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The UK gov want us to be an attractive country to list in. Making SPAC's more accessible means that private companies looking to go private have a less complicated and restrictive process of listing.
I am not sure of the history of, say, Amazon, but when they were a private company they could have opted to use a SPAC through which to list. If they did, and lets say you held shares in that SPAC originally, then you would be a very very wealthy individual today.
The UK gov want the latest up and coming private tech companies to use SPACs in the UK. We may end up seeing the next big thing list on the LSE via a SPAC. I do think that MOGP will be for one of the ORPH spin offs, but who knows what will become of us. If it were disease in motion then i see a massive future. The mystery box, as we are at present, is very exciting.
We may see a trend of investors taking up small positions in various SPACs for the chance to get a ground floor entry into potentially massive businesses. Lucky dip investing :-)
Looking at the holdings in the company, CF (via investment co) has acquired 83,927,629 shares. If we assume that these were aquired in the latest placing of £0.001975 then that is an investment of £165,757. That is not punt money.
The name change to UK SPAC adds further intrigue given that ORPH are looking to find a home for their spin offs, and therefore i am pretty confident that none of this is a coincidence.
I also dont think CF will have invested £165k, with similar amounts from Chris Potts and Rich Edwards, if imminent value sapping dilution was on the horizon.
I am expecting heavy dilution in order for us to house a spin off from ORPH (if, indeed, this is the intention), but i have a sneaky suspicion that the dilution, combined with acquired assets, will result in an increased SP, and thus net gain to existing shareholders, incl CF.
Dilution is wealth sapping in lifestyle companies where the money raised isnt value accretive. It meerely pays the directors salaries and keeps the company ticking over (ive been in a couple of those over the years!!). However, dilution can be value accretive too, if the funds raised/shares issued are used to acquire something that longer term will be worth more than the original outlay. I see the likely dilution here being of the latter in nature. If we do acquire one of the spin offs i think the SP will actually increase.
All in my opinion, of course, but it is enough for me to take a punt. If we do acquire an ORPH spin off then i will be receiving a heck of a lot more of these in time :-)
We also have the added excitement over SPACs at the moment. Rishi wants us to take full advantage of brexit and bring the UK back into the PLC big leagues with a stock market overhaul. I read somewhere that Apple is worth more than the FTSE100, which is insane. Rishi wants more tech companies to list in London to help bring us forward, and SPACs are a great way for companies to do this. MOGP (or UK SPAC PLC) anyone?
Casinos arent for me earache, although some say AIM is one big casino!
The movement on the SP has been somewhat dull after the small burst this morning. But this has become an exciting share to be holding. A big question mark on a box, almost like deal or no deal! With LSE playing the banker and CF playing Noel Edmonds!
What will happen? No one on this BB knows, but CF does... and we will all find out soon... and hopefully it brings us riches beyond our wildest expectations (but could also be a damp squib!)
I am fairly confident that MOGP wont be "buying" the spin offs, at least not with cash. Shares will be issued in MOGP to be given to ORPH shareholders in exchange for the spin off. This will create dilution in MOGP, but MOGP will immediately be worth £200m+ so the SP wont necessarily crash. Speculative punts in MOGP are based on there being a net gain for the existing shell, so despite any major (and likely inevitable) dilution, the SP still rises.
I expect dilution later (post spin off) to raise cash, whoever will provide the finance.
I for one am not too concerned if a 50 fold dilution from today ends up resulting in a 1p share price. It will mean a gain from today's prices.
I also expect FOMO to take over as, in the case of immutex, the assets could be hot property and thus the value of the overall MCAP may exceed the net assets value of the spin off.
Any would be investors need to acknowledge that this is a speculative punt. As trader mentioned, there are many unknowns, but CF certainly knows something, and enough to buy 5%
I think the main reason people are making speculative punts in MOGP is that CF (via investment co) has invested to acquire 5% of MOGP.
Dilution is inevitable, but dilution isnt always bad. If the shares in issue quadruple but the MCAP 5 bags (for example) then the ground floor MOGP buyers still gain.
A lot of the buying here is following CF taking a position and the expectation (hope) that he wouldnt do so at a detriment to his own wealth
Did CF mysteriously buy in to ORPH/HVIVO before the announcement? Or, was he introduced as and when the announcement is made?
