Charles Jillings, CEO of Utilico, energized by strong economic momentum across Latin America. Watch the video here.
The only people selling are the bucketshop outfits that bought into the placing and now taking their medicine and exciting as their expected short-term profit has not materialised and now we sit at .55. Harrys pump in the leadup to the raise was spectacular with no end of exciting news about boards signing off the definitive agreements at the end of February and a timeline showing a full drawdown well before H2. I like most others took his word that short-term debt could be found given he said the cash burn was only $200k a month and took his word that a placing was not needed prior to finacial closure that he said more than once. therefore it was expected any placing would come post financial close and multiples of todays share price. The placing was also massive given the expected closure of the finance within a month or so and everyone has a right to ask why so much was needed as such a discount just as the share price was pushing towards 1p. I suspect part of this reasoning was simply down to logistics and Harry did not want to be doing 2 placings or more this year of small amounts as it is a lot of work and effort to achieve that and costly. Instead he plumped for the full amount and helping to get the deal otl with a pump so the discount looked attractive to investors. While Harry has continually stretched the imagination of what is legally and morally correct we are still here because the assets, once leveraged, are worth easily 10x today. however who would have guessed that old Rolls Royce would have 6x over last year. Goes to show that following Aim stocks can miss the bigger picture. Kefis time will come and if we do not have the signed consortium and 2nd bank signed very shortly then clearly this will not happen prior to H2. Having seen 3 years of the same Harry pump and excitement followed by next year lads it is massively deflating to have experienced this once again. The man should apologise but ultimately once this deal is completed this will all be forgotten and Harry will be a new hero of many. You certainly live and learn on Aim as i dont think you can trust any board with timelines. They are always wildly optimistic and cant think of one stock where they have delivered on time and on and budget. gla and hope we do get the final sign off very soon as how long does it take for "all boards" who went to credit committees end of February to get a signature on the document? We are now near the end of March? Come on H and get it sorted.
Could be a flurry of buys today just in case anything announced next week. There is no way Calibre, out of the blue, raised $100m cash for existing projects etc given it will have well over $130m in cash by now so this will make it $250m. All of their current projects are on schedule and on budget. If they raise this sort of money to fill a gaping hole that their cash reserves were not able to cover Calibre shares would crash but there is nothing they have been saying of any short fall. The raise of $100m was purposely very very vague in details. maybe they are going after another target but i doubt any will be as compelling as condor as within 3 months they can be pouring trucking gold from Americas and at $2200 gold they can get this upfront cost repaid very quickly.
Great to see we finally broke the resistance of 25p. Next leg up could be a lot faster. Going into next week could be interesting and only just one day left of the week to fill those boots! Feeling that things are all coming together.
I expect investors will continue to pile in today. With gold smashing $2200 our asset value is ballooning and one of those two advanced bidders should complete a deal. Even if deal is a lowball £120-£150m that is still 3x todays market cap so chances are new investors will make a tidy return over a shortish timeframe. Pretty sure some of that Calibre $100m raise will be parking itself in Condor as there was no reason given why so much and Chinese are very keen to take this mine. gla
This could jump to 30p very shortly as things are moving faster now. I wonder if news is getting out if Condor might need to announce something very soon. might get a speeding ticket tomorrow :)
I suspect many investors are nursing a lot of sick stocks and not taking their medicine and hoping for better days and might be short of cash that normally comes from top slicing profitable investments. We live and wait and hopefully new investors see the opportunity to potentially double their money within a month.
I am amazed we have not traded between 30-40p waiting for deal. Like some have said asking a buyer to spend £150m when company is valued at only £50m does make the buyer ask questions. We know UK stockmarket is on the floor since the massive exodus of capital last 2 years and many companies are undervalued but it does not help Condor finalise a deal to be this undervalued and that means all shareholders.
When you think back and Calibre were not dissimilar in size to Condor but since their deal with B2Gold now able to pony up $100m cash at a blink of an eye and have $100m cash and targeting 300k ounces of gold things are very different. Who dares wins!
Interesting comparison to Orecorp in presentation as they just got an increased bid today of $270m for this project. I am sure there was good reason to include Orecorp in this presentation and given the mad dash by majors into Ethiopia would not be surprised if TK is sold between financial closure and first pour. Majors are literally drowning in cash today when gold is over $2100 and in our case our partner in the government so that is an opportunity a Newmont etc would not like to miss out on. I think the we sell off TK and focus on Saudi Arabia with a £150m cash windfall to smooth the way!
Remember that we have always been told 2 buyers in advanced discussions since December so its not unreasonable to think it can be both Calibre and the Chinese and perhaps we have a deal and Calibre have gone to the market and using the current high share price to raise $100m cash. better than an all share deal. Even if it does not form part of a deal with Condor they can probably deploy elsewhere. However the amount being raised with the $100m or so they have in cash gives then $200m cash to play with and they can easily borrow $100m on top so they are building a serious amount of cash to deploy. It just gives calibre options and very smart move by them to effectively cash out $100m.
Well there we have it folks. Looks like Calibre might be about to pull the trigger with what looks an incredibly smart way to so this taking advantage of their high share price to make a small raise and deploy to Nic. Very interesting development.
Well we must be very very very close by now :) Certainly my focus is a deal will be announced before end of month which is the companies financial end point. The shares have not ticked up to 30p however which i thought they might do as any deal will be worth at least 45p and possibly 60p and the odds seem pretty high something is happening given complete radio silence that we have not had before and numerous hints since December. gla
I suspect once all the dust has settled this was probably always a chinese sale from day 1 and has taken 15 months to finalise with perhaps offers coming in from elsewhere. i think 15 months is an excessive time to finalise a deal so for everyone's sakes i hope this is concluded before the end of the month. However calibre has a ballooning market cap now heading to $1.4bn and probably $2bn in a months time so they can find some change down the back of the sofa and do the deal over a weekend, which is all it really takes now all documentation is in order. lets hope we wake up to a deal tomorrow.
Calibre have jumped $400m in one month and now $1.3bn., 34% up. Condor has got a whole lot cheaper for anyone to acquire. Calibre could simply issue 10% new shares and be done with it. Calibre can truck the ore in a few months and the value increase on their business would be multiples of the dilution. At $2200 gold they could be cash generative in 3-4 months while they sort a mill at La India. Condor are a freebie for Calibre and probably any other producer that might well have increased in value over last month. Tragic we are not now about to produce as we would be £200m+ business but we live and learn.
Pretty sure we will exit Chapter 11 on Northfork with same percent we had going in. Essentially Chapter11 allowed NFCP to jettison all deadweight of lead contractor and anything else but equity and bond holders refinanced. There might so a small change but Chapter 11 was used to reorganise debt and kick deadweight out. anyway once we get this £500k the board might do a update on the company but suspect until that money comes in.