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Roman Abramovich sanctions i.e. asset freezing.
this means he can't sell his shares, i.e the potential for a huge fire sale has been diminished.
i might be oversimplifying to a large degree here but i don't see how this news justifies further cratering the share price, other than the bad 'optics' of association.
600k bud at 99p though
I agree with what you're saying.
However, if 40% of revenue is from Russia, that does still leave the majority (i.e. >50%) of revenues outside of Russia. as much as a fall was inevitable, 600p down to 60p does seem overdone. Somewhere nearer £1.50-2 is where I imagine this stabilising.
When you say 'if' its predominantly funded in a non-dilutive way.. $325m debt facility being arranged with major institutions to fund araguia phase 1. ($443m Capex requirement). Thats almost 75% debt funded already. Even if all of the remaining $120m is raised as equity at todays SP, HZM will be massively undervalued. I doubt any equity will be at today's price though, i'd hazard a guess at anywhere from 10-20p. bearing in mind araguia phase 2 will be funded from phase 1 cash flows, to have 3/4 of the initial funding already secured via debt is a fantastic achievement and i firmly believe shareholder value will come to those with a medium/long term investment horizon.
As far as I understand, this is still a transaction which is the result of an auction period matching buy and sell orders at a certain price. There will be a UT every single day at 4.35pm as that is the end of day auction.
Plainly its a statement confirming that JPM have reduced their position size as of 11th May. I dont know if they plan to fully liquidate their holding, but in my opinion i think we will see another holdings rns at the end of this week confirming they are below the 3% threshold, at which point we wont getting any further updates on their selling.
Buys are 2-1 today. £2million bought vs. £1m sold.
Today was a perfect opportunity to process a big chunk of the outstanding shares that JPM and others are looking to sell. The fact that the SP is only up 1.5% at this point in time goes to show that the background selling continues at a pace. GOOD news IMO.
It also looks like it is being contained at the 29p level as per Thursday's trading. Only a handful more days like this at most, and then the breaks are really going to be off.
SIG certainly isnt in as good a state as it was before covid. but the question is, is the enterprise really worth 20% of what is was only a couple of months ago? It's the relative value here that i think that is important. Perhaps its worth 50% of what is was back in Feb. Even in that scenario that would still be 45p. Do you see what im getting at? Unless you're just looking for a short or cheaper entry... ;)
Id like to know if the sell off is purely a function of the recent nickel price plummet. I'm pretty confident this is the case to be honest; there is no company related update that would suggest any other issues are at play. I just hope that this depressed share price does not affect negotiations for funding Araguia Phase 1. I will be waiting for the knife to hit the floor before i mop up some shares with my available bread crumbs.
Old Town hat, have you looked into hzm finances at all? They have $30m cash balance primarily due to a non dilutive royalty package agreed with major mine financer Orion. Jeremy Martin has also stated on numerous occasions that Vermehlo would likely be funded from araguia cash flows. There will be an equity component of funding araguia phase 1 but even that will likely be 30-35% of just phase 1 of Araguia development. In his most recent interview he even stated HZM are funded through to construction for araguia. I certainly will be looking to add to my holding on any further weakness, as a £60m company with $2.5bn NPV of assets in a bullish commodity market sounds pretty good to me. Each to their own though I suppose.