The latest Investing Matters Podcast episode with London Stock Exchange Group's Chris Mayo has just been released. Listen here.
Generally agree with all this morning's comments (esp. Zaphod). My take:
- Not half bad... is the most important part... not bad at all;
- Positives = total direct costs increased by c. $3.5m (2021 YTD vs. 2020 Q1+2) whilst gold sales increased c. $10m. This is despite mining less tonnage, so costs probably include hefty expenses relating to the Covid wave that was referenced. Extraction generally feels OK, so if gold prices remain bullish and if a lot of this year's costs were temp. Covid coverage... fine!
- Negatives = that damned debt arrangement. I've only had a skim of the terms, but it appears we're on track to pay off the $30m of current senior debt in 2021 (with a $5m buffer)... during which time we'll accrue a further c. $10-15m interest on the non-current debt.
- We should view interest as being net of increasing gold prices. If we're accruing at 15%pa but gold prices rise by 10%pa, it's less of an issue. If it weren't for that, we'd be looking at 5yrs or so before paying off the debts. That is OF COURSE if we weren't an exploration company, who can strike literal / metaphorical gold any day.
- It's an overly-leveraged, but solid little performer, with bags of potential. If I were a benevolent controller of share prices, I'd say these results should add a couple of pips to the SP. If we're still in a trough at the end of the week when I get paid, I'll top up.
Ok... this is the last from me and then I'll both pipe down and wind my neck in.
Konstantin's CV can be downloaded in Russian here: https://eurabota.com/uploads/2014/cv_1406626750.doc
You can then translate it to English quickly and for free here: https://www.onlinedoctranslator.com/en/translationform
(it's six years out of date, but shows his early work... and I tried!)
That's embarrassing, when Russian characters come out as question marks. If curious, try this link - https://www.rbc.ru/companies/id/1217800054120-obschestvo-s-ogranichennoj-otvetstvennostyu-shungit-sorbent/
Then copy the first three words on the third line down, which is his full name (incl. middle name)
Apols if this is obvious to all. It seems as though this appointment was expected today by quite a few people. I'm curious about our chap, so have tried to find what I can. I haven't got far yet, but thought I'd share a couple of short cuts.
1. I think this is him, throwing some weight around on behalf of Rostech (let Google translate the page, then search Firstov) - https://www.technickytydenik.cz/rubriky/archiv/sst-informuje_39479.html
2. Google his name in Russian to get far more results (then translate results) - ??????? ?????????? ??????????
3. That will lead you to this interesting character, who has been a director of mining companies in Monchegorsk since 2002 - https://www.rusprofile.ru/person/firstov-kv-244312112854
Curious to hear commendations from anyone who's been a bit more thorough than I... (but it looks like bloody good news!)
just got to be careful not to fly too close to the sun like ol' Icarus!
https://www.imdb.com/name/nm4622609/
Don't forget Northern Leaf, Matador!! Where we're already invested, and they're already growing in Jersey. And... I know that all of this has to be opinion, etc. but Jersey is just objectively better than Guernsey.
Northern Leaf will IPO later in the year. They were raising £5m of loan notes at £30k each for pre-IPO activity, in Feb / March. I applied for a £30k note, but the raise was so oversubscribed (offers of > £15m received, incl. from FFWD) that I was only able to get £10k of loan notes. I'm not saying we shouldn't get excited about Guernsey being copycats, just that we should all be getting much more excited (and setting some cash aside personally) for that big, beautiful Northern Leaf IPO.
I think it's the auto-bot that denotes what's a "sell" and what's a "buy". Otherwise, the past few days of trading really don't stack up. The bid and ask have inverted a few times, too. The same was happening on IRR earlier in the week. I don't think it's MM manipulation, just low volumes with (relatively) volatile prices and a low spread, causing the computer to misinterpret??
Thanks all for being kind and constructive with the criticism!
You're probably right, that I'm talking nonsense, but I meant that:
- I would like SEED's NAV to keep increasing, but with an increasingly discounted SP, so I can keep topping up. I'm here for the long term pay off, so a low SP is great until payday!
- SEED itself has a good portfolio and can sell Leap when it needs liquidity (but why would it, if Leap has a better ROI than the portfolio average)
- I was being abstruse about "fewer investors". It was giving the absurd extreme example: if SP fell to fractions of 1p tomorrow, and I was able to buy 50% of a company that has the net assets of SEED.... y'know? So yes, that is nonsense, but there's an extent to which it's brilliant for us if the share price keeps falling in the short term while the NAV goes up. Isn't there?
Apologies if this is time wasting and irritating. I'm pretty sure we're all on the same side! And the heat might have gotten to me... GLA x
I've been following the participants of the Oxford Superhub on LinkedIn since this article:
https://www.energylivenews.com/2019/04/03/new-energy-superhub-game-changer-for-oxford/
Though I don't think Invinity were officially named until:
https://www.current-news.co.uk/news/oxford-energy-superhub-hits-milestone-as-first-evs-arrive-at-pioneering-project
Still find it bizarre that the superhub has now been proven, more are being announced, and so few have really put the connections together and realised what massive potential IES has...!? (present company excluded, naturally!)
Troll - not meaning to sound antagonistic - but don't we want fewer investors?? The ideal would be that the group of us here could slowly pick up as much ownership of SEED as possible while SP is low. We would only want new investors if we needed to raise capital... but we can do that by selling Leap at the right time. There's no point in Ed buying things if he doesn't know how to sell them. (I also didn't think it was odd to invest in a co whose portfolio was slightly diversified... though I know it's legacy, not intentional risk spreading.)
...still laughing??
I know this doesn't change anything, but I feel sorry for any LTHs who are selling at the moment because they need the liquidity. Some of the trades going through today have the look of "it was this or a trip to the pawnbroker". GLA and I hope we see some nice top-ups from anyone who has any cash left at the moment...
Welcome, Reap! It's not often I recognise a name from the MTL ghost-town BB, but that must mean you're one of the good ones. SEED has huge scope (IMO, blah). I first bought in because I'd bought loan notes in Northern Leaf for its pre-IPO raise.
With the worry of some over-valued IPOs recently (although ROO has pulled its socks up, now...) I figured it would be a natural hedge to buy into FFWD who also own a chunk of Northern Leaf - with the view to selling FFWD before Northern Leaf's IPO. That way, if Northern Leaf was valued too highly for the IPO, I'd benefit by the FFWD sale; if not, then from the IPO
...except the more I looked into FFWD's investments, and their transition to SEED, I think I'm more excited about them than my direct Northern Leaf notes!
https://www.youtube.com/watch?v=ojC0mg2hJCc
I'm with Jersey girl on this! Let's hope price stays low for long enough that we can each get our next pay cheques invested. (Where in Jersey are you from? I lived up La Pouquelaye for a good few years...)
Ps @Hazbeen
It will be VB who enact the dilutions... and at a 58p option, right? (from memory, but... close, right?) So, why would they have a plan to dilute the company to 25p per share by paying 58p per share? That's just silly. Those are the words of a silly goose, Hazbeen... (IMHO)
Long may it last! I'm getting invoices raised to clients at double speed, so I can get in more cash to put here. (Also Invinity, who'll be using a lot of vanadium and appear seriously undervalued.) In for the long term, so I'm happy for the low prices to linger a little longer.