RE: Phase 1 SR complete6 Oct 2022 11:32
I'm well underwater here and trying to process what if any lesson I have paid such an exorbitant price to learn.
Although I'm probably less well clued up than other posters with a much longer investing histories than my own I can't help but think two things;
1. The recent volume of sellers and the values sold look small albeit they are predominantly sellers. This leads me to the possibly erroneous conclusion that these are fed up PI's and traders who are calling their losses now based on the lack of news which was expected on Monday. Which means that the price action isn't any sort of insight into the value herein.
2. The market cap of Landore is but a sliver of the value of what is in the ground and a long way below 20% of the NAV.
Only two things disturb my catnap (besides a hatred of water (even metaphorical water));
1. Have I failed to see something which would be at the level of an existential threat to Landore?
2. Have I miscalculated the timeline for conclusion here? Probably.
On a more possibly positive note (again an area where my small amount of knowledge might be dangerous so don't take my word for it) wouldn't the BOD be legally obliged to tell us if no EOI's had been received? If this is true then this must mean that they have received at least one EOI? The FCA rules state;
"Inside information needs to be released to the market ‘as soon as possible’; a delay of only a few days can be unacceptable (see: Cases on disclosure of price-sensitive information). Where the news is unexpected by the company, such as a natural disaster or a surprise contract loss, a short delay may be permissible to establish the facts. But if, pending the full announcement, there is a risk of a leak of confidential information, a holding announcement should be made, including as much information as is known." The only exception is where disclosure would impinge on a company's legitimate interests.
The general rule on inside info is that it is info that might move the share price more than 10%. I think the lack of reciept of any EOI would count as such.
Aim does have a rule though on pending negotiations;
Rule 11 states
"(b) An AIM company need not notify information about impending developments or matters
in the course of negotiation " it goes on to say who the info can be released to i.e. advisers etc.
This could mean that we have an expression of interest given that the behaviour of the company is congruent with these rules. We have no announcement. Indeed the radio silence is because we are in a negotiation. Please set me straight if this is not possible. In other words the evidence of what is happening is presented by what is not happening.
As I said before I have little knowledge on the subject no to mention little success as an investor here and I might need all of my nine lives to get my money back.
DYOR and wake me up when there is an RNS. Zzzzzzzzzzzzzzzzzzz.
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