Member Info for Marcus_

Well percentage wise £4.88 per share is as far away from today's "future consolidated SP" of £1.95 (or 15*13p)
as 44p is away from 13p.

So it is no more difficult for the SP to increase by + 300% at either price as the SP is only a result of the market cap of the company.

What ever percentage increase you need in the SP to break even will be the same post consolidation, however I think Jed's point is that historically following any consolidation in a company under stress the result can be that the SP just continues to decline. Medium to longer term it has no impact but there is a risk that the market sentiment is that people see the SP and not the market cap and therefore equate the new consolidated SP to the old SP.

My average is about 18p so to breakeven I'm still looking at a 40% increase in the SP.

I think it is correct to state that the initial impact of working from home is either neutral or costly for service providers.
Where they stand to make money is if they can take advantage of the long term effects.

It is likely that home workers will start to see value in not just speed but stability of connection, if you are a company that can market yourself towards this then you may take market share from those where people get dropped every 30 minutes.

Also in terms of businesses they are going to be looking for effective and secure connections to their internal networks. Sure they will have some already but probably not designed to be scaled up to the the current levels.

Its not a certainty for any service provider to make easy money, but those who can market and prove themselves as successful providers of working from home services stand to take market share from those who are unable to deliver.

I don't get what the size of the stake has to do with someone's view on the company? You could have a very knowledgable person with little capital in the company or a millionaire for whom the investment is the same as betting on red or black.

Indeed some people post who are not even invested at all and their input and insight can be better than those who have invested 100,000k based on an emotional attachment to the company.

The buys and sells are iffy at best, so would not read too much into that.
Given the fall in price after the transaction it could well be a sell.

Is that good for you or not? Can't determine without knowing your buy price.

Well you IG people are ahead of the game as I've just checked my HL account and there is no option yet to take part in the offer.
So it's a case of wait and see for me.

Fair enough, like I say not sure about the value for money. I imagine the tight timescales may mean that any competition was limited.

I have no idea what value for money is on administering a new share issue, but I imagine there is some admin work in tracking down all the individual share holders and checking whether they have taken up their share allocations.

The big institutions will be the easy part but the small PI's will be were the leg work comes in, then I assume it also covers the cost of the consolidation afterwards. I've no idea if the people being paid also facilitate the discussions between the board and the major stock holders.

Either way its a little more than just writing a prospectus.

I've just been reading the prospectus today (well as much of it as I could bear, there are a lot of risks).

What I don't get is that the payment for the shares in the open offer (28th-30th September) seems to be due prior to the vote on the share offer in October.

Therefore, we will have paid money to SAGA (if you take up the offer) but if the vote was rejected there seems to be little information about how that money would be returned

Maybe I am being over cautious but seems the wrong way around, surely the vote should take place then the share offer issued?

I think they mean it is a done deal in terms of the major shareholders have signed up to buying the new shares at 12p.
The rest of use could vote no, but if the institutional shareholders hold 60% of the stock then the remaining 40% of PI's are not going to be able to vote this down.

Probably too late now, but if you are not overly sure with shares it maybe worth investing in funds in future.

Leave it to the experts to try and manage the shares or buy a tracker and follow the market or a segment of the market.

It takes the pressure off and can be a better return on investment.

Well someone is buying at this level.

Yep that looks about right.

Not sure what that will do to the sp.

No.
You have miss read my response.

I said if there was no consolidation then we would not reach £1 which is the same outcome as if there was consolidation we would not hit £15.

The consolidation mathematically does not have an impact unless you hold a number of shares that is not divisible by 15.

Eg

That £20000 investment at £1 is currently worth £3000 @ 15p a share.

However, if that consolidation happened at a price of 15p a share then the new consolidated SP would not be 15p but £2.25 per share.

That new sp means the invest still has 1333 shares worth roughy the same £3000.

The sp is now 15 times higher than the day before but if there was no consolidation it would have stayed at 15p a share.

That is the same whether there is consolidation or not.

If there is no consolidation then the SP will no be £1.

I guess it's to be expected there is no incentive to buy today.

Bad results would put off most but then add to that anyone buying today could be instantly diluted.

Existing shareholders won't buy more as they can get more at the same or lower price through the share offer.

So only sellers today and MM will offer Rock bottom to scoop them up

Consolidation is a nonsense, it shows a lack of mathematical basics.

The percentage swings can take place at any sp.

No doubt we will waste some money paying someone to administer to consolidation.

Plenty of money to waste it seems, but little in way of effective management.

Lots of cruise ships are parking off the coast to save on mooring fees.

I'd hope saga management are mothballing in the most cost effective manner. But I agree why take a ship you can use early?

Unless they expect to get cruises underway fairly rapidly and need to train staff on board

Jed the city are not fans by the looks of it.

I'm mostly disappointed in myself, I had an out at 19p for break even but refused it due to greed.

No one else to blame but me for that error.