Member Info for Leo_IX

With respect Roy, this is a forum for debate, hopefully for the benefit of all, not a support group.

They won't be derailing anything Lee, just taking a bigger share. What price did they invest at initially? They want it back and then a decent return on top. That means jettisoning the passengers i.e the PIs.

A convertible note for the new debt owners? Stranger things have happened I guess. Can't think of any right now though.

A few days ago you floated the idea of issuing 2bn shares at 1.5p in exchange for writing off £30m of debt. This I think would value MTL at £180m versus its current £20m mcap since it would give the debt holders an extra 17% of the company for £30m. I'd suggest 4bn shares at 0.5p would be more realistic though I don't expect that to be a popular view. It's just that it's difficult to be too cynical when dealing with big players looking to recoup their investment. PIs are being shafted more and more all over AIM and I don't see why MTL would be the exception.

HawaiifiveO,
Seems they hadn't finalised the d4e details at the time of the update, but not sure what else they could have done. Letting the sp run up then announcing the debt swap would have been highly irresponsible and would have led to a bigger crash at a later date.

Oultonmike, a higher placing price would leave the placees with a smaller percentage of the company than they'll get at 0.1p and make forward selling the first tranche less lucrative. Easy money for them this way.

For sure. But with only £700k to distribute there's always the risk of delays creating extra costs and eating in to that sum. Hopefully though the days of MPAY disappointing investors are over and they deliver the full amount.

But it's not in days is it - that's the problem...

. It is estimated that it will take between three to nine months to complete the Liquidation, distribute the cash surplus to Shareholders and dissolve the Company, however it should be noted that this is dependent on receipt of formal tax clearance from HM Revenue & Customs and settlement of all liabilities. The Proposed Liquidators will be obliged to send a progress report to the Registrar of Companies and to all Shareholders, covering each twelve month period from the commencement of the Liquidation, should the Liquidation exceed twelve months

Just have to see now whether it goes unconditional or whether there's a counter offer. No point selling in the market or accepting the offer as far as I can tell. Meanwhile, how about a whip-round to buy the directors a spine?

Response is already out - no recommendation!. Great work BOD!

Offer docs posted Fri 13/12 according to RNS.

What mystifies me is why some are selling in the open market at 5p when that's the offer price and therefore a worst-case scenario. Obviously it opens the door to Blake picking up shares to edge them closer to the 50% they need. Please heed the board's advice to sit tight until they can respond in a few days time - for everybody's sake.

...but I bought a few more yesterday at 5.37p. The board has a duty to defend the company against this offer and IMO that could mean unveiling a takeover target or maybe a special dividend. Nobody would accept an offer of 5p if the company proposes a divi of 6p, leaving another 5p/share in cash, would they? Downside from here is 7%, upside is ???

All speculation on my part, dyor etc etc.

Almost 11p/share. Surely someone will make a counter offer?

Look no further than last week's RNS advising of a possible fundraising if the R&D tax credit doesn't arrive soon.

Who'd have thought it? Despite going below 3% in early July, NFU Mutual still has 2.5% of HDY. These disclosure forms always throw up surprises. Hopefully there'll be enough big holders to defeat the 43% controlled by Griffiths without relying on small investors with nominee accounts - brokers aren't always quick to offer voting rights in my experience.

As far as I can tell, Robert Quested is underwater at 5p per share despite seriously averaging down in July at around 2.5p/share to bring his holding to 21%. So is every other major shareholder especially if they've been in from the beginning. Presumably Griffiths sounded out all major holders, not just the Universities Scheme and was told where to go. I'd like to have that opportunity myself.

Takeover offer may be mandatory but acceptance certainly isn't. This is opportunistic and predatory behaviour from Griffiths and now we'll see whether the directors and shareholders have the backbone to resist him. Selling at half the NAV makes no sense to me but the Universities Scheme trustees already have which to my mind requires investigation. Just a simple winding-up of the company would realise twice as much and I'd sooner see that happen than watch kleptomaniac Griffiths getting away with his pockets stuffed full of shareholders' cash. We need to vote down this rotten deal and let the directors find a target for the RTO. A statement from them is now urgently required.

I think one US depository share = 7 ordinary shares in Summit. But don't quote me.

https://www.investopedia.com/ask/answers/06/adshares.asp

Proceeds are already with solicitors, to be released once deal is voted through. No discernible risk here imo.

Been comparing the list of major shareholders at 31 Mar with the list in last month's circular to see who the seller might be. Of the eight shareholders with >3% in March, five retain the same number, one has increased his holding, one has sold out completely and one, NFU Mutual, has gone below 3% (2.2m shares) on 3 July. So my guess is that they're still selling probably because holding shares in a cash shell doesn't fit their investment criteria. And you'd have to imagine they're pretty close to finishing if they haven't already.

Anyone got a different theory?

Sorry, it was yesterday not last week.