Rainbow Rare Earths Phalaborwa project shaping up to be one of the lowest cost producers globally. Watch the video here.
Magog. I worked for Schofield at that time. I agree with what you are saying but I do think that he was unlucky to buy RHM just before the 2008 crash. At the time it was fashionable to carry high debts. I bet in retrospect he wished he had financed it with a rights issue (Pfd SP was around £3 back then), like he did with the Campbell’s acquisition. Hindsight is a wonderful thing though !!
Electric
I am sure that we will get the interims next Tuesday. If they were going to delay, they would have said so by now. I am expecting a decent set of results given the big sales boost caused by lockdowns.
I would be surprised by a bid by ABF. Not only have they got their hands full with Primark, but up until today the competition guys would have had something to say because of premiers part ownership of Hovis and ABF’s ownership of Kingsmill
The perceived wisdom has always been that potential suitors have been put off by the high debt level and the pension deficit. However because both of those problems are well on the way to being solved.....who knows.....maybe a bid ?
I think that the loans were made to Hovis by Premier, not the other way around. I had expected our share to be around £50m plus loans payed back by Hovis.
I have written to Richard Godden asking for more explanation of the £37m.
Maybe we will get some more clarity on Tuesday......but I guess at the end of the day £37m is better than nowt.