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We have to hope the share price can improve substantially before we have to do a deal. Sentiment is at the lowest I have ever known it is totally on the floor and hardly surprising but maybe it can change?
Number of new shares is obviously going to depend on the issue price, after yesterday we do have clarity on the amount required to move forward at least.
Very very poor sentiment and perceived financial risk is why it is priced at 3p. After yesterday I am confident that Fraser will deliver a workable solution to move forward. He was controlled and measured.
However it is crucial for the long term value of the share that sentiment vastly improves before it becomes time critical to get a deal done. We don’t have much so that is the crucial unknown for me, not now in my view whether of not a way forward will be found.
As a very long term holder I took the view after September that I would stay invested, that is what I will do.
I wish to thank you for your positive posts over the last few months. It has been an awful time for all long term holders, and your posts have brought some much needed optimism.
After what happened I decided that after almost 6 years of investment I was not going to sell, today for the first time since September I feel there is a viable way forward.
Undoubtedly for long term value an awful lot is going to depend on the amounts of dilution. The price of an new issue is critical. However after today and listening to the conference call I felt Chris was measured, controlled and sounded like a man in tune with events. He did not sound under pressure and it is clear that the new plans have been well thought out.
It is important all long term holders realise that project wise all is going well, project risk has not increased - we are where we are because of perceived finance risk.
What needs to happen now is for perceived finance risk to reduce substantially and quickly and be reflected in the share price prior to the conclusion of a financing package for the 600m dollars required. If it is to be a strategic partner stake and taking fraser’s words that there are various interested parties, as a long term holder we have to hope that goes at as high a price as possible. This has the biggest implication on where the share price can get to in 3/4 years which I and others fully intend to hold on for now.
Where can you access the call? Been trying to find it.
What is clear after today:
The strategy to hold through planning and hold through st 1 and st2 has not been successful. The share price is as of today lower than prior to planning. There is no reward for those long term holders who have held through these 3 huge events.
I fail to logically see how the capital raising has taken place at anywhere near optimum timing. To raise at I assume now 15p some 29 months after st1 went at a higher price of 20p cannot be considered a good outcome.
Unless I am missing something it seems that the convertible bonds must be a requirement stipulated to bring the rest of the funding into play, as why else are they required now?
Having just read the RNS fully, it is clear that today does not mean St2 is in the bag, the credit facility is conditional on full take up of the bonds. You have to assume that CF is very confident on this, but this is clearly required and by the end of October. It would seem now that it is another wait until September/October for confirmation that we are fully financed.
As a long term holder I now have to accept that any viable target price that I may have, is further off than before. I will not be selling and will just have to wait longer than I anticipated for substantial capital appreciation.
We have been here before.
Jonesy the main thing is that you kept the faith. As long term holders we have been tested, and it is great that you are now feeling positive again.
I don’t think anybody can really guess the immediate reaction, we will see.
Gk thanks very much for the concise reply, much appreciated. That logic makes sense to me.
Obvoiusly sentiment comes into it as well, and my word it is high time that that changed.
What has surprised me is how sentiment was sky high in the run up to st1 when the risks were much higher yet sentiment in the lead up to st2 has basically been on the floor since September.
It could well be about to change - a fully funded mine, almost 4 years on from sweating over a few votes going the right way!
Do you now think it will go at a price below the current market price?
Could it not follow something similar to st 1, I.e. the market reacts hopefully positively to the debt announcement and a placement/ block building is arranged for next week. They set a range a few days before? Was st 1 issue not set between 30p and 20p and admittedly it went at 20p.
I have no complaints though, st 2 is transformational, and removes more risk than any other event.
I would hope that a placement of new shares takes place after a positive market reaction to an agreed debt announcement - something Gk alluded to months ago.
Anyway as a very long term holder with a significant holding, if true this is day we have been waiting years for, so fingers crossed the deal is on favourable terms.
Having held through planning and st 1, st 2 has been a long time coming.
