Member Info for ICL1960

A proper reverse take over is Accudo buys a lot of shares in AXM, using shares in Accudo.

I'm mainly worried about being diluted away, so some nasty private equity barges in, and force us to sell for peanuts.

Over on ADVFN, they are talking reverse takeover.

Let us say there are 2 billion shares currently, and they intend to issue 8 billion shares, so you end up with 10 billion shares.

Goldman Sachs, or some private equity wants in.
In a Private Placing, they buy 4 billion shares for 0.05p, or £2million.
They also get 2 billion shares worth of warrants. This gives CONTROLLING INTEREST, 6 billion out of 10 billion, if they want it.

The other 2 billion shares get sneaked into the hands of the BOD in the form of options.
The £300k of back pay/fees are probably waived for options as well.

This means if you had 20 million shares, you currently have 1% of 2 billion shares.
After the dilution, you have 0.2% of 10 billion shares.

Assuming 5% dividend policy, compared to market capitalisation,

£10million market capitalisation implies annual dividend payout of £500k.
£100million market capitalisation implies annual dividend payout of £5million.

2020
====
£10million market capitalisation across 10 billion shares means 0.1p share price.
Note that if Goldman Sachs bought in at 0.05p, they have already doubled their money.
For the folks here, barely break even on share price, but the dividend of 0.005p is not too bad.

202X
====
£100million market capitalisation across 10 billion shares means 1p share price.
£5million on 10 billion means 0.05p dividend per share.

Say an income of £7million, so £5million on dividend, and £2million on overheads, R&D, reserves.

If they do dilute us as above, it will be a while before we break even.
If your entry price was 0.15p per share, you will need the market capitalisation to reach £15million.

If you have faith in AXM, that it will follow Dyson into mega land, the dilution is just a minor hurdle.

If you worry that Goldman Sachs will take control, and seize our shares for 0.1p, then take AXM private, then you will need some sleeping pills.

Of course Chesh hasn't sold, his last post here was only a week ago.
Probably on holiday somewhere.

I have always suspected, a human sacrifice is required to get it moving.
Somebody has to sell, so the share price can launch.

The real salt in the wound is Accudo, which Chesh was pinning his hopes on.

And then this came along:

https://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/AXM/13771748.html

No doubt that was the final staw that broke his sanity, and he is now in an excellent NHS mental facility. Don't anyone tell him. If he knows Accudo is now on multiple prospects, and he sold, we are looking at Columbine times ten.

From 2010

https://www.investegate.co.uk/alexander-mining-plc--axm-/rns/preliminary-results---year-en/201005060700084141L/

I think something like £9million was mentioned.
I think Martin said No, because he had faith.

Assuming 2 billion shares in issue, £10million means 0.5p per share.

In May 2010, the share price was ~11p, compared to 0.05p now.
Market Capitalisation is showing as £802.71k.
Somebody can offer £2million, and buy the whole company,
so why would they offer £9million?

If the buzz is real, we should zoom up to 1p in no time.

My fear is we get taken over for 1p a share, and then it becomes really MEGA.
The dream is £1 a share, but I doubt we will get to 10p.

£20k buys 40million shares right now.
40 million shares in an ISA, worth £40million, paying out £2million a year.

Just remember, Additional rate tax on dividends is 38.1%.
Also, your other tax allowances get cut, so you pay even more tax.
A wet dream turns into a nightmare.

Of course you should spread your risk.

I just play with shares for a bit of fun. Still have a BTL, which is worth a lot more than my BT.A holding. Selling a BTL was also a just in case, Brexit could crash the property market.

My Vanguard ISA is showing up about 8% since March 2019. They actually claim 9%, which is a bit odd, maybe they annualise somehow. Love to put more in, but £20k a year is the ISA limit.
My view is if you want to diversify, let fund managers get on with it.
Paying dealing charges and stamp duty continuously in a personal holding is not very efficient.

I had cash in Premium Bonds, three year and five year fixed deposits, but 1.5% is no good long term.

The idea is to recognise that there are BTL landlords who are like the frog in the pan.
The tax perks are disappearing, and the 9% growth are behind us.
Stay in property, and they are boiled alive by 40% tax.
The problem is, they can't sell and keep the cash in 1.5% accounts forever.

Show them an exit strategy, and it is good for them, and good for us.

What will happen to the share price if £200million is injected into BT.A?

https://www.moneysupermarket.com/landlord-insurance/buy-to-let-tax-relief/

Sell a BTL property, and buy BT shares.

If you think property has peaked, and accept the tax regime has become BTL hostile, consider BT.A instead.

Assume a property worth £500k generates £15k rent, after expenses, before mortgage interest.
Let's say there is £200k equity, plus £300k mortgage at 2%, so £6,000 interest.
In the good old days, £9,000 is taxable, fully deducting the interest.
From April 2020, if you pay higher rate tax, 40%, £9,000 pays 40%(£3,600), £6,000 pays 20% (£1,200).

You get to keep £4,200 = £15k rent - £6k interest - £4,800 tax
For 19 years, I was getting ~9% compound growth on the property, of course.
Now, do you really expect that growth to continue?

If you sell, and end up with £200k cash, you can buy 100,000 shares of BT.A, at £2.
At 15.4p, that means £15,400 a year.
The first £2,000 is tax free, due to the Dividend Allowance.
the remaining £13,400 is taxed at the higher rate of 32.5% ( 7.5% basic rate), which is £4,355.

So you get to keep £11,045 = £15,400 - £4,355.
Instead of £4,200.

