Member Info for Hartlebury

Of course the calculations change a bit if BOD decided to retain some holding in the spin off (EKF did this with Renalytix then sold the shares later on to return cash to shareholders as special divi) but the principle is the same, the value being spun off would be distributed to shareholders in proportion to their ownership of ORPH.

Trying to be helpful...an attempt to clarify how the holdings/spin off would work...

At present using Imutex as an example, ORPH owns 49% so if it is spin out then 49% of the shares would be distributed between all of the ORPH shareholders. Numbers of shares are irrelevant. Taking CF as an example shareholder, he owns (approx) 6% of ORPH so will own 6%x49% of the spin out company, c2.9%.

Imutex at a pre-placing valuation of (random example only), £10m, then does a £10m placing at IPO to give £20m share cap on admission, diluting the original shareholders by 50% so CF now owns 1.5% of Imutex with a value of £300k (price per share unknown and irrelevant). The shares can then traded same as any other (subject to possible lock ins following admission date) and is also subject to further dilution as any other stock.

ORPH will no longer hold the asset of 49% of Imutex on its balance sheet and therefore no longer has the profit/potential earnings that it might generate (though equally won’t risk any costs or losses) so market may, following spin off, value ORPH at a lower Mcap due to this.

If a formal takeover offer were put to the BOD they have to present it to shareholder and recommend it or not (if not then it would be a hostile takeover).

OO wouldn’t raise funds to spin off a company, the spin off company is essentially being sent out to do that for itself if necessary. So your holding in the spin off May be subject to dilution but OO holding wouldn’t.

You can’t reinvest divis in species-they are shares.on the reinvestment. On AJB there’s a box to tick on each stock for automatic dividend reinvestment back into the stock that paid it, but you can always just decide at the time what to do with the cash that will land in the same account as the shares are held, so if in isa it stays there unless you withdraw it.

That wouldn’t increase the shares in issue though nomoneyman...

Bank they look to me like share options, probably being exercised by staff.

This clinic isn’t near St Pancras though, it’s near the Barbican..I thought Cathal mentioned people spotting some kind of activity actually at St Pancras? Am I misunderstanding?

Greend good summary, he was pretty circumspect about the St Pancras site but things definitely happening there!

What do you mean barwickman?

Sounds entirely possible Bronx, I’m sure he has excellent contacts and is well informed when it comes to other potential investments. It’s the main list aspect that makes me think that UKSPAC isn’t the one for OO spin offs, he hasn’t mentioned main list IPO at any point. Ultimately it’s all guessing/opinion!

The other thing to keep in mind about the SPAC, it’s obviously possible that an OO spin off might (might!) land in one, but if CF is looking to maximise his return from OO via the SPAC, it’s most likely because he is unable (due to being an insider during this transformative time) to buy shares in OO and it’s the next best way, with some risk attached in case plans don’t work out. As PI’s we don’t have the problem of being unable to buy shares whenever we want - funds permitting ;-)

So could be something totally out of left field Bronx?

As for ROI, I would assume he has a good deal of respect for the BOD of UKPSPAC to find a great deal. He is allowed other investments ;-)

So yes maybe SPAC for the US but not this particular SPAC!

I question it because he specifically says AIM and Nasdaq. I can see the benefit of using a SPAC for Nasdaq but currently UKSPAC is LSE listed, not AIM or NASDAQ.

I guess the point here is that people are considering investing in the SPAC because of CF involvement. Personally I’ll stick with undiluted CF in OO as he clearly sees his interests as being totally aligned with other shareholders here, as such he will look after this company first and foremost.

Reversing into a SPAC would still be an IPO

I thought he said it was a mistake that his holding was reported, ie that he didn’t actually cross the threshold?

He’s got cash in a SPAC already, that’s what people are driving at.