Member Info for Poleaxe

The big trades at close on Friday were due index funds - demotion from the FTSE 250 to the Small Cap.

The big uncrossing trade last night was due to the FTSE index weight change, from 27% investability to 35%. This meant index funds had to increase their holdings.

Holders won't be hit with broker dealing costs as such, 'just' the bookrunner expenses. In my limited experience, spread over 2.4m shares the cost will be about as immaterial as Sorrell was to WPP, allegedly! The underwriters didn't make the gain selling the shares acquired at 860p, the placees did.

The 2.4m rump got placed at 860p. That's a poor price IMO and it took a while to RNS. That could be why price has dipped following the announcement. Lapsed rights will only receive 292p max.

I think the lapsed rights will probably receive between 300p and 310p, which is better than most people got selling their nil paid shares.

Taking up your rights doesn't give you 'Free' shares. They've cost you the drop in value in GFRD when they went ex-rights. Rights issues don't give holders any special deal over anyone else in the market. In fact, anyone can buy the GFRD shares cheaper in the market today than they were worth the day before they went ex-rights, even when you include the rights entitlement.

3p? I'm wondering why anyone would pay 3p for them now though.

All that matters for the private investor is the ex-date. If you held shares at close yesterday, you qualify for the rights, even if you bought them yesterday. The record date is for administrative purposes. In the case of a rights issue it's normally a couple of days or so before the ex-rights date. I believe it enables the registrars to get the provisional allotment notices to holders in time to trade the nil paid rights. Note the word 'provisional'. If you've sold the shares in certificated form between the record date and the ex-date, you'll not be entitled to the rights and should forward the allotment notice to the buyer of your shares (probably via your broker). If you hold a nominee account all this admin is carried out by your broker and should be transparent to you.

Who knows. Results seem to be a bit later than anticipated a few weeks ago. Perhaps next week. In July they said, "...expected to be announced towards the end of September. " On 14 August they said, "As previously reported, DX expects to announce its full year results to 30 June 2017 in late September". But a week later they stretched it to "...currently expected to be announced in early Q4". On 15 Sept said, "...continues to expect to announce its preliminary results in early Q4."

I thought the IKEA contract was won by old management, and the extension announced was already envisaged.

Negative cash flow from operating activities. Negative net tangible assets. Current liabilities almost twice current assets. Net debt possibly around £15m. Looks in need of an imminent fund raising. Results postponed. I'm afraid I can't see the attraction.

Are you suggesting the balance sheet is healthy now, or it will be following the financing we're expecting shortly? To me the balance sheet doesn't look particularly healthy at the moment, which I guess is why the shares are priced where there are. A bit of puff about an extension to a contract isn't going to do much to fix the balance sheet.

<I>it's still �19m per year. Thats 3 times more than our market cap</I> And revenue last year was about �300m I believe.

Quite right. One shouldn't let facts get in the way of sentiment!

Can someone estimate the value of this *NEW* contract? Why isn't it stated in the RNS?

Read again. This is not a new �19m pa contract with IKEA. They already have existing contracts with IKEA. It's an additional contract with IKEA (amount undisclosed...why?) bringing the total value of contracts with IKEA to �19m pa. Last year revenues were about �300m, so why all the excitement about this relatively small contract? Some misled by RNS?

Anders Holch Povlsen suddenly has a 11.26% stake in NUM. What are his plans? Simply a trading investment? He holds 29% ASC.

No FTSE 250 and time soon either. Haven't you noticed they've moved to a standard listing on the LSE? This makes them illegible for entry in and FTSE UK index. In fact, today is the last day they'll be included in the FTSE.

Looking through the numbers it appears they are trying to conserve cash by paying suppliers later. There's only so long they can do that.

I'd hardly describe those results as positive! However, the net borrowings at 31 March are not as high as I thought they would be and, so far, there's been no mention the fund raising I'd been expecting soon. It's difficult to say by how much the frequently mentioned sugar dispute has impacted because, as far as I can see, it's not been quantified. Why not do you suppose? Apparently, "The negative impact on cash generation arising from the British Sugar dispute was largely offset by improved working capital management." Anyone able to elaborate on this? Why didn't they do this previously? Also note how they want to re-establish the various divisions as separate entities. What do you make of this? Does this mean if one division gets into trouble it wouldn't bring down the group? It's still not a stock I'd be buying.