RE: Lasting agreement25 Jul 2022 13:10
Pete, I disagree.
Pete said “A split will take at least 12 months and needs banks, sanctions and SWIFT to be working and also a decent market and buyers for it to work”.
This is why there will be no external split. Why would a group, yes a group, Polymetal is not a single entity, it is a group of subsidiaries. Held within quite a large group of support...
Why would they more or less give away wonderful assets which have a wonderful income streams for cents in the dollar while they have debt sitting on balance sheets? Makes no sense to me or anyone else who has a handle on business? Explain to me in terms where we can all get a handle on it?
Just move them off balance, off company balance to the management. With no alliance to the company London Polymetal LSE.
I would argue this though. It would have to be voted through by shareholders, and it could be tight. Some big institutions including Blackrock could be in here for a lot higher price than 400p. But I do think it would encourage buying during the process, the share price could even break and be elevated above 400p before they have a vote, Blackrock and bigger institutions could even take a bigger slice prior to a vote to average down at these ridiculously low prices.
There are a lot of scenarios at work here, but I know for one thing, it cannot be as bad for the SP as it is today bouncing around with a bid sub 200p. That is not pretty.
It would only take an RNS in five minutes time or in a month’s time, and the tide could turn forever. The board knows this; they have a handle on the market now. The odd way they released that RNS last week, the market response, Nesis gave nothing away on Thursday, again the negative sentiment from the market from no update. They know exactly what the market wants, and they can deliver. But at the moment they have the luxury of two years. Yes two years where they can function without interference, and act on the toss of a coin. Put it to shareholders in an RNS to opt for a MBO of Russian assets accompanied with the removal of Russian debt associated to London LSE. You watch this baby soar.
Since Thursdays update, I am surprised the SP is still where it is, thought the market might see what I see, a company which can do the splits if it wants to without going external, but possibly doubling the SP value.
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