Member Info for rcgl2

On that we are in agreement!

Every time the price moves a bit here there's all these posts claiming a leak, someone knows something, this is being held down by nefarious forces, this has been taken down to allow insiders one last chance to get in before the rerate (how many last chances do they need?!), MM's know something's brewing, they want your shares, CGP are selling, NCM are selling etc etc

Really though? Seems to me much more likely that actually most of the "sticky" money that's likely to invest in Solg at this stage is already invested, and holding. PIs are topping up here and there, some are top slicing (RedKnight), maybe a few funds doing the same... But most of the volume is probably just traders and algos bashing the SP up and down in a range.

Yes it got a good boost with Porvenir news plus a bit of overexcitement last month about the end of the standstill. I think it just got overbought. Bear in mind that all these algos, momentum strategies, day traders etc aren't sitting there poring over Solg and it's news in anywhere near the depth we all are. Lots of them are just screening thousands of stocks a day and piling into anything that's moving. The move up from 25/26p into 30s probably attracted a lot of short term momentum trackers, the price over extended up into the 40ps, momentum tailed off and now it's come back down as it's been sold off for a short term gain. Maybe it's stabilised now and will sit around low-mid 30s until the next good bit of news or the Porvenir discovery begins to be properly priced in and a bit more sticky money comes in.

I think trying to divine things from staring at the order book all day might tell you something about the short term but it just seems you can see any pattern you want to fit whatever theory you have if you stare at it long enough. Long term, we all agree this is undervalued and one way or another should go much higher from here, but it's not going to go up in a nice straight line.

I know Miagi... I do have some nostalgia for those early online years. The screech of the modem, my mum shouting that she couldn't use the phone because I was online, the tense and seemingly endless wait for a grainy 36kb image of Pamela Anderson to download... However, I would prefer investment chat nowadays to be clear and easily accessible.

Have some posters besides RM been banned from here after the meltdown the other night? It seems unusually quiet on this board the last couple of days.

Don't get why you go on ADVFN tbh mate... it looks like it was built as a GCSE I.T. project in 1997. I find it very hard to navigate.

Also, JLondon... why do you use asterisks instead of apostrophes?! No doubt I will be quoted there later...

rcgl2 on London South East at 09.47 writes...

My comment: etc

So have you gone short already or are you keeping your powder dry waiting to pile in at 26p?

Anyone surprised they released this into today's noise, considering no clear result yet in the US? Or rather news was just out there as it comes in?

Z, Red was referring to the 612k UT at 16.35.

niw44 and I were referring to another trade of 657k at 16.00 which is showing as an O trade sell.

Thoughts on that one?

What do you think about the 657,029 O trade at 16.00? Why would you sell that in one lot below the bid and not break it down into smaller chunks?

Nov 3 2020, 16:00 30.5218 657,029 31.50 31.70 Sell £200,537.077322 O

To be a bit clearer:

It has been suggested that CGP are selling Solg shares. If they were selling, that should be reportable on SEDI. As there are no reported sales, the evidence suggests that CGP are NOT selling their shares.

However, the one caveat to that is that the information on what they hold on SEDI is not consistent with what Solg and CGP say they own now.

Yes as I said, although that figure is given as of 5 September. So they could have sold in the interim.

Reporting issuers in Canada and their insiders are required to file details of insider transactions on the SEDI website. It is not an easy website to use but you can run a report for Solgold to see insider transactions. CGP is an insider of Solgold and therefore should report their transactions.

A report for all transactions 1 Jan 2017 to present only lists one transaction for CGP, which was their acquisition of 170,156,414 shares in Solg on 12 July 2017. If CGP are selling down their Solg holdings, I would have expected to see this reported on SEDI. However, as Zoros mentioned, they apparently sold a large chunk a year or so ago, and on the Solg website they are listed as holding 157,100,000 shares as of Sept 2020.

So for some reason their sales are not showing here. Could be some exemption in the relevant Canadian provincial reporting rules, although that would seem to negate the purpose of the original filing information. Nick Mather and Jason Ward both filed transaction reports for their share purchases in the June placing of this year, so information is updated. Or alternatively, CGP have just failed to report their disposal of almost 4m shares between 2017 and now. If we had confidence that they were filing all of their transactions, then I think we should be able to tell if they are currently selling down their stake or not.

Insider name: Cornerstone Capital Resources Inc.
Insider's Relationship to Issuer: 3 - 10% Security Holder of Issuer
Ceased to be Insider: Not applicable
Security designation: Ordinary Shares
3038623 2017-07-12 2017-07-20 Direct Ownership :
00 - Opening Balance-Initial SEDI Report 170,156,414

"The group’s push for a sale comes from the practicalities of being a cash-light equity partner in Alpala – the latter of which means finding hundreds of millions of dollars to fund its share of development costs."

This is one of the most salient comments in the article. It's the looming funding obligation that is driving CGP's thinking. They are blinkered to any other options because the have to be, they cannot afford any options other than selling Alpala or Solg or themselves.

Also, despite giving more airtime to CGP's viewpoint, I think this is one of the first times I've seen an article actually state that CGP have a very large capex commitment as things stand, rather than just parroting CGP's phrases about "unlocking value"... it's a shame the article doesn't go any further on this point though.

Grimbergen, impressive... most impressive.

Yes true Miagi... but the fact remains, this is an undervalued company and all sorts of news is due over the coming weeks, plus there's always the potential for an offer. I'd rather be in and ignore short term volatility while waiting for the rerate, than be out and hoping to get back in before the rerate.

Having said that, I have time on my side so can afford to wait years if necessary. Realise that's not the same for everyone.

Interesting days, weeks and months ahead on many interconnected fronts!

Hi Schlem, I respect your decision to sell if that suits your personal circumstances, but aren't you just swapping one problem (risk of paper losses) for another (missing out on gains)?

What did you sell at, 35p? What if the Alpala PFS or Porvenir assays drop tomorrow and it rockets to 55p? Or what if a takeover bid is announced at £1.20, the price will move up to near there before you can get back in. Aren't you more likely to be cursing missed gains that you won't be able to get back rather than paper losses that you didn't have to crystallise?

"2-3 weeks" is in danger of becoming the new "imminent". However, on things like drilling visuals and assays I have more confidence that they will indeed be 2-3 weeks.

CD - yes agreed, but at least IAG had a viable business before the crisis. There are some insane valuations out there right now on companies that have never made a profit and have no clear path to ever doing so. Nikola Corp still has a market cap of $7bn and it's literally got no product! It never had a product, the best it managed was filming a truck rolling down a hill because it couldn't actually drive. They essentially had a market cap of $25bn at one point on the premise that it would be really good if they could make a product that everyone wanted and sell it to lots of people... Anyone could say that. Anyway, rant over... Solg is undervalued by the market.

Macaumike - agreed. Mather owns 90m shares directly, not including his exposure through other vehicles. Every penny on the share price is worth £900,000 to him.

Goof point Roger.

Quad, he does seem to agree with your point about the diverse book though doesn't he. With various moderately large holdings but none greater than 20% he thinks it's hard for any one party to bid for Solg.