Member Info for JenniferE

You will have 2000 shares in HE.

Gusher80, you talk crap! Back up to 140 isn't a win, it hit 500 and at the end of last week every post on wallstreetbets was saying buy and hold at 350.
You can't honestly say that advising inexperience people to buy into gamestop at 350 was a good thing!
It is people like you who are the shrill conning newbies into buying shares at 100 times their true worth!

It does seem mad Rookie1, pmo should be worth north on 30p but we know a lot of creditors will be dumping stock after the merger and so there a good chance we will be able to pick up stock even cheaper. That's what I'm waiting for before I buy more.

A lot of mugs who got suckered into Gamestop will now be sitting on huge losses but I suspect the prime rampers have exited with a huge profit!

stingaling, that is rubbish! It's just a name change (and nominal value change), they will not have to close their shorts before the merger and most will simply use the shares they receive after the merger to close their shorts!

It actually opened ay 19.6, slightly down lol

Not only was Gamestop shorted to 130% but they weren't standard shorts, they were call options which have a fixed expiry date. This meant that those attacking the short position knew that those writing the options would have to buy back shares by a specific date. This is not the case with PMO and is any case as I've said many times before ARCMs short is covered by the shares they will receive in March. They had these shorts when PMO was £1 so there is no way they could be forced to close.

Phoenixy, No!
The higher the share price the more they are likely to choose shares instead of cash and the more we are diluted. The price of the shares for creditors is already fixed at 11.44c irrespective of the actual share price.
ARCM shorts is only about 6% or under 60 million shares, they will receive over 400 million shares and so benefit massively from any price increase.

ARCM are receiving over 400 million shares in the creditor deal, if you pump up the shares you will make them a fortune!
Also I can't help feeling this is the wrong time to be pumping these shares, in the next two weeks creditors have to decide whether to take cash or shares for their debt, it's better for us shareholders they take cash as we end up with a larger share of the merged company and there will be less of a overhang after merger.

Hi antigua18
Yes I have a reasonable sized holding in PMO at the moment. I don't intend buying any more until the merger completes as I believe the overhang will offer opportunities.

PMO currently has a share trade volume of about 9 million per day, when the deal completes there will be an overhang of 3.3 billion shares. At current rates that will take 367 trading days to clear! They are going to have to do some amazing presentations to sell that number of shares or the shares will need to fall to a significant discount to fair value to achieve the required volume. This doesn't in any way detract from the true value of the business but it could give us some great opportunities to buy cheap shares.

MRLOLOL, Here is a link to the explanatory notes for creditors https://www.premier-oil.com/sites/default/files/files/explanatory-statement.pdf , if you are able to read you will be able to see that only creditors who receive over 499,787,645 shares are subject to a lock in. This equates to debt of over $435.7m, considering the large number of creditors I'm not sure this will apply to anyone! You really should check your facts before throwing insults!

I'm surprised there isn't more shorting at the moment considering bondholders will be receiving 3.3 billion shares and most won't want to be long term holders there's a big risk of a large rush for the door all at once on completion I'm surprised more are not taking the opportunity to cash in early by shorting now!

Lets give an example, suppose you set up a company with 100 £1 shares and put all the shares you own into this company. Each share is then worth 1/100 of the value of your shares. Suppose now you split each of these shares into 1 1p ordinary share and 1 99p deferred shares. The ordinary shares will have a pro rata claim over all the company assets and the deferred shares will have no claim on the company assets. The 1p shares have exactly the same value as the £1 shares had before the split (1/100 of the value of your shares) just the nominal value has been reduced.

Adalah, shares are valued based on a companies assets and future profitability not on share capital which is little more than an accounting technicality. Reducing the nominal value has no impact on any criteria used by the market to value the shares.

Smalltrader, the 21.6p valuation in the prospectus is simply the pmo share price when the prospectus was written. The share price after the merger will be determined by the market just as it is now!

It doesn't affect the value of your shares it is just the nominal value that is being reduced. This is necessary because they need to issue warrants to some creditors that are legally barred from owning shares and they are not permitted to issue warrants with a subscription price lower than the nominal value.

The share never got close to 50p four years ago, low was about £3.50 then it made a decent recovery.

I actually think GS are being quite clever here, they are buying shares to loan out presumably to bondholders. They will make decent profits from the loan fees and they know the shares are worth way more than the current price then the deal completes!

Surfit, just read the latest RNS

Why would ARCM close their short position before the merger completes when they will receive 437 million shares on the day the merger completes?