Could there be a glimmer of hope that this farce might be recoverable? Down 90% on my investment, have zero confidence in any words that come out of Mr Duncan's mouth after the farce of the last 3 years. Will not sell, it's not worth it. Complete mis-management. If they keep the loss reduction rate down, there is still a model for profit, but anybody really got any confidence that this will happen?
Could there be a glimmer of hope that this farce might be recoverable? Down 90% on my investment, have zero confidence in any words that come out of Mr Duncan's mouth after the farce of the last 3 years. Will not sell, it's not worth it. Complete mis-management. If they keep the loss reduction rate down, there is still a model for profit, but anybody really got any confidence that this will happen?
I can't believe I invested here, down 85 %. I believed what RD said, took him at face value, read the RNS's and the even listened to RD's radio interview. A big mistake. 85% down on my investment. The change in RD's communications approach is quite staggering, they were giving us every little snippet, now complete silence. Why? No point selling Funky, I agree with your sentiments. I just can't work out if the house thing was more cock up than anything as no owner of any business would want this outcome for the business, but totally agree there is no excuses for just disappearing for giving any updates at all on contract progress!
Completely burnt, around 88% down on my investment in this company, that 15 months ago according to RD were going to have millions of pounds of revenue coming in even if the contracts were only taken up by 10%! No news for what now, 7 months! All these contracts were meant to have been won, so either take up was extremely poor, i.e. 0.5% take up, they were cancelled or the company is making loads of revenue as we speak but for some bizarre reason has now decided to not update their shareholders on their success!! Fingers burnt, won't be investing anymore here ever again, but won't be selling a) because barely worth bothering and b) maybe just maybe the company are making a success of the new transactional model. Either way the lack of communication is a complete joke.
All these contracts that were won over a year ago, that were going to bring in millions of revenue even at only 10% take up, yet we get absolutely no information from RD on how they are doing! Instead the share price remains completely sunk due to the situation from last September that we had no explanation for. Why are we getting no information at all on contract uptake? Very poor.
I hope it keeps recovering, still sat on a big loss. There has been no communication from RD for several months, so lets hope that some of the projected revenues are now starting to come to fruition. If they are then this share could really take off. This was what I thought when I bought in, however unfortunately for me that was at around 30p and not 6p!
Funky we can only hope it recovers, but at this stage with an 80% loss or something like that it is hard to believe what has happened. I won't be going near a company like this again. It has not been at all professional what has gone on. I say again Ronald Duncan bring us some clarity as too the situation with your company. He hasn't even put anything out really about the new nomad, apart from announcing it, why on earth does he not provide some info on contract progress at this stage.
I love your optimism and hope you are right. However even if true it is astonishing that we have heard nothing from RD. It is no way to run a company. When you price crashed 2 years ago he issued an RNS saying he knew of no reason, why not this time? As I've said it's not worth selling now, as a LTH I can only hope what you are saying is true. It could be but I still have lost all confidence in RD, the communication is dreadful.
Come out and tell us what on earth is going on. I thought your company was one of great potential, how has it gone so badly wrong. The lack of information from the CEO over the last 6 weeks is quite staggering! Do you want people to be investing in your company or not? Funky I totally agree about the info we have been given but we obviously want Ron to come out fighting with an RNS or this is just going to continue. It's not worth selling now for me. It is either a massive cock up or something else is going on.
If there is a placing, what on earth would the price be? I've not heard these rumours and to be honest with what has gone on, I can't work out if it would be good or bad news now!
If that is the case then it would be logical to inform the market, especially in a situation like this. Buying into Cloudbuy has turned out to be an awful investment decision but quite frankly I am absolutely staggered how RD has managed to dilute shareholder value to such an extent. The arrangement to buy the house was crazy, but clearly done the basis that he saw continued progress with the SP. I think the market has lost confidence in RD's statements, but I simply can't understand why he bought shares last week at around 14p only to let it slip much much further by offering no reassurance.