What people are missing here is that the company enjoys its position on the stock market and the liquidity and investment it provides. If existing shareholders get wiped out then acquiring new investors will not be easy, particularly with Russia's current predicament. I believe regardless of the 'option,' something will be sorted to achieve a going concern business. This is not an exploration penny stock, this has real assets, almost 9k employees.
we are all blindmen feeling around in the dark...I hope all of those who sold at a big loss live to regret it!!!
Why post such obvious deramping??? clearly you have no position here and just want to encourage selling.
Nothing is certain in life, only the words of a deramper...
this is list of major shareholders, majors always sell first if its curtains, no ones selling...
Uzhuralzoloto Group of Companies - 1,155,169,303 29.19
Prosperity Capital Management Ltd - 394,442,259 9.97
Everest Alliance Ltd - 251,517,537 6.36
Russian Prosperity Fund - 237,416,967 6.00
Slevin Ltd - 150,517,537 3.80
Having read the Moneyweek article and the significant deramping on this board, I am in complete disagreement.
The article tries to forge that Boohoo's best days are behind, I fail to see how that is 'FUNDAMENTALLY' possible when they have bought up multiple brands to add to their portfolio, are doing well in UK with new warehousing, and are expanding with a view to improving on the logistics/freight problems due to inflation/pandemic. The article is biased, trying to sell NEXT, which is a good company, but not cheap, and not growing like Boohoo, and is in a maturing phase.
How many shares of Boohoo for a single share of NEXT???
>>Professor1
I think a JV or stock options to shareholders are both mechanisms, at this point shareholders just want a fair deal; certainly if POG wants to continue on the stock exchange it will have to prove it won't undermine investors, it won't be as easy finding new shareholders in light of a changing global market.
Personally I thought it was a novel idea to open gold sales to shareholders to store on the balance sheet and pay down debt, some of the gold could then be released and sold at a later date pending terms (i.e. so each share purchase option represents a % physical gold holding and/or %debt repayment).
Can't they just use a holding company in a different jurisdiction to pay the debt / sell gold i.e. offshore; would this not be like using escrow or a special purpose vehicle, since you don't deal directly you use an impartial third party in order to meet your obligations whilst not infringing local or international law...
Regarding POG not paying it's debt; it is essentially not able to pay because of the sanctions, so it is being blocked, so I'm not sure under UK company law how that stands; if you have a buyer of gold and could pay your debt but a government prevents it, how does the liability fall to the company without some legal issue; I would imagine contingency measures on timelines etc may be accessible, or swapping debt for equity or gold.
Other possibilities are repaying debt or selling the gold via shareholder options; lets hope the turnaround firm knows what its doing; personally I think they should be collaborating with Polymetal and other companies in same boat.
Redinjun<< Well I have knowledge of some holders near top, maybe not directors; because of change of management etc; but this company has been going a long time, it doesn't matter whether there is a share scheme. I still believe many employees are holders, employees with skills and knowledge that cannot be easily replaced, and any offer will have to consider this.
TOM<< There are 8860 employees at last count, how many own shares??? Plus high institution ownership.
'You say they are just covering backs'...Who will buy a company if the employees have just been sold down the river??? Happy campers on the production line or processing facility???
I would estimate that given the product they deal in 'GOLD', given Russia's love of gold, given the economic climate, that there are a lot of people involved here. This means that selling off too cheap is not a given, especially when you have people mining, leading teams, marketing the product. They are a major employer to the region and major tax payer.
So do the owners of POG have skin in the game??? Most boards and EMPLOYEES have some personal holdings.
Will EMPLOYEES be happy with 2p? 3p? 4p?; many of which may have bought at 6p+ possibly 20p +
The RNS states looking at options in 'BEST INTEREST OF ALL STAKEHOLDERS.'
At 2p they are practically giving the company away...
What do the owners of POG do if they sell???...Have they got a job lined up at the local chippy??? As it smells a bit fishy...
As far as i'm aware Polymetal use GPB and have same issues selling gold with Russia Sanctions, so just to clarify Polymetal have about half their 11 mines in Russia, this is far more gold than POG. So why is this only happening to POG???
A BIG QUESTION for inspector gadget???
Over 50% of the company is still owned by institutions in Russia, why haven't they sold??? Anyone selling at this point needs their head testing...Alix Partners are turnaround and critical business specialists in UK, why would you select such a company in such location, when majority is owned in Russia???
@leas You misinterpret, derampers have short positions or try to push down prices without an 'active position,' you cannot tell what position someone has, hence you cannot tell whether someone has genuine motives. Yes, of course anyone can have an opinion, but there are people that do not behave with true honesty of their agenda, that is the difference.
The reason is that there are a lot of de-rampers, so it's hard to distinguish between genuine people with position and those trying to gain from short position or better entry price. Perhaps LSE should have a way for people to verify their position, I hate tracking etc, but there are often statements made without any legitimate justification.
Regarding institutions, I think you need to understand most big holders are in Russia, also gold price is up and set to go higher. The case for zero is unlikely, contingencies and possible Moscow listing only are worst case scenario; the company and asset is still in demand. This conflict has shocked everyone, but don't be surprised that we may get a white swan or it might play out differently. Remember Hertz, Gamestop, AMC, Dodgecoin, however this is GOLD (for times of crisis / insurance).
Would you bet your life this won't go up significantly, at the very least one last time???
So some brokers are trying to drive sellers...Yesterday buy to sell ratio was significant, and value as well. So there's still significant interest. We need clarification on contingencies.
I appreciate the difficulty of this situation, but the collateral damage seems unfair, not just to UK investors, but also to the everyday population of Russia, there are still mothers, kids, Dr's, charity workers in Russia; not to mention the economic chaos throughout other economies. Ironic since there was more of a case for military action than both afghan and Iraq, but no instead I get caught up in sanction-gate.
Things had not escalated when you called zero...
Polymetal and others have been smashed up equally, there's a good chance this will continue because if authorities affect stock listing it is market manipulation; in falling currency citizens often buy assets so stocks go up in long run, there are multiple examples of this, remember their currency could collapse. This is the initial reaction, we have no clarification yet. I can't risk more so I'm just waiting with my existing holding for now.
@Freedie2 @gilo glad I'm not alone on the ship...at this point the loss is not worth selling even with panic sellers, once this settles buyers will come back and you can avg out. I think their government will have more important things to deal with for some time than POG.
I'm still holding...wish circumstances were different, but I'm holding out for any chance of reasonable exit.
There is potential that this could change leadership in Russia, so holding out for a white swan.
I also think it should stay on markets because there is legal comeback for anyone affected if it is removed for a different purpose than what the market was designed.