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RNS says last week they still held 152K shares (before going under reporting threshold).
.. impairments aren't worsening but loan book collection slowdown too visible, I'm not sure what kind of renegotiations they have went through with clients to extend loan durations (I would expect more movement from non-current category into current).
Also gross loan book reduced by 30+m over 3 months but revenues reported only 10m.
Both: Polaris and GS have cleared on 19th last week, if anyone above mandatory threshold bough - we would have known by now, otherwise that would be a reporting breach.
Bad news - both Polaris and GS has reduced actual tradable shares
(so they've decreased exposure in case of suspension and won't be locked-out),
GS has increased derivatives as hedge, moreover their increase
is less than disposals by Polaris (difference's being picked by naive retail goats)
Re: ...but POG may have struggled to refinance anyway...
If they have taken an appropriate crisis management action (something between cautious-conservative and risk-averse approaches) beginning 2021 / mid 2021 - then it would be totally doable. IMV it was poor/overly-optimistic financial planning hoping for the best (despite outlook shadowed by pandemics).
Looming notes maturity ($305m + interest) in 2022 was perfectly known variable.
$87m debt (called off by gazprom) wasn't unbearable either.
Jun-2021 Inventories were sitting at $330m (current and non-current), forward-dumping (although post-production would take several months anyways) this into the market even at material discount would release at least $250m.
Then they had another $105m in tradeables/receivables/cash.
Some minor asset and rights sales and situation could be avoided even in these hard times.
But that's looking-back now and knowing the outcome obviously {thus eliminating uncertainty factor in decision-making over that timeline}, but they went with optimistic risky scenario unfortunately.
Archeologists? or necromancer? What's the point of upping old news?
is nil bags considered?
mountainous - lol, depends on reference point, if we go with Apr-2019 then it's not 90% drop but 99%.
IMV here are two things at play:
A) lending shares to shorters
B) moving from physical shares into derivatives means expecting suspension and getting rid of listed market-tradeables (to avoid being locked-out)
I don't see any contradictions, this RNS is about main area of activity (& underlying subsidiaries), not about ownership structure (which will be transferred to someone else in one form or another).
"Should" is very different from "could" (which consequently is very close to "could not" as a matter of probability), although I'm not surprised by suggestive narrative given the pool of retail and financially inexperienced investors here.
Equity is negative, that's the fact, there's not enough assets to pay all creditors (fact number two) - which is a technical definition of balance sheet insolvency.
As for debt - collateral has significantly deteriorated, real value of assets they have on a paper is much lower (which makes situation worse).
It's not only covid downturn and inflation, it's also about energy supply-shock and recession,
during recessions service sector is contracting on a first place along with fall in disposable income and entertainment segment under even stronger stress - this won't do very well over next couple of years. Creditors will be lucky to get 40p out of £ considering existing hole, future short-term costs and huge conversion loss (goodwill writedowns, intangibles, illiquid specialized equipment).
So many desperate people here trying to talk themselves out of this nightmare and living in illusions, reading self-convincing mantras detached from reality.
It is a very toxic gamble, whoever brings "risk-reward" wording here are putting too low weight on risk and too much on reward.
As for picking the dips - statistical researches show what trying to time markets doesn't work very well on average. So forget about II's.
sorry, here https://www.gov.uk/guidance/negligible-value-agreements
it says:
"A list is not published for:
- unquoted companies
- companies formerly quoted on the Alternative Investment Market and PLUS Market
- non-UK companies"
DDDD was part of AIM, therefore won't be in this list anyways.
Don't you have to wait until this is promoted into HMRC's "negligible value" register in order to show loss (which can take years)?
chrisev1 - yeah, there are similarities, TCG has negative equity too, then those failed negotiations with SoftBank and creditors pulling the plug.
Someone might be ok to purchase profitable and stable business with equity behind, but cine's equity is negative, value of their assets is materially less than they owe to creditors. There won't even be enough money to pay to everyone.
They might be willing to save cine (as business), but definitely not cine's shareholders.