Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
Gerry557... Yeah, I'm holding on too and hoping the dividend is at least maintained.
Regarding Munich Re..
They took a stake of just under 10% (29.72m shares) on the first of Sept 2021 when the share price was over 3600p.
They reduced their stake at the end of October 2021 to just under 5% after selling 12.1m shares at 2940p and in November 2022 sold another 7.4m at 2023p. They have said they won't sell any more before November 2023, but as they now only hold 1.765% (just under 5.3m shares) it's pretty academic anyway.
I'm just pleased my average price is nowhere near the roughly 3600p that Munich Re's is :)
Good luck to LTHs.
@Gerry557... I thought the Munich Re sale of 7.4m shares at 2023p was completed 2 months ago (I think the year before they sold 12.1m shares at 2940p) and have undertaken not to sell any more until at least Nov 2023, so had no effect on today's SP fall (I might be wrong).
Today's fall was in response to Direct Line's abject trading statement this morning that cancelled this year's final and interim dividends. They blamed bad weather, but in my opinion it's a fairly decent business saddled management that are swimming way out of its depth.
The knee-jerk reaction allowed me to pick up a few more ADM shares at 1931p this morning. I'm not sure if that was a foolhardy move or not, but will probably have to wait until the results in early March to find out.
Good luck to all holders. Please DYOR.
Hi,
I don't think they are paying a dividend until the final results to Dec 2022. This is an extract from the prospectus...
"The Company expects to pay a dividend to Haleon Shareholders in relation to the second half of 2022 in H1 2023, subject to Board approval and following approval of the Company’s FY 2022 results."
I sold here about a year ago, but have been looking for a point to re-enter. Economic and political uncertainty and a currently unloved sector aside, it's very difficult.
I initially liked the announcement of the Interactive Investor acquisition, but ultimately they hugely overpaid in my opinion.
The other issue is the Phoenix proceeds. ABDN said back in Jaunary that they were going to be communicated to shareholders "as soon as practicable after the Company's results on 1 March", but have gone very quiet since then.
Unfortunately I think the days of simply paying a special dividend are over. The recent trend for any return of capital is to accompany it with a share consolidation (Avia, Pennon, Tesco etc etc) which doesn't do retail investors any favours at all.
I still have this year's full ISA allowance to invest and the 9% dividend yield at the current price is obviously tempting. I've just made a modest purchase at a fraction under 160p (almost exactly half what I sold for last year), but I'm keeping my power dry on ABDN. I have a feeling the current dividend policy could be "reviewed" and the lack of communication on the Phoenix proceeds does not bode well.
Good luck to all holders. DYOR.
Equiniti are a dreadful company as illustrated by its clueless stint as a quoted company. When my father died he held all his shares in certificate form in joint names with my mother. Whilst shares held with Capita (now Link) and Compushare acting as registrar were changed into my mother's name free of charge with a photocopy of the death certificate, Equiniti insisted on a sealed grant of probate (cost over £500) and charged over £30 per holding. When asking for a copy of a missing share certificate for about £80 of Lloyds shares they wanted over £180 to replace and then another £30 to change to a sole name. It doesn't surprise me at all that they send out unsolicited spam mail. They're spivs.
I'm not sure about the current cash, but only in March when the company reported results to December 2021 it said its cash outflow was 700k for the six months from June to Dec 2021 and that the remaining 4.5m of net cash balance was "sufficient to execute the business plan for 2022".
@Yanis.. I believe anyone with greater than 1% have 10 working days from the FSP announcement to file under Rule 8.3(a).
I'm only holding onto my remaining shares (90,000 at an average of 1.48p) as a bit of a punt on a possible bid. However, if that isn't forthcoming it's a bit worrying that a management team that obviously can't keep its two plates spinning in UK&I and France thinks it has the ability to add a new one in Belgium.
It's a shame that with an excellent and well-regarded product the company is being run by a team that increasingly look to be out of their depth.
Fingers crossed for a bid!
As an aside... I wonder if the US investor mentioned in Monday's RNS is Dr Joseph Hsu (an orthopaedic trauma specialist) who bought a disclosable interest when the share price was about 3p at the end of July 2020 then sold them when the share price about 6p in March 2021.
testpack3.. I didn't phrase that very well!
