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toptuf - sorry, "by some", I shouldve clarified - these nonsense derampers

Some very interesting thoughts guys and I am sure we will find out soon

However, one major piece that doesnt seem to being mentioned much is "The Company has received a number of unsolicited offers of interest in its Little Deer and Whalesback Mines and is actively seeking arrangements that can advance these projects while retaining significant interest. These deposits have existing NI 43-101 Resource Statements which are in the process of being updated"

I truly believe this is at DD stage to a select group of suitors - they will be updating the Data Room with those resource statements and likely running a competitive tender - wont be surprised by AGM that they are able to name the preferred bidder

you dont announce in an RNS that youve had "significant interest" and "advance these projects" unless you are pretty sure there is a deal

TB is an experienced operator and specialist is turnaround - and today is strengthening the team with yet more quality hires

The spend that he wants to fund is to greatly increase output at cheaper cost asap - spend so far has been to open up more quality material soonest

I am adding - Im now down after being up approx 75k a short few days ago. Never nice but with what I am expecting to happen soon (at or soon after AGM) then we will be breaking much higher and reasonably soon (6-9 mths)

These are my thoughts and the reasons Im adding but DYOR because it is clear from many of the posts that far too many dont know what the company is or has otherwise you wouldn't write the garbage that has been typed

GLA LTH, the rest can do one

IMO it will be a partial sale (JV) of Little Deer - they have been opening that up - money well spent to now sell

That alone could be what RMM Mkt Cap is now

So production is a little behind whilst opening up a mothballed mine in the harsh of winter in Labrador - wow! So what.

If you invested on the fundamentals then theyve never been better - more material in more stopes at increasing grades

Little Deer unencumbered by way of fwd sold material. Yes its hard to see a big profit turn to a small loss this week and would much prefer it was .8 today, BUT, I invested on the fundamentals of an operational mine and therefore still believe in the business and the BOD

GLA

No deramp as Im in again at 20k

Sold up a couple weeks ago with v healthy profit, bough again last Friday and sold all at 12.74 yesterday - 10% increase on no news was not sustainable - got my 20k back in today at 11.8p

BUT - I do think this will drop to high 10 and will add again then

This is a great company and dont want to be out of it, but also a great opportunity with these swings to make serious cash

There are a lot of rampers with big SP targets, and many will get there - but quite a few years from now

All those that watch the daily and get excited or depressed, need to see the huge opportunity this share offers to make money

Worst move I made last year was not selling at 8p (original stake was at 1.8p) Couldve made 30k more profit on this share if I had - lesson learned - those suggesting that they dont have a reason to sell, thats fair enough, but I will give you one - dont blindly think this is going to rise in next 3 mths without further news (unlikley IMO).

This is as safe as they come and LT will do v v well - but dont rue the drops or get over excited with the daily gains. There's more than one way to make money and this share offers plenty

GLA

Just circled back here - it hasn't hit my reentry price yet so not holding

If anyone is interested in penny stocks, feel free to join us on https://discord.gg/myJ6fFmm

I heard about ITX last year from Croda BB - I do really like ITX and will be back in at some stage - higher or lower (certainly not deramping this company as its quality)

If anyone wishes to look into another penny stock that has big potential - take a look at RMM

If you look at LSE BB, stick to the knowledgeable people like CornishKnocker and DJRyan

GLA

would prefer them to invest all money back into the company - 3 years would be my guess

AJP - Ha!! Hope not!

We've doubled in price in 3 weeks - that in my mind is not sustainable, and I think I will get an opportunity to put about 10k back in (maybe even next week or 2) - This isnt an any way deramping - Ive made what I wanted and happy with it - BUT IF it does fall back, I will happily be back in

If it does quickly shoot to 15p or more, then very good luck to all of you

Some great posts on this site and thanks to AJ and others for diligence in research - I first bought in at 1.8p and loved the story here

Ive now cashed up and taken 25K profit - I will be back in in due course but good luck to all invested here, its still a great company

many of us have consistently said we would top slice at 8p - most of us have (I understand)

So shares were there to be mopped up - lets take a breather at 8p and give us a month to slowly climb towards 10p - at least that is my wish!

