The next focusIR Investor Webinar takes places on 14th May with guest speakers from Blue Whale Growth Fund, Taseko Mines, Kavango Resources and CQS Natural Resources fund. Please register here.
If you could learn to read then you'll clearly see that I said the bucket shops will shaft the retail no matter what. It won't matter if there are warrants involved or not. But I don't blame you for trying so hard to stand up for a **** company considering you're a principal shareholder.
It will be below $0.5 within 6 months with or without warrants.
Hahaha as if any "institutions" are interested in this crock. The bucket shops will shaft the retail no matter what. Companies where Spartan have been bookrunners have extremely poor share price performance after IPO.
This will not be an exception.
Net proceeds 37% lower than the Jan filing.
Looks like the hold up was to come to some agreement with the note holders on how they would be payed. They will be given stock (790k) and have indicated that they will be considering dumping it from IPO.
The company will be desperate for another fundraise (but clearly very little interest at the insane IPO price) and have a flood of shares hitting the market.What's not to like?
It will be below $0.5 within 6 months.
Just a little reminder that helpful posted "I suspect share buybacks will be on the agenda Q2 22" back in Nov 21. He got upset when I ridiculed him and accused me of not thinking it through!
This is a **** company with **** management but unfortunately there's still plenty of morons who keep throwing their money at it.
How can you not be concerned already? You have the weight of a death spiral with no hint of cash flowing into the coffers. What happened to the EIA for Zim which was expected by early Feb? Surely not a case of AB talking out of his **** again!
The Mkt Cap is much higher now than when the stock has historically been at these px levels (due to the amount of share issuance over the years). So on a value / mkt cap basis, the stock would need to drop another 50% to reach previous reversal zones.
Wow the old man has started 2023 super grumpy! complex analysis? This is again all in your head... BB are for sharing views are they not? I didn't see anyone else point out a few of those things so where's the harm? I think it's quite telling how you're reacting to a simple post.
It was a statement. No implied expectation - that's in your head. However, I've been consistent in what I think of this sham of a listing and I don't believe you're really that dumb to think I was expecting an improvement in circumstances. But obviously you are free to read whatever you want into it. Happy that it made you "LOL".
I've finally had a little bit of time to look at the latest filing, each time it gets progressively worse.
The latest file has acknowledged that some of the pitiful $6m net has to be used to repay loan notes
"approximately $0.9 million for repayment of the Dragon Note and the December 2022 Note"
The Dragon Note has been attracting an interest rate of 20%(!) since August due to failing to get the IPO away before the maturity date. Thus "the balance of the note payable was $364,087 with interest expense of $124,852" and increasing all the time.
So the rest of the use of proceeds have been revised to accommodate this repayment such that now:
"the remainder for business costs, working capital and selling, general and administrative purposes."
That remainder is budgeted as $100k. To cover business costs, working capital and the management's insane wages.
So what are the lucky new investors getting for their money? They will be putting up 67% of the total consideration and only be getting 13% control of the business. That's because the existing scumbag shareholders only paid on avg $0.33 per share. The management is trying to sucker in new idiots at $4.65.
After the fundraise, the net tangible book value rises to a whopping $0.4 hence the warning in the prospectus that:
"DILUTION
If you invest in our Common Stock or Warrants in this offering, your ownership interest will be immediately diluted to the extent of the difference between the assumed initial public offering price of $4.65 per Unit (the midpoint of the range appearing on the front cover of this prospectus) and the as adjusted net tangible book value per Unit immediately upon the consummation of this offering."
Awful prospectus, awful management. The whole thing stinks and the stock will be worth close to nothing by the time the lock-in lapses. You would have to be a total melon to even consider investing in this ****. RRR may as well write the whole lot down to zero already.
Yes the first part of the first sentence made everything else that followed totally irrelevant. No wonder retail has such a bad image.
AIM 100 has a median mkt cap of £423m - RRR is less than 1% of that.
Median revenue is £158m - sum the entire history of RRR in sales or sales of investments, do you think it comes close?
2/3rds of the index paid dividends last year - what distributions have shareholders in RRR enjoyed over its history?
But sure, AB being at the helm for 17 years is totally justified and a bargain at £144k a year.
It's up to the shareholders to take action but the larger shareholders have no desire. A good solution would be for the company to just cease existing. No more wasted capital, no more gravy train for the management or large shareholders. Long term shareholders won't care as their holdings will be close to zero. Those that got in recently will lose out but it's not like there weren't a hundred red flags for this PoS. If you choose not to see them then that's on you.
Merry Xmas.