Member Info for the_Chuz

I would set a buy order for 135 and let the market maker deal with it. Or short it first then buy it, there are ways of doing.. Might trigger an RNS or two though ha

Just get out with whatever you can guys.. Although not invested anymore I'm still waiting for a decent update on Boxberger!

@kev
"Ooh, I’ll play that game! Why is that invisible hand doing that?"

I don't know, it could just be normal maker trading but the other times I've seen it is before a placing, I don't know why it happens though. It could be the same reason before IPO...

@bluebay

"Why would the SP go down after the IPO?"

Buy news, sell reality, but more so because there will be alot more shares in issue.

I just don't understand why anyone would want to buy at a premium to today's price which they could easily buy and be locked in..

For it to be attractive to me it would have to be at a discount todays price

@bluebay

"Assuming the price is around $2 (144p?) for 10% new equity it’s likely to be oversubscribed."

I just can't see the logic in it being more than we currently are and having to be locked in and there being 10%-20% more shares in issue.

Instead of paying more for less I would just buy now.

It's like someone saying there's a new car for sale for 30k but you can buy it for 35k and your not allowed to drive it for 6 months

@Canetoad

"BTC under a lot of pressure at the moment. All of the miners following it, including ARB; I'd have expected ARB to fall more tbh."

I'm not one.for.conspiracy theories or the heavy market manipulation stuff but it does seem like there's an invisible hand keeping us in the 130 - 140 range.

132 / 134.. You'll get opportunity first thing Monday to buy back in.. It was on a drop.

If the share price at the moment was a yoga position it would be downward dog

"Oh, look! Spoke too soon. Could have made a couple of pence, after all!"

Way to difficult to call in this range.. Could go up a few pence as well as down

@Kev

I've gone the other way, I'm half out again, just 50% bought in at the moment.

I think there will be enough of a step down when the IPO is launched that it's worthwhile having the ability to avg down. If I'm wrong I just make half of what I would of done.

I also think anothrr placing will be in order soon enough.

@600
"Whatever, rinse and repeat because we are incredibly efficient and profitable. Maybe you see that changing?"

Unfortinay there's always things along the way to mess it up.. I'm quite comfortably mining at 85%+ efficiency.. Until I get notification this morning that my electric costs will go be going up 25%..

I'm sure it will come off good, it's just not all plain Saling, the finance being the biggest hurdle because in reality its really not hard or unique to crypto mine... You just need the money at the right time to buy hardware and power source.

It's one bit I don't like with the strategy of steady growth.. This game.is a race to the finish, get as much hash power up and running as fast as possible.

@Eddie

"should only be 50 BTC a year in that case (Said in jest)"

Well, 30,000 machines.. If I haven't messed up my orders of magbatude again.. Should pull in around 8000 btc a year.

8000 btc * $50k = 400 million a year... Sheesh it's a big number haha..

About 350 million after electric...

So it will be OK we could afford to sell some btc to cover it.

Multiply it all by 2 for the 200mw.

But before all the excitement kicks in, btc difficulty will change, and who knows what else

@Eddie

I think it's a little more severe than that, from what I've read then in around 2.5 - 3 years the asics becomes obsolete and non profitable due to other advances.

It obviously all depends on use case and electric costs of course but even if you stretched it 4 or 5 years from release to obselecanse then buy the time you've kitted the place out you won't have much longer than 3 years.

The prospectus is also written along those lines for the depreciation, it works of 3 years use able lifespan.

Even at 5 years.beforw needing new (which is a massive stretch imo) then it's still a cost of $50 million a year that needs accounting for.

Hopefully of course by then that will seem like peanuts

@Eddie

"Bin what after 3 years"

The mining equipment, I believe its considered obsolete at around 3 years so need to factor in the in ongoing purchase and replacent of the rigs

@caze

"You’d be closer if you said $250m to fill 6.0 EH with miners. That’s 60k at about $4k per miner, similar to what Mara recently paid for their 30,000 miners, and that was with an 8 month lead time for delivery."

Urrgg I think I+when I looked at it a while ago i must of based it on 10mw not 100 mw.. Its going to take some hefty financing options and then bin them all within 3 years and start again.

@kev

"This is why PW is managing the company and you are posting on his BB. He knows what he is doing. :-))"

I would love to be wrong, I just can't see enough money without tapping shareholders again.

Maybe I'll save that comment and paste it in a few months time ha :)

As I've said I would love to be wrong or someone show me the errors in my thinking so I can rethink it.

My numbers were wrong earlier

PHASE 1 Texas build = 50million
PHASE2 Texas build = 30 million

So $80 million in total for the facility.

Then it's the cost of the machines on top, I've got 35 mil in my head for that, obviously that's just Texas and not any other capital requirement.

I just don't see enough money in the pot with big debt (which I don't think would be good for the company to carry) or another share issue.

@MacF1

"12% pa is only 1% per month and the loan is for one and a half months, so 1.5%. Far better than selling our bitcoins wouldn’t you agree?"

Yes I agree better than selling btc.

What happens on Oct 29th, how do we pay back 45million?

The IPO is for 75 Million, if we use it to pay the loan back it I don't see how we will build phase 1 of texas without either using the 100 million loan facility (no idea of the terms) or just issue shares

@muscles
"As soon as the £1.45 resistance is broken this baby is going to fly just got to break it first best of luck Argonauts"

I thought that originally, now my thoughts are we are being held stable and we will have a IPO and equity raise.

As PW has stated numerous times, to fund argos growth we either
1) sell btc holding
2) take on debt
3) raise from shareholders

The amount of debt that would be needed for Texas would be eye watering and not particially sensible.

We won't / can't sell btc to cover it in any meaningful way.

Which leaves us.

I must admit the funding side of things is getting slightly concerning for me (I've just sold half again).

I can't see where the money is going to come from other than a big debt raise or from shareholders.

I would hit shareholders as its a 1 off pain that doesn't burden the company going forwards. It makes the most sense for the company rather than takining on debt at 12% pa.

If we use the IPO money to repay galaxy we won't have the money to build texas u less we tap the 100mil loan facility.

From memory phase 1 which is just the building and infrastructure is 75mil that gets us to 100MW power supply We then need the machines.. Another 35mil
Then phase two for the other 100mw is 50 million we then need machines.

Basically theres no where near enough money without tapping the 100mil loan facility..

I know what I would do though.. I'd do an IPO on nasfaq and a share issue on Lse and take the share price to 75 - 80p and be funded without an extra debt burden.