If the former then it is possible we are in line for a repeat here, at least in the sense of CF taking a position in a "lost cause" right before a barnstorming tranformation
The risk of dilution concerns the funding required to progress whichever non-core asset is spun off (assuming this is indeed the vehicle).
If this co becomes the immutex spin off, for example, then the dividend in specie from ORPH will ultimately transfer the IP, assets etc from ORPH to MOGP in exchange for shares in MOGP. It is well know that immutex will need a lot of funding to get it through the trials etc, funding that will come from dilution imo.
I dont have much experience in this type if situation, but if MOGP is a spin off vehicle then cash will be required in addition, whichever non core asset ends up making its way over (if any)
I have taken a speculative punt. Who knows, i may be receiving a lot more of these if it becomes the vehicle for an ORPH spin off.
My initial concern surrounded the potential for significant dilution, but i am reassured on the basis that CF (via his investment co) have pumped a heck of a lot more than me into this company. My guess is that they havent done it for no reason, or with the expectation of losing money.
One of the blindest investments i have ever made. Could turn out great. Could turn out to be a foolish decision. If it goes south then i will only be risking a small stake and will see it as a learning experience.
Very much a punt, but actually quite exciting :-) its like buying a mystery box. Who knows what's inside...
A very good find. The government now see it as a sufficient method of testing based on that document. We (potentially) have the product ready to roll later this month. If we can prove it works, with a high detection rate, then we must be on of the first applications through the door. Not only this, but the integration with the app, and thus allowing a (health)passport of sorts is the exact type complete solution the UK gov need.
March could be massive for DVRG!
The catalysts for a rise here will be:
- launch of merchant arm
- trading update (with numbers to a given date)
- a new crypto added to app
Any of the above, in any order, will boost the SP imo.
All the while the numbers of users are growing and we know a marketing drive will be underway once the merchant arm goes live. The recent raise was gearing us up for the big push imo.
The financials for YE 2020 wont provide much in the way of a rise as they will reflect the prior year. MODE has only been public for 5 months and the rise in BTC and making the app more widely available (android) has only really been a factor in 2021.
We are certainly the early birds, but MODE is one big worm. It wont be long before others flock to this share, and it will likely come off the back of one of the above catalysts. The free float is said to be tiny, this will help the price rocket on good news and high volumes
If the microtox BT is proven to work and is approved with the CE mark, then what next?
The health pass will not work unless it is accepted by governments/organisations and that there is universal awareness.
I hope GB has all this mapped out. He has indicated that the main constraint within the cruise industry is the acceptance of the results at each respective port. This makes sense.
We will presumably have this same issue within the UK/other countries when it comes to wider use.
The idea of a positive breath test letting you into a night club only works if it is a generally accepted/approved method. This means the governments/health advisors need to approve/validate it.
If the BT works, great. But its effect will be curtailed if the healthpass is not recognised/accepted. Turning up at a concert with a healthpass is only effective if the venue knows to accept it.
I suppose the cruise industry is a great place to prove the concept and earn us some decent recognition. It is also a self-contained society of sorts, limited to the capacity of a cruise liner. From there we can use it as an example for the next progression. Personally i cant see BT being the device that opens the econony in the UK this year. It would be great but i feel as if far too much has to be put in place to allow it to become universally accepted (unless these conversations are already happening...)
Nail a cruise company as proof of concept and we will really start to fly. From there is anyones guess.
The wider application as an early detection tool (including some cancers) could make the BT an amazing tool for the NHS, or the health concious individuals. I just feel it will take a long time for the BT, if successful, to reach the widespread recognition a lot of us are dreaming of. But from tiny acorns do oak trees grow, and all that!
I believe we will attract some traders of BTC, but, as was highlighted recently, we are not the most competitive when it comes to fees. I believe binance (dont use it or have much knowledge of it) has lower trading fees (0.14%, i think someone said).
I think MODE will win the "new to crypto" crowd. Some of these will try to trade it, which is great for us. The payment arm of the business (Q2) will be a game changer if the launch merchants are big fish. Imagine if we got a supermarket or a major online retailer onboard? All in good time, but i am really looking forward to finding out who the maiden merchants are.
