the Voluntary Delisting usually means a company's management are looking to regain control and take it private. in that instance i understand why a buy back at a premium is offered to shareholders. look, if there is a reverse take over then its a step into the unknown - we could get lucky and pair up with a great company that offers some return further down the road - that might be appealing to some but for me. what does RMP offer into the bargain other than a bit of cash?
the company would offer to buy back shares at a premium prior to delisting - never come across that before
is it - why would they have to offer a premium to shareholders? the honourable thing to do would be to allow shareholders to vote on either delisting with a view to continuing operations (try not to laugh) or return the existing capital to shareholders
this is true - the shares are dual listed at the moment. i'd expect an announcement on ASX also very shortly clarifying the company's status there too. without knowing any of the details - its hard to imagine that ASX has lower standards than AIM?
if the shares are delisted then theoretically nothing changes in terms of ownership. however, realistically the shares off exchange are illiquid and very difficult to trade. of course the company could opt to delist rather than comply with the Exchange to maintain listing, which would be bad of shareholders. if this occurs then presumably Bandy could continue paying himself until the money runs out or he is voted off the Board
Ok - last post for today. the Exchange is now forcing Bandy to acquire a substantial asset and behave like a proper company ( generate value/revenue). Therefore, Bandy can no longer do this wheeler-dealer bullsh*t that he's been doing for the past 10 years, and remain listed
This is the point i'm making - to a large extent its not really in our hands anymore - Bandy cannot buy a substantial asset with £2m. if we go for the reverse takeover route, which i think is the only viable option, we need a company with substantial assets that is looking to be listed. if this happens then Bandy will have to negotiate what % of the new Company existing RMP shareholders will get, which i suspect wont be very high
Suthy - there's nothing to get excited about. in a reverse take over the Target is the dominant party
the way i see it, Bandy's hand are tied to a certain extent. we can't acquire a substantial asset without funding, which i think is extremely unlikely. therefore, we need a private company that is looking for a listing and essentially RMP gets swallowed up in the process. i definitely don't see this as a position of strength - far from it
i suspect the reason for giving up the Perth Basin was because it wouldn't have been enough to satisfy the AIM listing on its own - that's just my guess btw. from google: "a reverse takeover on AIM is an acquisition by an AIM company of a target company (or assets) that is bigger than it or that will change the fundamental nature of the AIM company"
Its not as simple as Bandy doing one of his deals i'm afraid. as i understand, we have to find a target (private company) that wants a stock exchange listing (and will therefore avoid the need for IPO and initial listing costs). how big a slice of the new enlarged company goes to existing RMP shareholders is somewhat concerning, for me at least
a reverse takeover would suggest acquiring a private company, not necessarily in the oil and gas sector. however, what can we realistically pick up for about £2m?
he only needs to raise £6m if we elect to become an investment company - which i'm sure isn't a realistic option
i'm ok with that. this does feel like last chance saloon - Bandy has 6months to do something otherwise it would appear to be all over. jeez
Okkk - we're now a cash shell ....
Agreed. i think most have wised up to it by now. thank goodness
trading volume is too low to be any kind of leak - looks like MM are making a few quid before the weekend (just my opinion of course)
hmmm, i can't see many positives at the moment. i'm not going to cut Bandy any slack for preserving the balance sheet, surely that's the least he should be doing? the company has no assets other than £2.5m in the bank, and its certainly peed away a lot more than that over the years. in my opinion we're heading for the same old format: buy into a "world class asset" (oh, but it isn't really) followed by the inevitable capital raise. i just get the sense Bandy doesn't know what he's doing - what is the strategy, how is it going to be executed, how is he still in a job?
i just think the company wasn't performing that well prior to covid-19. some modest recent growth but nothing spectacular. put it this way, they've got a lot of work to do to get the share price back above 50p especially with the backdrop of general economic uncertainty
could be below 10p by then ...