The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
Its a fair point but the business is not viable if around 100m per year becomes trapped in Nigeria. When the business makes around 50m profit as long as they can't get their money out of Nigeria it doesn't matter what they make in Nigeria because it stays there. Even if they spent it all in Nigeria on assets that yield whatever is yielded stays in Nigeria , Whilst debt is amassed outside of Nigeria that cannot be paid.
256m cash CE, 204m stuck in Nigeria ( was 113m FY 22),
204 m now worth 123m due to Nira devaluation. Its still unknown if the policy change will allow withdrawal of money from Nigeria, if policy change does allow withdrawal, we will see no further accumulation of money in Nigeria and Cussons will withdraw all money stuck in Nigeria, if not Cussons is in major trouble, its solution of band aid borrowing is not viable multi year .
I think sub 100p is certain potentially sub 70p
How much has Tharisa spent on Karo so far in monetary terms, has this extension on commission allowed the group to hold onto a significant amount of cash that would otherwise be spent on Karo? If so i think it's a good tactical decision. Is the decrease in net cash due to Karo spend, now commission is extended what are we to see spent on Karo in FY24 ? What is the breakeven basket pgm price for Tharisa as current basket price is 1 331?
Why has Citigroup gone from 11.5 to 23.22 holdings?
Al4x are you using the app through a phone you need to go on a computer/ laptop to fully see the 197 shares available, it did state not available on the app.
Thankyou Poleaxe
Can the rights issue fail, am i correct in the interpretation that it cannot and any rights not taken by anyone will be taken by the underwriters, so in essence Synthomer has already successfully raised the 276m.
Thanks Mike
Linzit your broker should contact you with information on how to proceed on the 28/9, look out for messages.
Poleaxe that was sent to me by my broker so it should be accurate.
Here's a bit of help for everyone,
Taking up your rights – if you decide to take up your rights you will be investing more money in the company in return for more shares in the business. This is also known as exercising your rights.
Selling your rights – because rights can be separated from the existing shares you can choose to sell them to another investor. The buyer can then buy the shares you had originally been allocated at the discounted price. Rights trade separately on the stock market, but are generally valued at close to the difference between the current share price and the discounted sale price.
Do nothing – in this case you let your rights expire without taking them up or selling them. In some cases the rights issue might have been underwritten by a bank (which buys any shares that go unbought by shareholders) in which case the underwriter might buy the rights off you. Otherwise the rights will lapse and become worthless.
It said shareholders at the end of 25/09/ will receive 1 new share in place of every 20 previously held. The rights issue is expected to open on 28/09 with shareholders able to buy 6 new shares at 197p before 10 October.
The underwriters will buy them
What's the deal with selling the rights issue i can't see how we would get any money considering we don't own the shares.
It means they are going to offer you 3000 shares at a price of 197 each costing you £5910 and you will then own 3500 units.
Thankyou Here's Hopin
Is this calculation correct ? Current mcap 188m + 274m post RI = mcap 462m, based off of value of holdings at 40p or mcap 188m + value paid for RI shares, I've calculated the sp post RI should be 283 (calculation as a result of current value plus RI value paid ÷ total units post RI) with an mcap of 462m. Can someone please tell me have i got the mcap/sp correlation near enough correct, so for example post RI if at some point in the future sp hit 849 mcap would be 1,386m or if sp hit 141 mcap would be 231m.
Hi Cookie could you explain further please, if the RI is fully underwritten meaning the underwriters take up any shares leftover how will there be an overhang of shares, also do they buy them at 197p or less?
Does anyone know when the next trading update is please.
Can't work out best way to proceed, opinions please.
I have 2083 units at 217 average with no intention to average down. 2083 units equals 104 units post consolidation 104 x 6 = 624 RI units available at 197 per share equals cost of 1229, unable to work out whether to take this or not.
Q1 Where should sp/ mcap go to after consolidation ( i estimate 820p) RI?
Q2 Has Synthomer got buyers for any shares not picked up by current holders? ( Can the RI fail = not enough take up)
Q3 If i took up RI what would Sp average / mcap average be?
Thankyou