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https://www.sharesoc.org/blog/regulations-and-law/forward-selling-a-crime-against-shareholders/
Worth a look for the uninitiated. May be illegal, and the first comment "below the line" very interesting...
Hi all -something that's been a question in my mind for a while is who is providing the capital when placements are carried out?
Typically, placements are funded by either institutions or high net worth individuals. In a highly speculative situation like this the rationale is presumably that a reasonable chance exists that a catalyst event is (potentially) close, and so the risk reward is viewed in the context of either a short term resolution (success) or, alternatively, no resolution (disappointment, followed by as many more placements as the pool of placement funds will support).
So - who are these people/fund managers, etc., who are prepared to risk 5 or 6 hundred thousand dollars a pop to keep the show on the road for each new window of a few months? I don't seem to be able to find a share register anywhere, although there will be one somewhere (probably not terribly up to date anyway).
Does anyone happen to know anything? Disclosure; I'm not invested, but interested.
FJ
Cash at bank 3+ mill andash burn (monthly) 2.3 mill. Result, misery by the end of June (strictly speaking early July).
So, shares to be suspended on Monday ("temporarily '). Buy now at present price and when/if funding appears before total collapse, the price probably jumps back to somewhere like it was this morning. But, no funds, no recovery, total wipe out.
That's a proper binary bet. Do we feel lucky?
Thanks, very interesting commentary, and I have now read the TR annual report and, in particular, the manager's remarks.
As you say, a character, but very readable. Think I'll head off and buy some of those Supermarket Income jobs he's keen on. (I do have Tesco deliver from time to time, but most weeks it's their physical shops - and those of Waitrose - that get my custom...)
Fascinating divergence between the language used in the results document and the market reaction:
"2018 was an outstanding year for Aston Martin Lagonda, delivering strong growth, with improving revenues, unit sales and adjusted profits. As the UK's only listed luxury automotive group, we have demonstrated our legitimacy in the global luxury market. Our well-defined expansion plans, that combine outstanding high-performance cars with iconic brand-status, are on track as we manage through the uncertainties and disruption impacting the wider auto industry."
And the mark down is 17% , taking the loss of share value since floating in only October to a staggering 40% in just a few months.
I'm a capitalist; I know shares rise and fall. But this one is special, even after all the talk of Brexit and one-off flotation costs.
He/Virgin/Stobart/the venture capitalists are simply doing what profitable and/or cash rich companies can do when other firms run into trouble. Their offer, however low, itself carries risk to them - the east coast rail franchise provides recent evidence that not everything Branson and other entrepreneurs always turn to gold.
The new company and its owners (shareholders) owe nothing to the owners of the failed company; they'd be doing harm to their own investors if they started splashing 'goodwill gestures like free flights around. The fault for the failures like squarely with the Flybe board, not the potential new owners.
The only reason the share price is not already sub-one pence is the faint but not unimaginable possibility that a new expression of interest might emerge with a significantly higher offer. Unlikely becausell offers were already invited last year, shortlisted and due diligence/board recommendation followed. It would take a spankingly better proposal now to halt what is underway so there's a binary choice for existing shareholders right now - either sell for more than a penny, or hope the new offer comes along. If it does, more in the pot and if not, a penny it is....
Your posts this morning have fair cheered me up - thanks!
The problem with getting the food so wrong is that much of the profit margin is driven from in that area. Wet sales are important too, but if the food doesn't deliver, it's a major issue.
I have also had a couple of indifferent experiences recently, including one in Newcastle's Pitcher & Piano (a Marston's pub - who knew?). It's something of a flagship, just by the Millenium Bridge and close to the Tyne Bridge, with extensive river views, so it's never going to fail. But if the food was better I'd eat there (my office is yards away) - and it's not. Very generic, doesn't seem fresh and doesn't inspire.
Hi - Hargreaves Lansdown have this one to deal. Slightly surprised any serious firm wouldn't be able to offer it - it's listed on a main exchange.
On a different note: for once, a new issue is actually trading comfortably above its starting price!
I only post on here extremely rarely, and haven't done so for a very long time, but I thought your post merited a response. It's one of the most measured, realistic and compelling comments I have seen in ages; expressing regret but without apparent bitterness; talking of lessons learned and offering cool reflections on the experience overall. I have dabbled in AIM shares myself, with the mixed results one must expect in this market. I often read angry and illogical comments from unsophisticated investors who want (usually) three things - an RNS today, the share to be a "ten bagger" and the board of directors to be sacked..... You will, I hope take your more reasoned and realistic approach forward to success and I wish you luck.
I'm surprised that article is suggesting the boost to Irish reserves is almost doubling from £70million to £130 million, when the company statement makes it clear it's almost trebling - £130 million in addition to the earlier announced £70 million.... I'm very tempted to buy some at this price, but well aware it's the result of a greed-driven impulse. There's simply no way of knowling whether all the bad news is out yet, or if it's confined to Ireland. Nor can we know what sort of cut the dividend is going to suffer in February's announcement; neither do we know if a rights issue is going to happen and if so, for how much and on what terms. The effect of the winter weather still to come is another imponderable, and so is the possibility of a takeover bid. In short, there are numerous potential catalysts out there, and speculating on how the market is going to react to them is just that - speculation. In my opinion it's a two way bet. I'd be surprised if the share price is hovering around 90p in the spring. It'll be higher, or lower - but which?
The IG Index live price is up 14.55% as I write (sell at 7.73/buy at 8.02). Setting yesterday's nasty slide aside, the share price between Monday morning and now has proved fairly resilient all things considered.
I'm invested here, and as keen as anyone to read good news. If I'm wrong I'll be delighted. But multiple (potential) pay zones alone do not commercial outcomes make. And the division of the company into two doesn't add any money to the pot already there. The fact that they've been talking to possible sources of finance for acquisition purposes does mean the share base is likely to be expanded, and thinned in the process. They'd be bound to issue shares to the institutions at a discount to the prevailing share price.... I'm still hopeful, but keeping it real.
Looks less than brilliant - less gas, more water, although deep well testing still to come. And any new acquisitions are going to have to be paid for - dilution inevitable, I fear.
11.529p Let's see how durable it is.....
In theory, this should be largely share price neutral - the demerger is creating two companies from one but shareholders retain an interest in each of the companies going forward. It creates the possibility that either of the two companies (Energy/Resources) could be sold to another party if the right conditions prevail. It also means that success or failure in either area would not have a disporoprtionate effect on the share price of the other group company (the reference in the circular to a "more transparent market value being placed on the Zijinshan Gas Project") by this means is a case in point. I've been watching the share price on IG Index since the RNS and an initial drop of 9.5% has come back to a fall of 2.7% as I write. I suspect the real question for us as shareholders is the same today as it was yesterday - is there meaningful commercial flow at Zijinshan?
The company's energy and mineral plays are being separated out into two separate firms. The gas part becomes Leyshon Energy and the gold and will be Resources. http://www.asx.com.au/asxpdf/20130913/pdf/42jc8gydfbfnnc.pdf