quality of the information you have on COC so far .....and their directors..........and coherent strategy ( what is it?) My feeling is that COC has been so limited in the pertinent information they have supplied that you may find you have bought a nasty pig in a poke. mel Mel.
Richard What evidence do you have about COC which gives you confidence that they have the integrity, ability or plan which justifiies replacing directors with O&G technical experience with those who have , as far as we know, none. There is the small matter of relationships with the Cameroon government. Do you know something the rest of us do not? What is the agenda of COC? Billy Allen I trust. I assume he can be relied upon to look after the best interests of shareholders, both institutions and PI's. If COC come up with great plans, I assume he would not block. If COC just wish to grab the chequebook I assume he would not play ball. Sometimes it is prudent to beware what you wish for. Mel
I am now a shareholder and support Billy Allen wholeheartedly and will vote accordingly. Monaco based COC have given no evidence that they have the experience and ability to run Bowleven. I am more concerned about whether they have integrity. If they wish to bid for Bowmore - that is fine. Perhaps they would need pockets deeper than they have . Bowleven did not have the resources to develop Etinde. Lukoil does and 20% is huge. I shall certainly vote against the appointment of new directors. Mel
So COC. Private company. Monaco Is it friendly to Friends of the Earth, Friends of Dangote, Lukoil, Daesh, Mafia, the good Syrian doctor, the tooth fairy ,money laundry? You would think that the ordinary Joe would want to know more than grass cutting, lawyer ( dont trust them) . Monaco, and private company. Often good to know a little about who you jumped into bed with. Honour, integrity, competencies. all good things to know. It would be polite for COC to tell the public. Mel
Ted1 Institutional investors voted fro old guard, they know a thing or 2. COC, remerkably, asked shareholders to support them but havent shown a smidgeon of O&G expertise. or their actual strategy. Usefully they can bring their great ideas - ut they have not won board control and do not have the chequebook. Mel
COC stated this was not a company takeover. Are we to believe they are liars? Mel
CHRIS It isnt a quick fix - but if and when a LNG plant is indeed built then there is a monetising option for the gas at Bomono Etinde Matanda and Logbaba. - Huge. VOG and Bowl may seem like competitors, but they both have the problem that in country sales of gas have a limit. The real pot of gold can be derived by proving up enough gas to help brig about an LNG plant fro LNG exports. As a VOG holder I believe it is in the best interests of both companies to cooperate and prove the quantum of NG to justify the proposed LNG plant. Both companies could make that pot of gold at the end of the rainbow as and when and if it is built. In the meantime Bomono gas sales for Bowleven will ensure the cash assets of Bowleven are not diminished. I think there is every hope of large returns for Bowleven - I accept not tomorrow. Mel
Sorry meant LNG plant Mel
Rot1 In case you hadn't clocked it 1. Gazprom promised to buy all CNG from Cameroon 2. Of course no CNG plant built yet but endless discussion. As and when and if it is built the assets ubder the ground will have huge value. COC wasnt patient enough to wait till value appeared but may have stopped those who expected value to appear from reaping rewards. (Institutions) .......however the old guard still retains control with the chairman's casting vote. All that said I am on the side of PI's regardless and each has his/her own decisions to make. The waters certainly got cloudier and for sure it isnt over. Good luck with a director who presumably has grass cutting knowledge. I hope and expect 3 chunks of really good news from VOG on its operations in 2017. Great I hold a lot of VOG. ( for me) . When the news is in and voggies expect it all to transfer to P/L and material uplift in cash flow - It will be constrained by monetisation options just like Bowleven It is obvious to me that everyone would be a winner if VOG/Bowl ( & Lukoil?)can help bring about a LNG plant so monetisation is easy quick and assured. ( Gazprom has promised to buy it all) Then watch the O&G activity in Bomono Etinde Matanda and Logbaba take off. Hart & co may have been too expensive to carry - BUT taking eye off ball on the big prize ahead ( LNG plant) would be really stupid. Mel
legalese So, if you are right, we can expect a very rapid profits warning from SGH and Redde? You know what the chinese say about disaster ...opportunity about! Mel
meanwhile Redde plc has a divy yield of 7.4% and a PE of 18. Legalese - I do listen and often learn. I am sometimes wrong . Can you tell us why it will impact massively on RTA claims business. I ran this past a legal buddy ( fellow QPP investor) and in his view it would cut out dross rather than impact on the high margin cases where medical and legal expertise is needed to nail a claim. mel
