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I have to say it has calmed my nerves a bit to see a serious investor continuing to invest despite the share price sinking to new depths and the uncertainty surrounding the buyback and personnel departures.
I would definitely hope to see him take an active role here. I don't like at all the seeming free-reign that Pajak currently seems to have.
At the time of Gyllenhammer's initial involvement I noted that he'd also taken a stake in TREE which then was also pursuing a buyback programme. I assumed that this was more than coincidence and he had a part to play in CRV announcing their intended buyback. If this was the case then I can only imagine Gyllenhammer will be frustrated with the delay to this commencing.
Either someone has finally just lost patience or some bad news has leaked. My guess if the latter is that we are leaving AIM or the Nomad has resigned. Just have to wait and see at this point but the whole situation makes me think the game could be up.
No matter how much the companies assets are valued at surely there has to be a realisation strategy for this value to be reflected in the market cap? For example the land CRV holds or the DLC shares. Clearly they have value but if no plans are ever stated to sell or utilise the land and the DLC shares are illiquid then how will this full value be returned to CRV?
Obviously this is the idea behind value investing but it’s not going to attract hoards or investors on AIM when these assets could still be sat undervalued in another 5 or 10 years. This is amplified when there is no trust in management.
Clearly the conversion price, is a disgrace which has just been glossed over in the RNS. In terms of the actual conversion should we take this with some optimism? I genuinely don't know but as Happy posts there this facility has been in place for almost 4 years and this is the first time. Even with the awful strike price it's not like there is any market to sell the shares into for a quick flip.
Goes without saying that the LMFA lack of disclosure is another kick in the teeth but I'd expect nothing less by this stage.
I have to say that I somehow fell into the trap of thinking that once the court stage was clear we'd imminently be hearing of the start of the buyback. After all these years I should have know better. Even as someone who considers themselves very patient here I have to admit I'm now very frustrated at the slow progress.
Cambrium(TREE), the other AIM company Peter Gyllenhammar is a large holder of announced an intention to buyback on 1st November 2018. They made their first purchase on 5th December 2018. We announced our intention on 8th August and here we are still on 23rd May.
I'm still hopeful we could finally have the end in sight but it's just been so painful ever since the listing move fell through in July 2016.
Mr Winters has just replied quite promptly to my email inquiry on the hearing. I'm not sure how lengthy a process this next stage could be?
"The court confirmed the application this morning. The matter must now be advertised and lodged with the Companies House"
Still holding here.
I emailed Mr Winters about the buyback progress this morning. I got a very quick response although he couldn't tell me anything(which is fair enough). Seems like we should be getting some sort of update announcement within the next week or so though at least.
I think it's pretty clear here that the buyback is going to be used to enable a cancellation from AIM. Normally this is pretty disastrous news for a share price but I wasn't too alarmed to read this here today.
In terms of whether we will be shafted or not it comes down to how much they will offer us Rusty. Anyone's guess at the minute but it really would stick in the throat if after saying how undervalued we are today the offer is below current SP. As usual a waiting game here although I think this time it should become clear within 2 or 3 months, quite quickly on the back of the buyback passing the legal stages.
LMFA Q3 results out. Seems a company that’s turning itself around to me from a quick read.
https://seekingalpha.com/pr/17334328-lm-funding-reports-third-quarter-2018-financial-results
Do you have an idea of what the announced intentions would look like TC? Would it be a case of stating the companies intention to buy shares at a set price(seem to recall $5.50 mooted but could be wrong) and asking shareholders who want to take up the offer to contact the company?