RE: ValOre - Media article9 Aug 2020 18:20
Our BOD acquired PB, IPO’d on the back of it, spent years working on economic studies, continue being involved via NEDs at Valore. Deal with Valore was done in way that ensured we retained good exposure to the project as opposed to any other cash only format. We’ve reduced our holding now by 20% from 25m shares to 20m, still being the largest Valore Shareholder.
It’s clear with above that the BOD really like PB.. We didn’t just sell down for the fun of it, we certainly didn’t sell down as we think this is fair value for Valore. Ergo we sold down as we needed cash.
If we needed cash we could have raised. Try running some figures. My own suggests we’d have been diluted 15%-30% to placees with their placing discount prices and in all probability warrants (hence 30% dilution). Instead of being diluted 15%-30% across all projects, we’re reduced 20% on just Valore stake. If you accept we need cash for whatever reason I think you’ll see disposing of 5m out of 25m option is best option. As current holders we’d probably been there been diluted by 20% on Valore stake (so no worse there), plus pitombeiras and have a weak share register from placees just looking to sell at every opportunity.
I’ve already said I think Jorc will be soon and possible lots more news. By saying we’re cashed to Jorc and pea the BOD also said we’ll be running low on cash after. Critics wouldn’t buy into news as they’d think it’s just a precursor to a placing, likewise existing holders might sell into it in expectation of a placing.
I’d like to see newsflow strong enough to bring those 6p warrants into play. Unlikely if people aren’t buying as they believe cash pile is exhausted.
I think that newsflow starts this week, possibly next. I added a few more times during the week (small amounts - running on fumes!) and persuaded another 2 friends I know to take small entries on both Thursday and Friday.
I don’t think it’s worth getting spooked now. I can’t see us selling anymore Valore, we’ve done if before their news is also due to land probably with agreement from them. We’ve cash for our news and they’ve no longer the shadow of largest holder needing cash sitting over them! I’m really excited!!
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