RE: Do you people not get embarrased?1 Apr 2023 17:47
So, here are some recollections from a veteran Ortac investor...
I fancied a 'quick trade' in 2011, based on the Sturac gold prospects and was heartened by the fact that Henderson Global Investors were 11% owners. What could possibly go wrong? Plenty, as it turned out.
Needless to say, Ortac / Arc turned into rather a long-term hold. I bought in at an equivalent price of £1.60 per share (not a typo - it was well before the 1:100 switch, circa 2017, shortly after the arrival of NvS). Going against most principles of sensible investing I bought more (and more) as the price dropped, to the point where I now have 6.1m shares at an average of 4.5p across ISA and SIPP accounts.
What caused me to take these rash actions? Essentially, it was the arrival of NvS and his focus on gaining a majority stake in Zamsort. The pre-history with AA (I think they exited Africa circa 2000?) and my long-held belief in the rise in importance of copper caused me to double-down and reduce my average entry price.
NvS and Remy are (imo) first-class professionals with a clear strategy that is close to reaching a hugely important milestone. I acknowledge there might have been clearer communication, but these will have been extremely complex negotiations, dealing with sophisticated folk as well local / regional politics and malcontents, so I never expected a running commentary.
Lots of lessons learned, but for me it's been largely a question of trust: do I trust these executives to navigate Arc's transition from a minnow with some interesting territory, to a possible mid-cap, dealing eye-to-eye with the big boys? And especially at a time when copper's strategic importance could hardly be greater. The fat lady hasn't yet sung, but it's good to know that she's in the dressing room, gargling in preparation for what I hope is a truly memorable performance!
As they say on such forums...GLA
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