What I meant is that I will interested to see if the share price movement tomorrow is greater or less than the 14.7p dividend. With the publication of the proposed scheme this week, it might give an indication as to whether investors have been waiting for the dividend before getting out (at the current SP it will still be at a slight premium to the scheme's base price of under 424p) or whether they are happy to hold/add. I know there are other factors involved, I was just musing really :)
@casualnvestor.. I think that's absolutely right. My guess is that the proposed yield on the new ordinary shares will see many re-invest the B shares cash.
As an aside, It will also be interesting to see what happens tomorrow when it goes ex-dividend and 14.7p is taken off opening share price. I think it might provide an inkling into how the market views all this. Please DYOR.
@madmax.. I don't think this is a normal share consolidation. It is consolidation to offset the return of capital. It's purpose is to maintain the share price of the ordinary shares and all the per share metrics. I'm hoping I'm wrong and you're right, but I think the share price post-consolidation will roughly the same as it was pre-consolidation.
@madmax.. I'm not sure where you are getting 550p a share from. The whole point of the consolidation is to try to maintain the share price at approximately the same level as prevailed immediately prior to the implementation of the B Share Scheme.
@Al4x.. If you have 1000 shares outside an ISA, the £1000 you get is not classed as dividend it's a capital gain/loss so CGT will apply. They will publish CGT examples on their website after the redemption.
A rough guide would be to use Aviva's base price for the return of capital which is 423.7p a share (101.69p for 24% of your holding). If your book cost per share is less than this you will have to declare it as capital gain, if your cost per share is more, you can use the loss to offset CGT.
This is how I understand it.
This an excerpt from the Aviva circular, they say will they will post CGT examples on their webssite on completion of the redemption:
"The redemption of the B Shares will be treated as a disposal of the B Shares for the purposes of CGT. This may,
subject to the relevant Shareholder's individual circumstances and any available exemption or relief, give rise to
a chargeable gain (or allowable loss)."
My book cost on 5000 shares works out at about 365.5p a share. They are in an ISA, but if they weren't, I would expect to have to register as a capital gain of approximately 58p a share gain on the B share redemption (totaling about £2900 on 5000 shares) based on Aviva's 423.708p a share base price. Have I got this totally wrong? Does anyone know?
To my mind, all these returns of capital that incorporate a consolidation are an unnecessary headache and are certainly not aimed at doing their retail investors any favours.
I should have read the Aviva circular before posting and this will be a capital gain as opposed to a dividend in TSCO and PNN similar schemes (thanks Longtimeinvestor). I suppose the decision on what to do depends on the size of your holding and whether you think the when the B shares redemption hit people's accounts whether they will use it re-purchase Aviva shares. There was no sign of that with TSCO, but there was with PNN. My gut feeling with the suggested future yield is that people will, but my past performance in these schemes is poor!
Please DYOR
@warthog4.. you will have to pay a dividend tax on the B share redemption (7.5% over £2k allowance). The reason I didn't sell TSCO at the time is that I'd built up fairly large holding since my first purchase in the 1990s and the sale would have meant my entire yearly CGT allowance would have wiped out in one go.
@devonbeachbum... From memory it fell from around 248p (the base for the consolidation) into the 220's on the ex-date. I might be wrong. I ended up with a smaller holding at a lower price and a tax bill of about £6,000.
In "the good old days" a return of capital in these circumstances used to be pretty straight-forward via a special dividend and everyone knew where they stood.
Recently I've been through two of these return of capitals that involved a consolidation. TSCO and PNN.
I think you have two options and I took what turned out to be probably the wrong option both times!
I held both TSCO and PNN outside an ISA wrapper, but hold Aviva in my wife's ISA.
Option 1: Sell current holding pre-consolidation and then buy your original number of shares back after the ex-date (hopefully around the same price) so that future dividends are paid on your existing number of shares rather than reduced your holding. I did this with PNN. I made an inital loss of about 5% doing this, but longer-term should be ok.
Option 2: Keep holding and collect cash return on redemption of B shares (remember you will have to pay a dividend tax on the cash element if outside an ISA) and end up with a lower number of shares. I did this with TSCO.
Presonally I'm going for option 2 as I will not have to pay any tax on the B share redemption, but I think it's a bit of a lottery with these type of schemes. Ultimately they are forcing you to sell 24% of your holding for 101.69p a share implying a value of 423.7p. At the current share price the market seems pretty neutral on the propsosed scheme.