Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Hi Hillview - we are all disappointed with the share price reaction - but unlike you I am not sure what could have been done better so i don't blame the management. They are not looking to trade the stock and are looking to create long term value. They needed cash to advance the project - they successfully raised that cash. The same goes for previous placings. Market sentiment and reaction should not form the basis of their actions. Having said that I agree the AIM decision should have had more rationale attributed to it - given it is the opposite to normal. I expect they want the flexibility for the production financing and AIM allows them to move more quickly. AIM itself is not a problem exchange - it is the low rent "entrepreneurs" which run many of the companies. They dont understand the concept of managing the company for other shareholders - but I think most holders here dont see our management team in that light - so there should be no problem with AIM. Reading between the lines, it looks like financing is proving harder than anticipated but what people who are selling are forgetting is that with the licences and permits in place we can get bought out by a larger company with the financing. They can start mine development immediately and this still gives us multiples of the share price. This is not my preferred outcome but a good plan B which should underpin the value in the share.
I said a month ago i would not begrudge a placing at 6. 5.75 is close enough. Now we can move forward and the share price can rerate. its only a small % of shares issued. Yes we would have all liked a small discount to 8 - but that is the city thats crooked not Emmerson. Not their fault. The placing was quick and clinical - take longer and involve PB - it might have caused more of a discount as more people had longer to short it - legal or not. Assuming they are going to use the money positively - this is positive. We have only been over 5.75 for 6-7 weeks. Like most others my ave is mid 4s. The path is now clear for a rise into double figures which is where we should be with the project at the current level of development.
My view is it was a joke to think it should have risen on the back of that RNS. Temporary ramping and then retreat. It will rise when they give a real update on the portfolio - or buy back some shares to reduce the discount to NAV. I am confident it will rise though - patience!
I am not usually one to complain as people tend to be doing their best but i am not sure i like the new RNS a day newsflow. Maybe i will be proven wrong but this information does not look price moving - it in fact looks like a "stuffing" RNS - just to make it look like we are releasing information - fake newsflow. If we are going to release RNS like yesterday and today the comments need to more clearly link back to what the implication of the news is and how it could or should change our view of the company. What i would like more than anything is confirmation of a presentation with results (with conference call) where they go through each and every one of their investments and the rationale for holding them - then follow up with a prominent presentation on the website. That would in my opinion help the value gap. Also they should cut out basic typos in their announcments especially if they have a PR firm.
The full text of the announcement from PDS Biotechnology are set up below (should be is) …..
…manufacture, promote, distribute, and commercialize (who puts a comma before an and)
I may be a little more sensitive than most to bad punctuation and spelling but come on - this is the one opportunity for a listed company to put out official correspondence - someone in the building should know grammar and punctuation.
No problem - i am still waiting for mine through HL. No rush to get them when the SP is at the placing price!
they are not admitted until Monday - then might take a couple of days to hit your account depending on the broker.
I don't know what others think but i generally see this opportunity effectively as a deep, deep discount investment trust. Possible 80+% discount to NAV with no real visibility as to the potential (for the moment). As previously mentioned MV is not too far from the stake in PDSB and Proaxis Glycotest etc for free. Proaxis valued in 2019 at a pound/share - assuming no growth and a fruity "paid for" valuation we are still looking at >1GBP for just those 2 assets (PDSB and Proaxis).
Its still up 100% from the beginning of the month I think. Profit taking is natural - hardly a negative sign. Same as we had a slight pullback yesterday - I think that's good - cuts out the deadwood traders who were annoyed with the lack of liquidity and were in for a quick buck - brings in new guys ready for the next leg up.
Traders please keep clear - this is a long term value hold. Unappreciated value with over 20+ investments. PDSB happens to be the only listed one. Take the time to learn what is here, then you will make far more than 10%. There was no reason for the drop from 65 to 43 especially at a time when businesses in comparable sectors have risen sharply.
Assuming they need new funds to keep the company going up to financing and the then production etc yes of course i would rather they raised the money.. and no i would not begrudge them :-) I would like the opportunity to take part. they seem sensitive to investors dilution concerns so lets hope as westie suggests we get permit news first. I think there was a suggestion after the last raise they would use PB to allow us to take part but the raise might be too small for that. I dont trade this - I have a 7 figure number of shares long only so am only interested in the end goal not really too bothered about how we get there. 20-40p in a couple of years and we wont even remember a small placing.
6 is better than 4.5 which is where we were at the end of the year. We can then move onwards and upwards. You do realise MR Jinx that they have said they will do a small top up placing? So it is a question of do they do it before the next major RNS which from memory is licensing. A couple of million on our current market cap should neither give a major overhang or anything to cause more than a minor blip in the SP in the very short term. So yes i wouldn't begrudge them. or maybe you would rather offer them the cash at a premium.