Member Info for jock47

I have been reading all the various views and differences of opinion on value. Many of the views are based on short term considerations , amateur opinions on the drugs in the IMM portfolio, market maker tactics ,liquidity , Lanstead, etc
My view is clear.....if Lupuzor comes to market this share price will look extraordinarily cheap and I take comfort from Avion’s diligence and subsequent funding. I believe the risk equation has now swung materially in bulls’ favour in the past week and this is not reflected in the share price. This appears to be a great buying opportunity.

I am quite encouraged by the RNS. Tidying up a legacy business can be complex and time consuming, with a lot of issues to manage and negotiate. A top team has been assembled and revenues now being generated. At the present share price, a market value of £750k in my view does not in any way reflect the potential . I am now a buyer. Plenty potential upside here even if they cone to shareholders for finance.

A great RNS just released. This looks like a very significant strategic announcement with potential huge gains for BIDS.

The Dr Malik interview is outstanding. This is a tremendous boost to my confidence in buying shares. The target of 92p is a measured view from an expert. Interesting times ahead...if this becomes a blockbuster then 92p may be conservative, but, step by step.

It is the same thing. BOU issue shares to buy target.

So far, this seems to be going to plan.
The company now has strong cash resources, the advisory team and Peterhouse are clearly well incentivised and Antos (probably) has got more shares in yesterday’s placing. He’s probably building his stake to 29.9% which is his limit as above that he would have to make an offer for Bould. All looking good, everyone getting well positioned and ,in my view yesterday’s share price fall was daft, Next week should see this motor as we begin to anticipate news.

The Board ‘continues to be excited by IMM’s future potential........focussed on the commercialisation of Lupuzor.’
This could be a rewarding share over the next few months, update by end of Q2.

Could it be that after the OO , BOU is sitting with c £750k of cash and no other assets. However the market cap is c £4.0m. BOU then offers for a new business by issuing new shares, maybe Coeur , maybe something else and finishes up with a small percentage of the new enlarged company? Perhaps BOU shares will then rise but this will depend on the performance of the new company. I am in ‘wait and see’ mode.

What an underwhelming RNS. Not much to do with gold mining. So now we have a shell company with about £700k in cash valued at about £4.0m. Seems expensive.

Discount to what?

Good luck guys, I explained how this works but was shouted down. I look forward to reading today’s posts. So much for those who thought shares would be issued at a premium to 60p!!!

????

Yes,of course. Since I posted in early March the share price has gone up by about 4x. This is the relating I referred to and I believe it has gone far enough for a cash shell. Wishing you well.

Hi Apple, I understand your reasoning here but disagree. Why would Antos(for example) want less shares issued to him for his company( if that is the RTO) . I believe he would want more shares issued therefore a much lower BOU share price. It will be great to watch this all develop over the next few weeks . You may well be correct but I see BOU as overvalued. There is much too high a premium to the actual value in BOU, which has not much cash.

RKB, thanks for your interesting post. I am of the view that the share price is way too high at these levels. There will have to be be an EGM for the RTO and the company reversing in to BOU will want as much of the enlarged equity as possible. Makes no sense to have a £3.5m shell with only a few hundred K in cash, which is on a monthly burn. I see a placing at a substantial discount up ahead, but may be wrong. What are your views?

Thanks Jace for responding. So,in your view, how will BOU raise the funds to buy a RTO target?

This looks expensive to me for a shell company. Remember BOU have to buy the target by either issuing shares or raising cash,probably at a discount to current price. So if BOU buys another company( reversed into BOU) , existing BOU shareholders finish up with a small percentage of the enlarged group.
Most shell companies are valued at less than £1.0m. BOU currently only has sufficient cash to keep going reviewing possible acquisitions. It will be an interesting share price ride ahead.

A good post Bermondsey.
I think there are going to be a lot of burnt fingers here. A shell valued at over £3.0m is toppy. Value can be created, but we have to buy an asset, either through an issue of shares or placing, probably at a discount, so I woukd be cautious.

How do we buy the asset?
Do we issue shares or raise cash through a placing and open offer? What actually is the value of our shell? Is it more than current market capitalisation ?

Could someone advise please. I had understood with an RTO the shell company issues shares to buy the incoming business . So the existing PSL shareholders get a tiny percentage of the enlarged company and are severely diluted. I had thought a shell company was only worth about 500k plus whatever cash it had. This would male PSL worth about 0,014p per share . So why 0.033p?