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I wouldn't be surprised if Hofgren is planning on taking WHP public.. http://www.westlyhouse.com/index.html WHP has developed exceptional relationships with the leading global institutional investors in North America, Europe, Middle East and Asia – governments and sovereign wealth funds, pensions, financial institutions, insurance companies, corporates, endowments and foundations, funds of funds, gatekeepers and advisors, and family offices.
Nicholas W. Hofgren was born in Washington DC on February 7, 1970. Son of Daniel W. Hofgren,[1] former aide to President Richard M. Nixon and Alexandra Hofgren, daughter ofF.G Walton Smith, the Miami Oceanographer. He grew up in Washington DC and Bermuda before deciding he would like to pursue a career in finance. Hofgren has worked in international finance since 1989, working in North America, Latin America, Russia and the UK. He has dealt primarily in private equity partnerships, capital raising, investment and fundraising campaigns in the European Middle Eastern and African territories for various financial organisations including: JP Morgan Chase,Bank of America, Brunswick Capital Partners[2][3] and ALTA International. He is currently co-founder of Westly House Partnership, a privately held partnership providing capital raising support to private equity and real estate firms, a company he formed with Christopher Jackson in 2008. Can't be bad :-)
I reckon so, the new Directors have got pretty impressive CV's with some heavyweight financial institutions...everything to play for going forwards. Happy to top up this morning...gla
way I'm looking at this is, ACO is looking to raise £10m @ 15p with the issuance of some 66m shares. Now, the existing shares are pretty much all accounted for, so any instituation looking to acquire a reasonable sized holding can only do so through the latest offer, as can already be seen with the take up of £600,000 worth that we know about so far. At some point, a notification will be made to the market of whom has subscribed and as the SP is below 15p, it stands to reason that the SP will move up to the offer price. Of course, the $6m dollar question is, what opportunity will entice investors to buy the offered stock? What strikes me as odd is the name change. There are two generally accepted meanings of a RTO. http://www.investopedia.com/terms/r/reversetakeover.asp Firstly and most widely accepted definition - "A reverse takeover (RTO) is a type of merger that private companies use to become publicly traded without resorting to an initial public offering (IPO). Initially, the private company buys enough shares to control a publicly traded company. The private company's shareholder then uses its shares in the private company to exchange for shares in the public company. At this point, the private company has effectively become a publicly traded company. An RTO is also known as a reverse merger or a reverse IPO." And secondly, the alternative definition - "A reverse takeover can also refer to an instance where a smaller company takes over a larger one. It is so named due to the fact that it is the lesser expected arrangement of the traditional takeover of a smaller business by a larger one." Now looking at Gulf Energy's website, they are in the process of undertaking an IPO to become a Plc...which is probably the reason for their interest in ACO as a clean Plc shell, so the first definition [quoted above] of a RTO applies in that instance. Now the main reason Gulf want to float is that they have a vast licence that they can't currently afford to exploit and are looking to raise investor capital by floating. Imho, we will see the first definition of a RTO taking place here. The acquirer (incoming private company) wanted the capital fundraise provision (latest share offer (66m shares for £10m)) agreed before continuing. The subscription shares represented 53.62% of the issued stock giving the acquirer a controlling, majority interest, hence the resignation of the existing BoD. So working on this premise, why bother with a name change? Normally, the acquirer is an established private company who would, of course, already have a company name i.e. Gulf Energy. So I think it is likely that the new investors (Heartwell et al) are planning to launch a new enterprise with substantial institutional investors whilst retaining the name Acorn Growth Plc. Enterprises that spring to mind might be Property or Infrastructure Investment/Portfolio manage
Hi Polly & MAUS, I'm still here...watching and waiting. Will consider a top up if the SP erosion continues but would like to see some meat on the bones before increasing my exposure. Without any news there is little to talk about unfortunately, as for the SP... a combination of investor boredom, impatients
Yes, clearly a fundraising of this size is pretty ambitious for a cash shell and new money will need a strong enticement to invest at this level + I can't believe TB would have punted for £10m unless he knew he could get it away. Imho, this fundraise will be for capital required by the incoming entity for project development, product launch etc..
Okay, if I'm interpreting this correctly, the three resolutions set out in the share subscription Rns, namely- Completion of the Subscriptions is conditional upon: ����� evidence satisfactory to the investors as to the passage of resolutions at a general meeting of the Company to authorise the allotment and issue of the Subscription Shares; ����� evidence satisfactory to the investors of a prospectus relating to the issue of the Subscription Shares having been approved by the FCA; and ����� aggregate subscription monies being received by of not less than �2,477,666.70 (such sum having been deposited prior to exchange of the subscription agreements). have now been fulfilled. This paves the way for the resignation of the existing BoD and the nonination of a new Board by the new investors. Yesterdays Rns, makes provision for a fundraising of circa £10m at 0.15p. One would normally expect the SP to retreat to 0.15p, however, early indicators would suggest that the Mm's have other ideas...gla
Seems to me that everything is proceeding as planned and on schedule... Ps. Like the new thread title Hh100..
All resolutions passed...
few buys coming in this afternoon..attendees of the AGM perhaps?
like the link to the original website has been reinstated...new site complete and ready for the switchover? 16.29/16.45
it interesting watching the movement of the bid/ask and the way the Mm's use the spread to try and paint a picture that suits their agenda. I've always been led to believe that the Mm's have no interest in fundamentals, potential etc of any stock and that they simply respond to the supply/demand dynamics at that moment in time...however, watching this closely over the weeks has challenged that belief. The fact the ask has stayed stubbornly below the actual SP is something I have witnessed fleetingly on other stocks, but never for this length of time. Today, we had 3 buys followed by a sell...and the ask was lowered for the 2nd and 3rd buys, yet we were negative all day until finishing level. I'm probably over-analysing a very limited number of trades plus I feel like I'm rambling and probably making very little sense, so i'll shut up now...gla
a few more today...gla
I think it's safe to unbuckle :-)
down at the time of posting. Updating perhaps... http://www.acornminerals.com/
Indeed Doc..very exciting times ahead. The tiny freefloat of some 7.5m shares (exc' those already held by pi's of course) almost guarantees a fair bit of volatility, but determined to hold on tight to my shares. To use a well-worn phrase on these BB's- "Time to buckle up..."
Okay, been thinking about this and I think I may have dissmissed your presumption prematurely Doc. The Mm's have to make a market for illiquid stocks ie. they have to provide a buy or sell quote on demand. Now recently, sells have outweighed buys which means they are probably holding a surplus of ACO stock. On Wednesday, for some reason, they appear to have decided that they want a higher price for the stock but crucially, without the associated drain on their inventory. In a nutshell, they're "walking the SP up". Let's see what happens today...all imho of course and dyor.
I don't think so...it would appear that, for reasons unknown, the Mm's want the SP higher...regardless of whether current demand justifies it. Let me think about this for a while..
Bid/Ask is 17.15/17.39...Today, the ask price is below the actual headline share price. Hence, all trades are recorded as sells...another peculiarity. Normally of course, the SP would rise after the ask had been paid a couple of times.
As far as I know, ACO is not traded on ISDX, however a background buy order is a possibility..I guess time will tell...gl