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May not be FCA. Whoever governs exchanges?
That really is a how long is a piece of string answer. Rto suspension can be anything from a week to 6 months.
Bear in mind because this isn't a cash shell there are no deadlines in place. Very important point that.
Most rto have a strict timetable because they are cash shells.
They are doing all the key work for FCA paperwork before suspension afaik.
Probably because I’m still here. I tend to do okay then I sell out and the share rockets haha.
No volume today which is a shame. This should be double from here at least on anticipation.
If there’s only 14% in free float. That’s around 11.4million. Which is tiny. Doesn’t give us much liquidity, I hold 750k so that reduces it even more as I’m not selling.
I'm struggling to understand why this hasn't rocketed today? Maybe tomorrow.
Thanks for the reply’s.
So say the rto happens will the share be suspended? If so for how long? 6months?
It is a strange share indeed when they post huge write down of their only real asset, a loss onto, then the share price actually goes up!
The absolute key words were prepared as a going concern.
In fairness, yes. I guess it depends where we are with the due diligence?
I'd say highly unlikely to place just to pay off debts , if the rto isn't confirmed.
If it is confirmed then the price here would rocket so you'd hope ideally they could raise at a premium. Even better to sell that % to lcmm!
If they don't complete the rto then immediately they would do a huge placing.
This one isn't for weak of heart!
No I agree. It’s a cheap main market listing that with low market cap that amounts to a bargain for sun co. They should in all fairness pay the debt off
For clarity I wrote the first reply before reading their financial results and writing my second post below.
I stand by that though, it looks like they have written off entirely the gas asset but are confident of raising any money through seven seas that they need.
Don't hold me to it, just my humble opinion but no equity placing to keep the lights on imo.
Directors are confident that the Group will be able to raise, as required, sufficient cash or reduce its commitments to enable it to continue its operations, and to continue to meet, as and when they fall due, its liabilities for at least the next twelve months from the date of approval of the Group financial statements.
**The Group financial statements have, therefore, been prepared on the going concern basis.**
This is absolutely key here, and very positive.
They know as a loss making debt reliant company nobody would buy a placing!
So the way I read this no placing before rto!
Or at least no placing that will be sold to private investors.
His argument is that because the nominal has now dropped by a factor of 100, that it will result in massive dilution IF they are required to do a 'keep the lights on' style placing, or to pay off all outstanding debts prior to rto.
As an argument this is bringing in multiple issues that should be looked at individually. Because its unlikely to be a direct as he implied.
Firstly the ii shareholders (who are collectively over 50% here afaik) obviously voted *for* this to happen. They are not blind.
Secondly any cash we need to keep the lights on has been debt funded through a loan, so not placing for that. Which would be intracompany zero in an rto btw
Thirdly we may not need to clear all debts prior to rto. Because we are *not* a cash shell we have a pretty huge gas asset sitting on the books. To clear the debts for a clean cash shell (which no suggestion of afaik) we'd have to sell that, which could fund hopefully all of debt payment.
Fourthly, the one point he is correct on, is that a huge placing will happen here **at the same time as us rto assets**. Thus a huge dilution becomes irrelevant if the assets of the company combined make it overall go up hugely. We all benefit.
I read on Twitter this guy spouting about the nominal value being changed to 0.001.
Can someone ease my worries on what this guy was saying please?
Fill those boots... critical metals =£££££
Massive opportunity at this level to load up
Virtually confirming rto...boom time boys and girls
The Board is enthusiastic about the opportunity to potentially acquire London Critical Metals Market and we are currently working to complete due diligence so as to facilitate a definitive agreement to acquire the business
As ever, nothing is guaranteed but take a look at RNS's and the BoD's intended course of action over the next few weeks. There really isn't any good reason to sell at this stage given the significant impact the RTO confirmation would have on the SP. I am conservative with a target price of 3p but have seen many others intending to hold out for double figures (last achieved in 2018).
Why du think that? I’ve seen shares have big spreads, do nothing for ages then drop. What makes you think this is a good thing?
Agreed.
Best of
Ridiculous spread to put of buyers....... Wonder why?
It was definitely someone with a "following" dropping this share on the page and suddenly 17% becomes 15% up. Quite easy when the liquidity is low and ~10 people all buy in at the same time.
Should pop up soon. Explaining the reversal.
I wish I had. It’s looking good. I don’t have any free capital to add elsewhere atm. Average here is .93 so didn’t want to take any from here.
Thanks for the tip tho. I will be keeping a close eye on it. :))
Did you buy in GTC Dan?20% up :))
most stock is kept in sticky hands and soon mms will raise the bid and newbies will pay a premium
Cool. Many thanks