Sapan Gai, CCO at Sovereign Metals, discusses their superior graphite test results. Watch the video here.
For me the biggest risk is we don’t turn into another SXX. Cash is king and at present the market can’t see where the cash is coming from. Majors work underhandedly to take what the want. Unfortunately PIs are at the bottom of the packing order are one difference is somewhat distributed interests of shareholders however even that can change over time. I honestly can’t see more than a 60p buyout so hand tried to be realistic with expectations. GLA. Although for balance I did read an article last week about RIO and Barrick now showing more if an interest in Equador.
Have to be honest I have also reduced my expectations on the future SP.
I would be more than happy with an exit at 60p as we currently have no clear way of valuing SOLG. The Assets we hold are huge, as is the risk to execute and realise this value.
Adding into this the world clearly has a shortage and need for copper vs the risk impact of a short/medium term global slowdown/recession.
I genuinely struggle to see how this can be above 60p for the big payday. I guess the hope is a bidding war, however we have seen no news/on snippets of this materialising.
A challenging day to say the least.
If you look at the daily volume over the past 2 days this is no where near the volume when they delayed the PFS Feb 2021, this was circa 40million. The last two days were approx 6/7million per day.
Also look at the large trades over the past week, no more than 8-10 trades per day greater than 100,000 shares.
Logic doesn’t stack for the drop. Especially given SOLG delivered on releasing a solid pfs.
Looks like the investment contract with Solgold was pre agreed before the conference. See towards the end of the interview. All be it with limited details.
Either the market missed this Towards the end of last week or it is unlike to move the price significantly. I guess the fact it was pre agreed and no Solgold speakers at the event must give some confidence on financing Cascabel.
https://www.bnamericas.com/en/interviews/open-for-business-ecuador-seeks-investors
Interesting when you look at the speakers At the event.
Lumina Gold - Marshall Koval CEO
Solgold - No speakers
I also see a representative from BHP was speaking as well......
Certainly all very interesting for a Friday
Interesting to see no major change to the CPG share price since the beginning of the year despite the SOLG fall.
One would assume if there is any short term risk to a low bid for SOLG alarm bells would be ringing at CGP towers as well.
Thoughts?
I’m surprised SOLG have not wanted to have another webinar to provide an open forum for pi’s. This could provide an opportunity to increase pi support and votes if necessary.
Granted the last few were slightly repetitive, however surely they now have a lot more to discuss even if they have to release market sensitive info. Prior to any webinar.
This would allow us a voice.
https://www.google.co.uk/amp/s/mobile.reuters.com/article/amp/idUKL3N1B51PA
An old article dated 2016, however still relevant to potential M&A
I don’t believe you are correct. A CFD is not limited to the outlay on the trade. It has an uncapped downside to the overall margin of the share price purchased at. They potentially have exposure of 700m shares at 5.5p ish. £35m if this immediately falls into administration assuming a no vote.
Surely They would not risk this for such a small return on the AAL deal going through.
Yes I thought the losses would be significant for Polygon.
Are we any clearer if Polygon has voting rights attached to the CFDs. Assuming only 25% of PI vote this could make Polygons a deal breaker especially if Jupiter vote against (which is a long shot).
Assuming a no vote, and the share price crashes worst still suspended or the company is immediately placed into administration. Would Polygon s CFD exposure be fir the full price of the shares eg 700m & 5.5p circa £35m loss ! If so this is staggering.
Please elaborate. II’s holding more than 1% only represent circa 25% of the votes.
This excludes Polygon. Assuming PI only account for 25% of nominee accounts like HL.
All of a sudden assuming Polygon have voting rights attached to the cfd’s thus could make their vote very decisive.
And thus assumes Jupiter back the deal as well.
List
Jupiter 7.8
Qatar 3.2
Norwegian 2.3
Barclays 1.8
BlackRock 2.86
Vanguard 3.37
Bod 2.4
Odey 1.5
UBS 0.3
Society generate 1.8
Jefferies 1.8
UBS 0.28
Surprised to see the site is ramping up given the company cash position. Increased volume of contractors attending site, as well as the lights on an evening.
Assuming the court meeting is not adjourned and AAL’s offer of 5.5p is rejected next week, are they allowed under the take over code to make a revised offer? Or do they have to wait 12 months.
Appreciate they have bid under a scheme of arrangement, however I seek clarity on if they can re bid immediately.
Interesting that the Woodsmith site seems to be a wash with activity, new cranes, more contractors, almost a step up from 2 months ago.
Just voted No to both options. Spoke direct with Halifax, I previously received proxy forms a week ago however wanted to vote over the phone.
I asked about interest and the lady advised the previous called was also ringing to vote on SXX.
Drove past the Woodsmith mine earlier and was surprised to see 5 cranes in operation which is an increase on lat month. I would of thought cash preservation would of been important to SXX until they had confirmation of the future!
Vote No