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"I doubt there will be any funding by dilution at this level, they will have to go another route or wait for share price to rise."
Quite possibly, I can see the 200mw being delayed a long time.. Still need to pay for those s19s on order though.. I'm not sure how much Loan we can get hold off with our collateral but it sure as heck won't be on good terms.
Joint venture /merger/buy out is my best guess for the 200mw
"So I would not be atall surprised to see Argo announcing a similar financing arrangement in the near future and thereby take away the ongoing paranoia being broadcast by some on here about imminent dilutive funding…..""
Ahh funding my fav subject.. Its not paranoia there's nothing irrational about it, its very real.
So they gave managed to get a secured loan which values a S19j at just over 5k. What was the discount rate as you don't secure the loan on market rate fir the assets. 5k is for a second hand unit and has removal /resale handling costs inculded. So we can easily be looking at 10k per S19j fir us to buy.
Which machines would we secure the loan against?
I know we have loads of T17s which at discount "collateral" rate wo t be worth much.
All that to one side though... 14.5% loan rate.. Ouch.
Why would we want to put that on our balance sheet instead of just hitting up share holders who know its coming (except folks here if course)
"I personal won’t sell for £1 right now, I could of sold for 149p late Nov and decided not too"
I publically sold the bulk of my holding for 139p and got ridiculed for it.. I also wish I sold the lot at that point (or just pre IPO but which some were saying would be higher than current price, when I said it wouldnt I was also ridiculed.
I think most of the bullish stuff posted on this board has been wrong time and time again.
No one really knows its direction especially when it's dictated by the price of btc so much. One things for sure though if the company raises funds it need to also raise the hashrate else we are just a dead duck.
We all should of sold at 160p+ and not listened to much of PW and the ramping team on here was coming out with. Obviously everyone except Kev should of sold he likes being diluted and thinks a falling share price is "perfect".
"So let's say up to $100m left on the Bitmain machines (?), to be paid over monthly instalments (in order to double existing hash/power to 3.7EH, increase monthly income, mining efficiency gains from immersion etc)."
You have outlined some options (which I respect) and of course you may well be right and there's always the curve ball of an option that no one sees coming.
It just needs clearing up, ne way or another. I'd prefer the sharp drop of dilution than death of a thousand cuts, it break confidence in a stock and makes it a target.
"What would people consider a low ball take over price? Obviously our mcap was about 4 times higher this time a year ago but I assume we wouldn't get anywhere near that."
I reckon +30% to current price, I've been on the recieving end of that sort of disappointment before.
@lottohopes
I also think a buy out is a very real possibility and I think holders will be massively disappointed.
Or of course a big fat share issue, which holders will also be disappointed with (except Kev, he likes to be diluted).
We shouldn't really be put in a position whereby we are even debating such extreme because we should have a public roadmap and strategy especially when Argo like to claim how transparent they are (they are one of the worst actually).. Quarters and years and all that nondescript nonsense.
""What's the bill for the 20,000 machines and the balance outstanding?"
About $9000 each with 35% down payment so 180mil with 117 mil left to pay in installments
As you know we don't have exact figures even though argo proclaim to be transparent (they are absolutley not).
But 100 - 120 million (usd) to pay will be about right. Could be a bit more could be a bit less but it will be about right.
"@Chuz - "The board has gone rubbish because there's nothing left to discuss... Theres only one bit for me that needs addressing and that's ummm funding :)"
I gotto admit I can't see any real issue with funding
Hehehe - yes I am that much of a douche bag I find stuff like that funny.
Basically, we havn't got the money to pay for the 20k machines we've currency committed too let alone any further expansion. If btc doesn't moon soon I think it's going to hurt us
@poorinvester,
I know what it says and I know what it means to.
Just because you misunderstood it (easily done with the way some sites are portraying it) there's no need to come out all punchy like you knew it all along.
The better response is " ahhh I see, ta, that was all misleading"
Its all good though, let's leave it there.
"the_Chuz, this is what intel is claiming. Why would I not believe them."
In comparison to some gpu tech they are 1000x faster.
That's what I mean, it's misleading and a lot of websites are giving the impression it is 1000x faster than its competitor I. E. A S19 xp and it's just not right.
Think about it... Argo has 20,000 S19s on order. They would cancel that order and pay the penalty and just have 20 of the new Intel based machines (they are doing chips not machines but you get what I mean).
Even if the price of a Intel based miner was 1000X more you would still go for it as you only need to maintain 20 machines.
Id put 5 in a bathtub at home and have the equivilant to 5000 S19s.
It just doesn't stack up.