Charles Jillings, CEO of Utilico, energized by strong economic momentum across Latin America. Watch the video here.
Has anyone attended recent court hearings? I note the website has been updated with a scheme of arrangement, seems that this is largely dealing with secured creditors. Has anyone had confirmation from Opus of a nil return to shareholders or otherwise.
And your company valuation capitalising established income stream and profit margin using industry norms is...
See https://www.equidam.com/ebitda-multiples-trbc-industries/
In lieu of discounted cash flow see Ebitda multipliers. Now compare with margin in accounts. Equate share price with market cap. Is your answer 1-3p?
Do you calculate share price, or is it the result of market sentiment and a finite amount of shares...
The point I was trying to make was that the RNS overstated the risks of zero proceeds being available to shareholders, if, in the Directors hypothetical insolvency scenario was realised, and that the administrators achieved the Net Asset Value, then there would be £500m of proceeds. Effectively all the plant and machinery. A fire sale is anyone's guess. As others have said, it is governed by bankruptcy law and hopefully that is observed to protect an artificial off market fire sale materialising.
The best way to value the company for a genuine open market take over would be by comparable company sale rather than extrapolate market sentiment to existing share price in my opinion (and that of the accountancy world).
I'm not going to go on as it will come across as patronising, but price, value and worth are all different things.
Best of luck
Replacing one Gazprom problem with another ummc default event does not make sense.
A forced restricted sale to UMMC does not establish open market value and isn't shareholder/company interests at this point. I think I'm naive to the levels of corruption.
From a purely shareholders perspective, the assignment of Gazprom loan would have been the moment to place the company up for sale as an open market arms length process to establish market value. The directors did not do this... Wishful thinking perhaps.
What's it worth? 670m plus profit after tax x 10 (?) a further 250m. Circa 920m. Market cap of 57m should be discounted as far below NAV. Offer price should be 15p. Update for reality of sanctions, corruption say 500m, then this would be circa 7.5p.
Anything below this and should pursue suspension as an attempt to prevent takeover. Not sure how that would work. The idea that this is worthless is nonsense, we may, however, being robbed.
Begs the question about how much unsold gold they are currently holding and why an audit cannot be completed.
Information on interim sales to 3rd parties would also be fairly simple to provide.
Disillusioned with the transparency and recommendations of Directors. RNS designed to panic.
The company doesn't need to sell, and in normal market could service these debts comfortably. Payment on demand of loans is being used to force the sale. Obvious point, but that simply isn't the only option available (and is the worst outcome for the company/shareholders. You have to question why it is being recommended by Directors).
I had a look through the last registered accounts and have the asset value considerably higher than the outstanding debt. I can't follow the value of outstanding debtors. First reading suggests the asset value is considerably higher than the market cap. So market value would be asset valuation, which should generate very healthy proceeds. Has anyone else looked at this? Also, surely a debt for equity swap is preferable to a fire sale.