Had a quick chat with my solicitor buddy QPp investor. His view is that SGH will be unaffected by the changes. No industrial injury claim would get anywhere without expert medical opinion and legal help. If there is some minor dross clear out , it will declog. No bad thing. Any businessman/woman knows SGH post acquisition had to keep pumping £'s into WIP and that SGH will have had the gumption to cover that in the finance arranged. As Greech ( of SGH) pointed out - wait till you see the second half to pass judgement. I see nothing to alter the Edison estimates of £0.25 Billion PBT spread over the 2 years to June 2017. .... the stonking 83% rise in Earnings/share for SGH shareholders in the same period. If there is a problem with SGH shares it will lie in the Covenant of the loans SGH arranged. If they are related to SGH market Cap.( now £165M) .....I concede there would be a problem ( and a jaw dropping/ astonishing cheap opportunity for those with cash to pick up £0.25Billion PBT, and expectations of net cash generative WIP over the next 20 months ) Central to the QPP normal shareholder thinking has to be the question of how to get value back into the equity/? It could take Aeons to grow datamanagement/ telematics business to a fraction of the profits stream now facing SGH. SGH Market cap is £160M ......I quite like the idea of no cash distribution and £0.25Billion Profits before tax over the next 20 months to end June 2017. and poetic justice. A merger with SGH could cure any borrowing covenant issue. Separation of data management from Legal services has been achieved and , if data management has lots of value, it could appear in an IPO or sell off. Meanwhile Greech of SGH tells us that the second half of its trading year will tell a completely different story. If no borrowing covenant is breached he does not have a problem. The converse is true. It would be odd if SGH cant tough out 6 months. Mel
addicknt I know nothing of Parabis. However. If it has worthwhile WIP, Redde or SGH might pick it up for a song and garner supernormal profit. Pity there is no short term corporate bond market anymore. Mel
Edison research points to £283 M PBT for SGH over the next 2 years Add Redde and PBT over 2 years about £368M Divide by 2 ......unassailable £181M PBT pa . I like scenario planning because sometimes things emerge which are not 100% stupid. Mel PS still getting over Joubert.
Well I would prefer it if the company kept all the cash. Then , just for a laugh merge with Redde plc [ “Redde Plc T/o £248M EBITDA £31M PE 19 MCap £482M ] Then to add value , bid for SGH ( £411M Market Cap right now) and Trakm8 ( M Cap £78M). IPO Trakm8 + Ingenie & Himex . and settle fro a dull PE like 14. It would double or treble value of your holding and point clearly at FTSE llsting. Then I could shut up after a good giggle and we could all sleep at night, safe in the knowledge that our directors eventually delivered real value. Mel
Many will have noted the AIM market is an equity or nothing market. Until the late 80's it was possible forr relatively small corporate entities , including building societies, local authorities and plc's, to raise certain categories of finance via short dated corporate bonds. Billions of £'s were raised in this way. The advent of "bancasurance" and Fred Lawson tax changes ( eliminating bond washing) squeezed the market. Bank squeeze and need for improved ratios means there isnt enough finance. It is hampering growth. It would be helpful if Osbourn could come up with tax incentives to get this market going again. Private co solutions would help too. If QPP had produced a forecast point to £200M pbt over 2 years and the need for £30M 18 month cash, and asked its shareholders to protect their investment by bridge bond 18 month loan to get it over the hump, I know I would have stumped up. Messy and irritating to most in the city. I quite like that. ...but £200M + has its attractions. Mel
Many will have noted the AIM market is an equity or nothing market. Until the late 80's it was possible forr relatively small corporate entities , including building societies, local authorities and plc's, to raise certain categories of finance via short dated corporate bonds. Billions of £'s were raised in this way. The advent of "bancasurance" and Fred Lawson tax changes ( eliminating bond washing) squeezed the market. Bank squeeze and need for improved ratios means there isnt enough finance. It is hampering growth. It would be helpful if Osbourn could come up with tax incentives to get this market going again. Private co solutions would help too. If QPP had produced a forecast point to £200M pbt over 2 years and the need for £30M 18 month cash, and asked its shareholders to protect their investment by bridge bond 18 month loan to get it over the hump, I know I would have stumped up. Messy and irritating to most in the city. I quite like that. ...but £200M + has its attractions. Mel
Addinkt If the covenant of the payer is good, you can always convert invoices to cash at a bank.Odd if SGH had not arranged enough finance to get to cash generation. Mel