1000 BTL landlords bringing £200k each across is £200million.

That should bump the share price up nicely, so you even get capital gains.

Just imagine that, Mary Poppins.

https://www.youtube.com/watch?v=RLySXTIBS3c

"The Company's Annual General Meeting will be held at the offices of Druces LLP, Salisbury House, London Wall, London, EC2M 5PS at 11.00 a.m. on Friday 28 June 2019."

"a general meeting for approval of a proposed capital re-organisation to be held at 11:30 a.m. on 28 June 2019, or immediately following the conclusion of the AGM being held at 11.00 a.m., at the offices of Druces, Salisbury House, London Wall, London, EC2M 5PS (the "General Meeting")."

"11-Apr-1916:24:3360.25710,000 59.0061.50427.78kO"

Up 28p ~= 88.00 - 60.25

Profit £198,800 = 28p x 710,000

Well done, smug bar steward.

Today's Volume 30,981,007

2,223,069 Sells

Looks like 90% were Buys.

Market Capitalisation £570,000

Punters are out, since there is not much further to drop to £zero.

Wonder if it's possible to spread bet.
It's a one way bet.
If you bet £1,000 per 0.01p, the most you can lose is £3,000 .
If it goes back up to 0.1p, you make ~£5,000, accounting for the spread.

Matthew 26:36-46 New American Standard Bible (NASB)

The Garden of Gethsemane

36 Then Jesus *came with them to a place called Gethsemane, and *said to His disciples, “Sit here while I go over there and pray.” 37 And He took with Him Peter and the two sons of Zebedee, and began to be grieved and distressed. 38 Then He *said to them, “My soul is deeply grieved, to the point of death; remain here and keep watch with Me.”

39 And He went a little beyond them, and fell on His face and prayed, saying, “My Father, if it is possible, let this cup pass from Me; yet not as I will, but as You will.” 40 And He *came to the disciples and *found them sleeping, and *said to Peter, “So, you men could not keep watch with Me for one hour? 41 Keep watching and praying that you may not enter into temptation; the spirit is willing, but the flesh is weak.”

42 He went away again a second time and prayed, saying, “My Father, if this cannot pass away unless I drink it, Your will be done.” 43 Again He came and found them sleeping, for their eyes were heavy. 44 And He left them again, and went away and prayed a third time, saying the same thing once more. 45 Then He *came to the disciples and *said to them, “[a]Are you still sleeping and resting? Behold, the hour is at hand and the Son of Man is being betrayed into the hands of sinners. 46 Get up, let us be going; behold, the one who betrays Me is at hand!”

Basically, Jesus AXM was popular for a while, but the disciples are saying where are the miracles we all want to see. Some of them are taking their thirty pieces of silver before there's none left.

It looks like AXM will be crucified, with no fresh funding, and go into administration.
Somehow, if Proses actually comes through, Jesus AXM could emerge again.
The faithful will ascend to Heaven, and be amongst the Righteous.

Market Cap at 0.03p for ~2billion shares = £600,000.

How much do they want to raise by placing?

To raise £500,000, at a discount, they will have to issue another 2 billion shares.

Volume today so far 137,060,641.

Some of them are BUYs!?

It's either the come back of the century, or the last gurgle of a TransAtlantic rowing pair who never learnt to swim.

https://www.youtube.com/watch?v=nlJugdk4OGc

Homeopathy in action.

This is a 100:1 dilution, eventually.

We don't even get to keep the Deferred Shares.

The market capitalisation is now £810,000 .

Whatever shares there are, they will have to issue that many to raise £810,000.

If you had 2% before a Placing, you will have 1% of the compoany afterwards.

One thing that is gratifying is the Placees who are holding warrants won't see a penny.
The ones that sold at 0.15p got off nicely.

Up 20%!

I really should run this country.

Free Euthanasia
==============

Saves money for the NHS.
Saves on Care costs.

Extra Inheritance tax exemption if you die early voluntarily: which saves on State Pension.
Buy BT.A before that policy comes out. Huge weight off BT's pension liability.

Euthanasia frees up housing as well, don't forget.

What if ten people got talked into buying 10 million shares each?

My ramping is just too subtle and cerebral.

These ARE the droids you are looking for.

£710k capitalisation now. That's an interesting vote for the AGM.
Sell to some private equity, for £1milllion, who then sells the patents for £5million.
Proses can buy the Turkish patent, then do a deal with Deep South for Kapili Tepe (project in the Sivas Province in the North Central part of Turkey).

The two Buys at 14:11:23 and 16:08:54 implies that they gave a Buy order for £1,000, including dealing charges.
No stamp duty for AIM.

2,467,549 shares
versus
2,468,762 shares

It looks like one buyer paid £13 dealing charge, whereas the other one paid £12.50, and the difference of 50p bought more shares.

Volume today was ~15m Sells versus ~12m Buys, not that bad.

Buy 10 million shares for £4,000 ,
Sell 10million shares for £6,000, on RNS.

When it drops back to 0.04p, use the £2,000 profit buy 5million shares.

You now have 5 million shares with no money down, so it has cost you nothing if AXM flops.

If it zooms to 1p, 5million shares is worth £50,000 .

Released 17:19 06-Jun-2019

Tomatoes will be confiscated at the door.

No pelting notices will be posted by the lectern.

https://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/AXM/14074873.html

Martin Rosser
Chief Executive
Mobile: +44 (0) 7770 865 341

Maybe he desperately wants to spill the beans, on the progress at Proses.

Call me, he is hinting.

Insider dealing?

Buy a 100million shares for me, and I will send you the money from Nigeria.