Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
DBAY holds 29.9% in ESL (Listed stock on AIM)
DBAY found support from the Lenders for a further £20m
revolving credit facility
DBAY PIK Notes accrue interest of 18% p.a.,
which is non-cash paying and is accrued until
such a time as to when the PIK Notes are repaid.
DBAY took control of the trading company, Greenwhitestar,
DBAY intends to enter into an investment management agreement with the ESL
(subject to approval of the shareholders) on customary terms.
ESL will benefit from 49% of any upside in the operations of the business,
whether through its equity holding or the PIK Notes.
PIK Option is subject to certain conditions:
1# ESL is converted to an AIM investing company
within six months of completion of the Proposed Transaction
(Completion of the Transaction on 9 December 2019)
The Company (ESL) has an indirect 49 per cent interest in the issued shares of GWSA (Greenwhitestar)
following completion of the transaction with Douglas Bay Capital Fund III LLP
announced on 10 December 2019. GSWA (Greenwhitestar) indirectly holds 100 per cent of the interests
in the trading entities which were formerly subsidiaries of the company (ESL).
These are taken from past RNS in nov/dec 2019. I suggest anyone invested here or thinking about it. Give them a good read through.
I don't want to be that cynical person, but right now this stock doesn't hold any financial position in the trading company. So if a takeover would happen then we wouldn't see anything from it. We need Dbay to do a reverse transaction of the trading company before any takeover to see a premium. That's what we are waiting on news for.
The way I look at it right now. If all the issues and problems the trading company had/ still going through now are sorted. Then that'll be a massive positive once we do a reverse transaction. If that's what Dbay decide to pursue of course. One thing I think we can all agree with is waiting on any kind of news is soul-destroying.
The only thing that really bugs me right now. Is that we don't even know how well the trading company has done since 1st June 2019 onwards financially speaking. The ones we got when the stock was reinstated in Feb are from Interim Results for six months ended 31 May 2019. Obviously we know that the trading company has continued to operate through all of this but baffles me right now with the dead silence of announcements. No news is always massively bad for a stocks SP. Part of me thinks there is a lot going on in terms of restructuring and we won't get new information till either it's complete or the deadline arrives. Around the end of May/ start of June. (my opinion)
I always say a nice and steady rise is better than a massive increase. Less chance it will pull back as much and scare people into not holding. At the end of the day, it's down to the majority of investors what they feel the stock is worth in terms of fair value. That could be less than where we are now, 10%, 20%, 50% or even 300% higher. 15p doesn't seem an unreasonable price for this to trade at if we get some really good news. Which then is 100% more than right now. Time will always tell.
Before we hear some kind of news. Either good or bad who knows. We should really have a guess list of when people think the news will finally arrive. Mine is the beginning of June in the 2nd week around the 9th.
Could this finish positive today I wonder? hmmm..... broken through the down-trend line atm.
No point posting when nothing to talk about. When the SP starts moving a lot in either direction then that's when people will start posting more again.
Might get some price movement soon. Although could be wrong. Never really know with this stock atm.
https://i.imgur.com/mkgCSrO.png
We might not find out until around the end of May or beginning of June what Dbay decide to do with ESL. They have up until 6 months to convert ESL to an AIM investing company from the completion of the transaction. Which I think was completed 9th December. So by that logic means the cut off is around 9th June.
If we can break above resistance around 8.8p and stay there then might be able to move even higher. More resistance at around 9.6 and 10.5.
Some bits I've copied from past RNS's which are really important to know. Obviously everything isn't here but think I've got the most important things. Best you go read the past RNS's from late last year. A word of warning, that it's a very confusing and complicated read.
DBAY Injected £55 million ( VIA PIK Notes)
DBAY will indirectly acquire a 51% stake in Greenwhitestar.
DBAY holds 29.9% in ESL (Listed stock on AIM)
DBAY found support from the Lenders for a further £20m
revolving credit facility
DBAY PIK Notes accrue interest of 18% p.a.,
which is non-cash paying and is accrued until
such a time as to when the PIK Notes are repaid.
DBAY took control of the trading company (Greenwhitestar),
DBAY intends to enter into an investment management agreement with the ESL
(subject to approval of the shareholders) on customary terms.
ESL will benefit from 49% of any upside in the operations of the business,
whether through its equity holding or the PIK Notes.
PIK Option is subject to certain conditions:
1# ESL is converted to an AIM investing company
within six months of completion of the Proposed Transaction
(Completion of the Transaction on 9 December 2019)
The Company (ESL) has an indirect 49 per cent interest in the issued shares of GWSA (Greenwhitestar)
following completion of the transaction with Douglas Bay Capital Fund III LLP
announced on 10 December 2019. GSWA (Greenwhitestar) indirectly holds 100 per cent of the interests in the trading entities which were formerly subsidiaries of the company (ESL).
I hope people on here today have read the past RNS posts from last year. Especially the ones from 20th Nov 2019 and 2nd Dec 2019. If not then I'd really suggest you do. It has some very important information regarding this stock which a lot of people are massively overlooking right now.
Something to keep an eye on.
https://i.imgur.com/HjXxcDw.png
Everyone just needs to take a massive breather. There is far too much speculation being posted on this board with no actual evidence due to the dead period of waiting for any sort of official update.
Very well put Mark@1973. I couldn't agree with you any more.
Well if Dbay can repeat what they did back in 2014 then it should be great for people invested here. Time will always tell if that was a good call or not.
Maybe so vicjain but we won't truly know until we get some news. So right now too many people are just speculating and making guesses which way the SP will go. No one can ever guarantee which way a stock SP is about to go. Even the most experienced investors can't. Only some kind of hard news will give investors some certainty but until then we all have to just wait.
This morning compared to yesterday.
Maybe so Mark but expecting a jump by nearly 60%-100% of the SP in one day is really pushing it. Those kind of rallies means that the SP usually drops massively the following day. Unless there is some massive news which right now doesn't seem to be the case.
Give it time. Going up in steps always better than massive leaps.