Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Hopefully we’ll see some German buying before too long
I've come across this article on a course that I am studying and thought it might be interesting to people here given the subject - it's specifically about gold miners but it's relevant across the commodities space. I've always been pleased by HZM's community engagement and this adds to that
https://knowledge.wharton.upenn.edu/article/when-engaging-with-your-stakeholders-is-worth-its-weight-in-gold/
This is the actual article
file:///C:/Users/rjbla/Downloads/Henisz_Dorobantu_Nartey-2014-Strategic_Management_Journal.pdf
This isn't a comment on Hummingbird directly but I've come across it on a course that I am studying and thought it might be interesting to people here given the subject
https://knowledge.wharton.upenn.edu/article/when-engaging-with-your-stakeholders-is-worth-its-weight-in-gold/
This is the actual article
file:///C:/Users/rjbla/Downloads/Henisz_Dorobantu_Nartey-2014-Strategic_Management_Journal.pdf
How many people remember the chaos caused by Jack Petchy owning 25-30% of a bunch of Listed real estate companies back in 2008/9? When new capital was needed it was impossible as he had negative control but no cash. Rights issues were doomed to fail as it was obvious the nil paids would be dumped on the market. This company has been over leveraged and starved of capital for years. This was inevitable
Can’t see bond holders closing it but they may end up being the owners rather than Intu
I bought at 4p have no intention of selling
I’m not being negative, you see loads of debates about near term means. I think this could still take a few weeks, on lots of boards you see people interpreting near term as in within a few days and people then get angry with management if they don’t hear on those timescales
I’m very positive on this, all I’m saying is I hope if we don’t get news in a matter of days people don’t start getting angry about it. If I’m wrong and something does come out in the next few days that would be awesome. On the other hand I’m happy to be patient - the economics of this suggest it is only a matter of when not if
Great to see progress and the market react well to it
I wouldn’t get over excited about imminent news, it’s going to be a matter of weeks between people being under NDA and deals actually being done
I’m not knocking it just don’t want people to expect something in the next few days and get upset if it doesn’t come
Yes but today Open Orphan owns Imutex so any valuation of ORPH should include value for ORPH's stake in Imutex. Looks like the market is currently not much ascribing much if any value to it - one of the reasons why there should be a lot of upside at the current price
No mention of challenge studies specifically but some companies are speeding things up
https://www.fiercepharma.com/vaccines/nih-preps-late-stage-studies-moderna-az-and-j-j-coronavirus-vaccines-wsj
I’m in both. I’m new to ACP and have a fairly small holding have been in HZM for a while
For me ACP was a complete punt where I’m very comfortable with HZM. Calling ACP a punt is more a reflection of the amount of understanding I had of the company and the graphite market compared to what I know about HZM rather than a comment of the fundamentals of both companies
It partly depends on what is happening with trade creditors as well - but it's definitely going very well in the right direction
Sounds like a pretty amazing set up
Just one question, what does GOD stand for?
The depreciation is pretty irrelevant, it's non-cash so it has no impact now from a returns perspective
Whilst it would absolutely be a good thing to get an update on mine life (and that may have an impact on depreciation from an accounting question) the depreciation charge on the P&L is a different matter and really doesn't mean anything. What matters is cash generation and then what they do with it....
If a transaction is done at the asset level for one or both of the projects, whether a sale or a JV the current share price would be irrelevant to the pricing of that transaction and would have a knock-on impact on the share price which could then be a reference point to an equity transaction to fund the other.
For example a JV on Vermelho could provide the cash to fund HZM's share of capex but would also demonstrate what the value of that asset is, the stock market currently has no reference. One would expect the shareprice to increase to recognise the value shown by that transaction (plus the existing value it attributes for A). Funding for A could be raised at that new price.
There are loads of ways this could be cut but just funding based on the current pricing would be ridiculous - it would be better for everyone to just announce that the board is seeking offers for the company
Well yes, he wants a high price same as anyone else!
A failed capital raise as a result of a shareholder revolt pretty much never has a good impact on a company's share price. If the market didn't like the raise the price wouldn't have risen since the announcement. The funds are needed to support continued growth (even if it's a matter of providing an option for flexibility in negotiations with much bigger companies and not actually spent)
I only bought in after the presentation last week (had tuned in to listen to HZM but found this very attractive) so don't have a vote on this one but would definitely support if I did
But how is it wrong?
It does look like a good point on the deferred interest? Overall the total interest cost this year should be less than last year due to the disposals over the course of last year which aren't factored into the analysis but notwithstanding that it seems to raise some valid questions.
I'm really struggling to see what is wrong with gewillia's analysis. LTV covenants likely to become an issue soon as well
The date of the publication was 10 March and there were RNSs on the matter in March
I liked that presentation as well. Will be spending a bit of time looking at it over the weekend