Member Info for itisagame

Humm, it’s not dropped as I expected after eghos getting their stock.

Small position took at 0.39p.

Took small amount at 0.109p, it wasn’t filling any lower.
Only a small punt because I know this can be a pain to sell at times.

That’s the problem with society when you give people a free ride once, they expect a free ride everywhere all Of the time, just look at the whole benefits culture and the furlough payments people claim it once and they want it forever.
Claiming to be uneducated to the downside of your own actions is no excuse or defence, but they Currently get away with it.

“It is my understanding that they are not due until 2024.”

Aslong as amigo can operate without breaching any covenants on the bonds and continue to pay the coupon this is plenty of time to sort out legacy issues and get them refinanced before hand if needed. (Or continue to buy them all back slowly at a discount to face value Once the main issues are resolved)

They already told us the vreq will cost atleast £35m, lots of claims being dealt with in-house.

Q1 results.
"The complaints provision includes a combination of estimated redress for known cases and an allowance for future claims. £8.5m of the provision was utilised in the quarter, representing redress, of which around half was settled with cash and the remaining half in balance adjustments. An incremental cost of £6.8m has been recognised in the income statement. The remaining provision on the balance sheet as at 30 June 2020 is £116.4m. "

could and should well be higher, as they are still not lending to the masses.
plus I think they had or have the bond coupon payment to bare in mind. ( ~£9m if its paid twice a year)

Both reference end of Q1 2020. So even after the 1161 complaints we still had £145m?
£145.2m of cash and cash equivalents as at 30 June 2020
"Banking and credit complaints H1 2020 Amigo Loans 1,161"

thanks olly.

With that in mind maybe the asset vreq was because the FCA overheard Gary asking if he could actually pay a token div.
After all Q1 was profitable, Q2 could be too. :)

FOS only.

So the next issue is : if the kitchen sinked provision proves to much and a large chunk of it gets ends up being moved back to profit we are going to a whopper tax bill due :)

Wow, thats alot less then expected. many thanks.
"Banking and credit complaints H1 2020
Amigo Loans 1,161"

Amigos issues :
1 June 2020 - FCA Investigation in to Amigo's creditworthiness assessment process – on-going but some changes have been implemented, linked to the below VREQs but not the same thing.
VREQ for complaints – be in a position where the company can deal with all claims within 8 weeks of origination. Update by end of OCTOBER.
VREQ for Assets – After thinking about this my best guess is this was initiated in-house at the FCA before the JB vote, to prevent JB from implementing his plan of defunding the FCA regulated Amigo loans UK business subsidiary if he won, although this has been announced this week it would have been in the works for a while before its announcement.
There are other benefits to the FCA from this, they ensure the company keeps the money in the bank for the FOS charges, and they ensure the company has money to pay redress to customers.
The Benefit to us is cash spend is being monitored.
Management – most the board has been replaced, they are settling in, this issue has been all but resolved with the exception of finding a replacement for Nayan, Rogers off end of month.
Bonds – £234 Due 2024, aslong as we keep up the coupon and avoid breaching covenants on the bonds shouldn’t be any issues, I can’t see us buying any back at the moment while cash is being watched closely.
Covid – we cannot forget that we are in a period of uncertainty, technically a recession, and many people are struggling.
Market cycle – time of caution, tons of cash held back, being moved in to bonds, commodities etc and exiting any equity with any perceived issues for other undervalued plays. The time will come when money is moved back in to equity in mass but only once market conditions improve.
Big dates :
Restart lending – “by end of year”, I expect in November.
Half Year results – By End of November.
Securitisation facility - performance trigger waiver period to 18 December 2020, <£192m being paid down as loan repayments are made by customers, possible update before this time.

Plenty of reasons for a depressed share price, logically as these issues are resolved the share price should rise.

He also once said something like
"Ill have a big mac, fries and a coke, what do you want Bill? lunch is on me, i have a coupon"

If the issues that dropped the share price get resolved and its back to business with stronger management and a secure business model then back to the 52 week high would be a start, we are only at about £100-200m difference when you add the loan book and cash together from when the mcap was £1.3 billion.

Traded vela and come back to the Buggers robing me an extra 0.14p / share over the indicated spread, now I’m just shy of a nice rounded off Total figure. these Banking fees For instant deposits to amigo bank plc are becoming expensive, might have to use snail mail next time.

Broke past 0.1 Now.

Silver - think I was in at 1-1.2p and ended up selling at about 0.7p amongst the BTL trading, it was a turbulent time. Pharma Investments have different Risks, could flop or have a potential 10-100x return.

Might be stupid but I’m happy to have sold Some, left On free ride now happy to leave them for a while, I’d rather take the derisked approach, made the cash back that I lost on vela Back at 1p and some, not a bad one day trade, let’s see what happens with the remaining stock.