GLA

Great post Thordon

You should join us in WikiPenny

https://discord.gg/Q5uBZXQp

Lots of quality reviews on Penny stocks

Tried to top slice a little today - was up 64% at 47k, but they wouldnt take a sell of 5k

Anyway tmrws another day

Good luck all

that isnt the spread - its the Bed & ISA fee for swapping your investment into ISA (should be about 30 quid

GLA - Nice to see ITX up again - lets have a good rest of week

dont believe what is reported here as Buys / sells - they seriously get this wrong all the time

Added here again today GLA

Elsol - agreed - why II exclusive call? Since it price has dropped big - we are all shareholders and having 2 calls is simply unfair

Retiredbanker - I think that is a decent assessment of the past (I was lucky to only get acquainted with the business when I first bought at 1.8p last autumn

My hope (and I say calaculated hope) is that growth is somewhat more exponential than your forecast - I took profit at 7.5p today on 6k I topped up last week at 6.1p

I have only ever thought this would get to 12p on a buyout (it was my investment in Croda that got me here)

BUT - I do see that a buyout is still the likely exit within 2 years

More analysis to be done because those figures are already way out of date. IIs not likely to be adding so this is going to to PI and potential Trade sales to really see this move

Good luck all

Bye guys

Cashola - whatever you think!

Clearly you didnt read slide 24 nor understand RCF facility etc - good luck with your investing

hes on discord, and eats etc

116M !!

Cashola - they may have made 0.25% interest on the deferred VAT liability, but thats all - that Q1 2020 liability will need to be paid down next month.

Its Bal Sheet only (Dr bank/Cr VAT liability = was part of balance sheet cash only - no P&L effect)

Having worked in M&A for 20 years Let me also try explain EBT one last time!

Capita EBT for 2020 was 116M.
Deduct ESS (for purposes of recurring profit reporting) of 51M leave post ESS business EBT of 65M

We will have 2 mths trading of ESS to add back into 2021 but I have ignored that)

The "below the line" items of impairment of goodwill, one off items eg. cost to close offices etc were (Net) approx 115M to show the continued operations headline loss 50M

Those one off costs are never considered in valuations

The company has said that their CV19 reactions (eg closing offices etc) will save year on year 120M starting 2021 (with additional 2022 circa 50M)

I have worked in M&A for 20 years - if valuing a private business we would often use EBITDA multiples for valuation - here I have used Continued operations EBT with fwd looking "known" adjustments.

If you listen to yesterdays Investor presentation and read the slides that accompany them, then you will understand the business a little better.

So for the umpteenth time - Capita EBT last year was 116M ( before deducting ESS for fwd looking, and accounting adj that used to be call "exceptional")

My calcs above clearly start with EBT at the 2020 level of 116M and for valuation methods deduct ESS non recurring 51M

The rest of the figures are those that we provided to IIs in the presentation

The market doesnt care about the past that much - it prices on the future - so fwd looking trading EBT on the current business is circa 225M-300M (all things remaining equal ie we dont know what EBT will need to be deducted when the next business sale occurs - but if we achieve 8-10 times multiple for non core then then thats fine in my book)

At this level we have sufficient debt coverage / interest coverage on existing loan notes - the expected bond issue (later this year to replace senior debt) will allow for pushing debt repayments out much further

These figures indicate a SP valuation of 120p to 180p - will we get there yet? NO, because CPI need to back it up this year - hence H1 results (by which time AXELOS or others will probably have been sold) will tell us whether they are achieving this

If we consider the low level 120p valuation and assume future business unit sales reduce continued operations EBT by say 50M, therefore 225M-50M = 175M at 10 x multiple indicates approx 100p valuation

As a quick and dirty, Barclays 80p short term indication is probably along these lines until the bond issue happens, by which they will no doubt return to their 100-120p range (possibly 150-180p if CPI is showing they are delivering)

So in summary - Deferred VAT is a nothing effect to P&L, and CapitaTrading EBT for 2020 is

VAT liability is a BS movement not P&L. It’s simply a creditor that hasn’t been paid so simple cash movement when paid