I hope it isnt Steve's car wash and Gavin's plumbing services. Winning these types of businesses on mass will be amazing, but we need a flagship merchant early doors to really set the tone. Imagine someone like ebay
With that level of revenue hopefully raises will be a thing of the past! It is instant cash too. No bad debts or anything. The customer gives MODE £10,000, we take £100 for our troubles. When they well it for £20,000, we take £200. No time delay or anything. Revenue = Cash for MODE. Beautiful
Plus, i assume they make money on the funds they hold on behalf of customers, like a traditional bank does. We are paying out interest of 5%, so you can assume we are making more than 5% in the first place :-)
Over the next 23 trading days we should:
- see the launch of skin trust
- receive an update on microtox BT
- receive an update on microtox PD
All three of these could be huge for DVRG. If the two microtox devices come in then this could be potentially transformational news. We have lots of irons in the fire here, and we are soon to see how these can be forged into the DVRG armory! We also have the existing revenue streams from labskin and MW which are continueing to experience growth. Imo, a lot to look forward to with this share. Lets hope March provides the launch pad!
Good find. When i was in ARB we noticed the OTC listed ARBKF ahead of the announcement. It wasnt a NASDAQ listing (think it was referred to as pink sheets??) but basically the shareholders discovered it before it was officially announced.
If you google OPORF it brings us up on numerous websites with a share price of $0.36 or so. MCAP of $232m (market watch). There is little history of SP tracking so i personally dont see it as a US equivalent of a UK stock. It could very well be a new direction discovered before announcement
Noted, cheers guys. I hadnt seen one of these threads before
In light of "the tweet", how long do we think the ex dividend period will be? (when eventually announced) Anyone holding upon announcement? Or will there be a week or two from announcement to issue date?
In the case of the latter i would expect to see the SP spike before dropping back as many traders drop in and then drop out, netting themselves a spun off company in the process!
I personally prefer the idea of the former. Ie, those that have been here long term deserving the benefits of a spun off company
Ye, i saw it before it was deleted. It stated NASDAQ spin off of imutex to be announced tomorrow. Hmmmm. If info such as that has leaked i am surprised we didnt see a spike in price. Time will tell
Thanks Earache, some useful info.
The base cost would be considered £nil in my opinion as it is the easiest/logical way to determine the true gain in economic benefit.
An alternative is that the dividend is recognised as income, with the income taxed accordingly, with the value of said dividend then becoming the new base cost. So, based on the previous example, £1k of dividend income, £500 of capital gain upon sale.
I do not specialise in personal tax, but i cannot see an outcome which would not result in either of the above becoming relevant. I personally think the former is the most realistic as the dividend in specie doesnt actually provide you with wealth until the share is sold. This echos the treatment of gift relief, whereby the recipient of free assets adopts them at the base cost of the previous owner, to be factored in when the recipient sells. Any eventual gain is based on the original purchase cost.
Regarding the "cost" when factoring in a proportion of an ORPH share, i dont know how this would be calculated. The ORPH price today is not based on net asset value, it is based on a combination of factors. ARB is worth £1b based on its market cap. If it were liquidated tomorrow it wouldnt end up with anything near £1b. Therefore, it's SP is based largely on sentiment/potential. Of course, someone could still consider it to be worth £1b, i'm not saying it isnt per se, but basing a business value of the balance sheet is the most basic metric and isnt used when buying/selling companies, largely due to the fact that is doesnt consider the actual company potential.
Therefore, our base cost in spin off Co wont be based on a perceived pro rate value of ORPH. At least not from what i have ever seen before. ORPH has its own base cost, the amount you bought it for, and will have it's own proceeds, the price you sell it for. Any eventual ORPH gain will be based on those two values
Third one from me :-)
According to HL you can complete the form in app. It will reduce US withholding tax from 30% to 15%, or to as low as 0% if held within a SIPP.
I am not sure if other brokers offer an in app/account feature, but as an HL user i am reassured that they will guide appropriately. There is talk of the non-core spin offs floating on NASDAQ so it is likely most ORPH holders will need to consider this implication at some point