The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
But it’s better to get a fixed interest rate or issue shares rather than selling HODL. Especially going through a bull run. Those 600 could be worth north of $100m once the facility is complete. That on its own could pay the credit off. Pointless cashing in now for half of that, then selling more down the line. It would be really bad business. They could even buy the shares back at a later date.
What I’m deducing from this is that Pluto will have a lot of shares in float. Around 1000m, is this correct? Plus more fund raising to come. Why don’t they just put the price of each share up and have less?
Look at it this way prophet. If they’d done it tonight and SP was £3 they have given the institutes a £1 off each share. The deal was probably done a few days ago. Whenever it was announce would have been bad timing IMO. At least it’s done now and we can start building the data centre.
Monkeytom. Would you have preferred them to use the credit facility? I can understand people’s anxieties here. People need to remember this it a quite unique industry. To pay off the credit they’d have to sell off more BTC, every coin sold eats away at the HODL and depreciate the company value.
They could have sold off their 600 coins to fund it, but year end they could be worth 2 or even 3 times more, so it would be terrible business. Bear in mind, these are experts in crypto, so will have more inside knowledge of the market and where it’s heading.
The more the value of the company grows, the less dilution is needed to raise capital. Early January they would have had to release 4x as many shares to raise the same amount of cash. All is good if you trust what they are doing.
HODL!
Surprised this hasn’t been posted already. Looks like the money will be used to start the build, so hopefully won’t need as much of the financing deal in place. And they’ve allocated the maximum amount of shares allowed to retail.
Personally, I’m happy that more UK institutions are on board as it show they’re happy to invest.
https://youtu.be/Gs_fUGmbSmY
Hmm, I had a feeling something was up on Friday as the drop seemed a bit too extreme to me. Seems a bit strange to do 2 fund raising a so quick. But, I’ve got a feeling it might be positive news, just really bad timing.
US hasn’t really moved much, just a similar amount to riot, so nothing to worry about there. I can understand some of the newer investors being p****d off as they are probably already in the red.
I’m gonna wait for the news before making a judgment, even though I’m not 100% happy.
Seriously? Are they really going to show someone their keys? They are one of the most transparent miners out there.
If the rumours are that their are no BTC then how do they make money from selling them? This would be major corporate fraud and they’d end up behind bars.
I’d ignore these rumours if I were you.
My mate loves XRP. Ripple tech is already being used by some banks, so it’s not really decentralised. Can it reach the price of Bitcoin? That’s pretty much impossible as there are 100B coins compared to 21M Bitcoin. If it had a similar MC to Bitcoin it would be worth about £40 a coin so still good return.
Have you read about the up coming court case? That’s a make or break for ripple IMO.
London, yeah I still massively believe in Argo, I just think this is one of those freak weeks where things don’t correlate as they should. I think a lot of crypto has taken a hit this week. Anyone wanting in has had a massive opportunity this week, especially this afternoon. Its reminding me a bit like when we were sub £1 for a while after reaching £1.40. The only way is up I guess.