Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Hi deeplake77, hope your right, but my worry is that earnings per share still don't cover the dividend even at the reset level and I don't like it when they use ambigious words like ' implying ' which suggests that it isn't definite.
Why didn't they just cut to 65 - 75 % of earning per share and be done with it. The worst thing to do would be death by a thousand cuts. Sadly I suspect that this will be cut again when the new man takes over. Even if it had been cut to 80p for example, they could have drawn a line under it and moved forwards. My suspicion is that they are giving the new guy some room to kitchen sink the business when he starts
Agree. Earnings don’t even cover the rebased dividend. Doesn’t read well.
I couldn't buy back into this now until the second placing was guaranteed ( regardless of price ) and at a price to reflect the risk and lack of credibility the board of brought upon themselves. This maybe cheap based on assets, but could also be a zero with no funding and the games currently being played.
I would have been happier, if the all money had been committed at the placing price without conditions. This smells very much like, if we can sell the initial tranche at a profit we will take the second, if not w'ere off. If they were really committed they would have paid all the money and been happy with some conditions set that they can't sell the new acquired shares for x amount of years etc, confirming they were investors. This RNS smells of desperation.
Maybe, but why all the conditions on the second placing, why not just provide the money straight away ? Why won't banks lend the money ? Why have ANS decided against this ? Something doesn't feel right here anymore and its all very good saying directors haver bought share, when we all know they can easily make that money back by issuing more shares to themselves and selling them on. This is now about credibility. For all we know Gold mines could end up being nationalised worldwide, with the amount of QE going on by governments.
They do when they can sell the shares at a profit by manipulating the news and bail before it fails. It would have been more credible if it had been a bank lending in the normal way. Don't forget hedge funds can make money shorting and now they have the shares to do so.
Yes and no. It now means that the Ethiopian government is not financially backing this in the interim, hence the need for a placing and there is now the possibility this may not happen with all the conditions of the fund raise that need to be met.
It is a gamble re timing you are correct. I was lucky enough to buy at 0.8 average some months ago, then sold half my holding when they doubled at 1.85, so had a free carry. Probably should have just left them alone, but suspect nothing will happen for a little while longer and Gold is I suspect due a mild correction. In the meantime can trade with the money and hopefully put it back in time before this takes off. But its will be nothing but luck if it works out that way.
I suspect traders, buy the rumour sell the news. Solid set of results in a defensive company, confirming dividend payments. Saw the same thing happen with Tesco shares, now they are solidly higher.
Only invest what you can afford to lose, this is aim and a start up company in Africa, so definitely a risk albeit with a high reward should it come good. If you are investing more than you can afford to lose, then stick with the blue chip company’s particularly defensive plays in this environment that pay sustainable dividends. I hold some of these and it is a long term investment, ignore the noise, and verify for yourself anything said on here as there are plenty of boiler room participants that frequent these boards with a hidden agenda. Good luck.
There will be no takeover, why would someone buy a company when they can just buy the assets off the receiver for peanuts when oil companies fail ? I think todays RNS means that Tullow will now survive regardless of oil price and that's for once welcome news for shareholders.