RE: Fyoz16 May 2019 12:00
Yes elcap you're right
They had to calculate an estimated value of Transgas so that GW could be awarded sufficient INFT shares for the 26% that INFT are acquiring. Presumably along with his advisers he decided that 0.4p was a reasonable notional value. I think he has short changed himself because I doubt they'll hold at that when we recommence trading. Or perhaps he thinks likewise and is prepared to take the hit to achieve a fair value for the 26%. Whatever happens he won't suddenly have £millions in the bank, just a huge amount of INFT shares, plus 74% of Transgas. So it will be in his best interest (and ours) for him to develop the true value of Transgas and hence INFT
At the moment INFT is a private limited company and has around £700k in the bank, ie, the true value of our shares are approx 0.04p based on that asset value, or about 28% of the closing SP. The closing SP of 0.14p gave us an MC of around £2.45m, presumably based on the cash, the value in being a listed company and the potential to acquire a slice of GW's licences. Once we de-listed a lot of that value disappeared (the portion assigned to the value of a listed company), and if the company had been wound up we'd have received something less than 0.04p per share after administration costs, because all potential value would have gone and we'd be valued purely on the cash
When we relist we'll each have the same number of shares as before (assuming no consolidation as part of the issuing process), yet those shares will now be worth much more because INFT, instead of just having £700k in the bank, will have the remainder of that cash, plus the value of being a company listed on the main index, plus 26% of Transgas and hence the PEDL's (whatever they're eventually valued at).
What's not to like?
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