Member Info for shamI89

Rest assured that a few would be taking position today, and there will be a few "this looks oversold" posts as well.Not to mention of a few "p&d" who would be forward-selling these placing shares. Company has loan notes to pay and we have this fiasco to deal with. That is not end of it we will have never-ending placings followed by "consolidation" rinse and repeat.

I used to know this company as Obtala resources, unfortunately it is one of those companies which don't have any intention of making a penny in profit and they keep on changing direction. Forestry was a major division but company had significant stakes in several mining companies such as paragon diamonds, bushvele minerals and there was another company which I cant remember.It did have tens of millions of cash as well. 10 years later all of the cash has gone, no stake in mining operation left and we have a loss-making forestry outfit which is surviving on never-ending placings.

Not only company needs to find 3 millions to pay bank it has to find money to run its day to day activities. A heavily discounted placing which would nearly wipe out existing shareholders.

As I said actions speak louder s than words.He has only himself to blame for this value destruction. Problem is does matter what value he puts on assets, market judge a business through profit/loss and debt. You can't be posting half a billion loss and blaming shorters and imaginary enemies.

That MM's reaction is a bit immature, he should have talked through numbers but instead he decided to lash out at his "imaginary enemies" through Instagram.He is being pressurised by shareholders to deliver through performance, but he seems to be one of those stubborn CEOs who think of themselves as Steve Jobs who can't do anything wrong. There is a good chance that Apollo would not make an offer , but timing is interesting, amazingly someone "leaked" takeover news to media and company had to release this RNS just a day before results.Not only that company released these horrendous results.

Would be going through accounts, as things stand company is still some years away before it can turn profit. Apollo would go through accounts and then decide if they intend to make an offer. Having said that sometimes offer may not be as good as some private investors expect it to be.I remember seeing all sort of numbers for Flybe and share price was 15p when BOD accepter 1p offer.

Darren has done the job,at one point production was lingering around 10/11k per quarter , he was brought in by major lenders who also happen to be main share-holders. He has doubled the production rate and is on track to expand it further. Candy brothers had tried to take it private and wanted to wipe out share-holders through debt to equity swap couple of years ago .

Quarterly production rate, if it is any thing like last quarter then we should see a quick rerate.In best case scenario company can be debt-free in 5 quarters.Total resource estimate was 1 million ounces and we do have some un-explored area. A repeat performance of last quarter means company generating 50 million revenues and 25 million cash flow.

RNS this company has been surviving on placings, looks like another one is around the corner. Clue is in RNS"funding options being explored"

Put it this way market was anticipating some sort of financial restructuring and that is why share-price kept on falling. Rns two weeks ago removed any doubt about financial health of company but today's update indicates that company is struggling. Either lenders or their partners want to see some sort of financial restructuring and company could be required to raise anything upto 200 millions. I did think that any advance payment would give company much needed breathing space for another year or two to sort out its mess. Unfortunately nature of this business is such that companies are working on paper-thin margins and sometimes a small delay or anything unexpected can impact profitability of a contract. Carillon is a good company to look at.

Some sort of balance restrengthening, possibly in the form of rights issue. Company is relying on advance payments to meet liquidity problems but nature of business is such that a slight delay can impact profitability of a contract. In my opinion lenders would want to see some sort of balance restrengthening before agreeing to extension.

"imagination" go through RNS and you will find out that it is not my "imagination", tema was meant to be "transformational" but we were getting a dollar per container. Sometimes it is better to add things up as despite winning all of these contracts if a company is still loss-making and turning to share-holders time and again then there is something wrong with business model. What has he spent 50 millions on?

You forgot to add that millions are required to meet "pre-contractual" expenses if somehow PF manages to bag these contracts. That is not enough as PF tends to exxagerate numbers, tema was meant to be "transformational" Drc ratification was meant to be a formality, Iranian contract was imminent. As I said business model is seriously flawed where you are putting in quids to get pennies back and in my opinion PF wins these contracts by offering next to nothing profit margins, not only that he tends to spend shareholders money to meet "pre-contractual expenses" and as a result it is much easy for client to walkaway when he wants too and PF does not have a power or will to chase shareholder's money. He must have raised well over 50 millions over past 15 years, it is still a loss making company with no cash and massive over-heads. Where has that money gone? If PF do get to win all these contracts he will dilute existing shareholders heavily. As far as twitterati are concerned most of them tend to get active when a placing is being worked and they tend to churn out placing shares through their followers, alternatively it tends to be mini "p&d" for 10%. None of it bodes well for share-holders.

"usual suspects" are pumping it hard on twitter and given the latest update a placing is imminent. Debt is high and company is not profitable so where is money supposed to come from?

Lifestyle company, I first came across this company in 2012 and think it used to be called "obtala resources" back then. It had significant interest in bushveld minerals and paragon diamonds. After that it did venture into tomato and mangoes production and bought a chain of stores if I am not wrong. After all them years it is same story:company raising money through placing or equity based finance.

Equity based finance would be a disaster for existing shareholders. Right now best thing that can happen is PF announcing a contract but we know that first thing he will do after that announcement is raising money through placing to meet "pre-contractual" expenses, that would kill of any rise.

That we have not got a placing RNS yet, it looks like business model is flop and PF has run out of fools. You know things are really tough when our resident *p&d* merchants have given up on this. Funny thing is I have seen this trading well above 80 around 2011/12, at that time PF was sitting on loads of "mous". He has raised 50 millions through placings and has got nothing to show for it. It us not even mining//oil and gas outfit where a failed drill can result in company losing everything. This business model is supposed to cost other parties nothing

If debt to equity swap is being considered then we will hear something really soon. Problem is it has to be a hell lot of panic to cause this 40% drop.

Problem is all of this strong pipe-line is meaningless if they can't turn a profit. Company is expected to be profitable in 2023, however nature of business is such that a slight delay can erode profit margins. At this point it is speculation on my part but with 396 million debt and 230 million debt facilities I would expect to see some sort of balance sheet strengthening and that could be driving the share-price down.

May I suggest that you go through February update, as there seems to a non-stop sell off, results are highly unlikely to be good. Total debt is 396 million and may go higher. Market is anticipating rights issue or debt to equity swap.