African Med Share Discussion Threads

[fillipe] 17/7/2010 12:49

Thanks Steg. I'll keep a watch open and do a bit of digging in the interim.

f

[stegrego] 16/7/2010 20:46

This is what RHPS said:



AFRICAN MEDICAL INVESTMENTS (AMEI): Chief executive Dr Vivek Solanki has resigned from the company owing to "potential financial and administrative irregularities at the company's Harare and Johannesburg medical facilities".

AMEI believes that it can pursue a claim against Dr Solanki, and there is no reason to think that this will have too much impact on the daily running of AMEI's healthcare facilities in Africa. But this news does not say a lot for AMEI's corporate governance. Dr Solanki was very much the driving force of the operation. So SELL

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RHPS add 3 tips a month, so have to get rid of 3 a month too (or thereabouts), so its possibly just them making room.

[fillipe] 16/7/2010 20:03

Steg - thanks a lot for the mention about rhps - I'd been guessing the drop today was due to a tip-sheet "Sell", but it's really good to know the reality.

Like you, AMEI is one I've had on my watch-list for ages and ages. I'll be properly tempted if there's a bit more drop - at 13.5p mkt cap is still nearly £28m and looking at their website I got the impression that a lot of what they do is small-scale stuff....not quite the private hospital business we have in the UK.

I'd be interested to hear anything you have on AMEI.

Thks again

f

[spectoacc] 16/7/2010 16:31

Thanks @Stegrego; deafening silence on here, was wondering if something like that.

Staying in here, though a total punt on Harbinger's continuing support.

[mattjos] 16/7/2010 16:24

frustrating i know Steg .... waiting for the results of the drains-up and figures

[stegrego] 16/7/2010 16:20

Been watching these for a while with interest.

SP is approaching its all time lows, but im much less interested now than before.

Seems much more of a gamble now than it was, even though it may ultimately prove a steal.

Its down again today mainly because RHPS said SELL last night by the way.

[mattjos] 14/7/2010 22:28

Hi Davy ... not the most pleasing development in the short term :-(. Yes, it's not altogether uncommon activity in the developing nations unfortunately.
However i've always had this one on a 3 year timeline and will see what comes out of the next financials as this far, that aspect of the business has been quite satisfactory.

[davydoo] 14/7/2010 19:54

Good points Mattjos, remember ETC having a fraud issue in their annual results? just before they got bought out.

[mattjos] 14/7/2010 16:50

Bloke's a wally. Out of a job now. Court case looming also. The Yanks do not tend to let such matters rest, in my experience, & will likely try to win any such court case. Will give them an excellent case to take his shares off him also.
A good shareholders agreement may have them off him at par & Harbinger & the BOD ready buyers. What a bloody idiot

Edmonds recent appointment of the his old mucker as the CFO looks like it was done for good reason and he's raised the alarm to the BOD. Suggests that the rest intend playing this quite correctly.

One wonders if Edmonds, Harbinger and co are maybe actually smiling at their good fortune here.
The next set of figures to how how the sites are performing are of more immediate interest to me.

Corruption is so rife in that part of the world that i'm not convinced it will have a lasting effect on the company's standing in Africa .... possibly quite the opposite as they get recognised for stamping it out.

[talon13] 10/7/2010 19:26

This will always be the problem with small- and micro-caps! It only takes one crook on the board to effectively kill the story with the company, irreespective of how it trades in the future, even if profitably. Negative sentiment here could effectively kill the share price for a long, long time.

Let's just pray that Solenki hasn't stuffed a secret bank account in Zurich full of the company's money.

[mattjos] 09/7/2010 16:09

FD has worked with the BOD before .. it is an assembly of the 'old team' in many ways ... Solenki was the odd man out almost.
Sounds terrible but at some future point this may be looked upon positively .. although with a fair load of stock at present I may struggle to see that today!

I wonder if the shareholders has a clause for such a situation .. Solenki being obliged to pony up his stock at par value for instance.
I believe the managment are experienced enough to navigate thru it .... much will depend on how much staff allegiance there was to Solenki in the event he exits stage left

[alchemy30] 09/7/2010 16:05

Agreed Matt, the remaining BOD and Harbinger are tightly wound up in this and other (mining) companies.
It comes of no surprise that some investors were 'lucky' enough to sell £200K worth of stock the day before this announcement.

[andrbea] 09/7/2010 16:04

I like the positive aspects of the update (forward profitability, progress at several centres, continued backing)

the dismissal of Solenki is just 1 bad apple.

[spectoacc] 09/7/2010 16:02

"..Obliged to hand back his stock", never seen that before. Share options, maybe. But that 11%, 22m shares, will have to go somewhere if he's ultimately dismissed.

FD is new; suddenly he's also CEO.

[mattjos] 09/7/2010 16:00

my thoughts exactly .. as ever, leaks a plenty and the mm's haven't wanted stock all day. Snealed out on a friday pm too.
Harbinger will not be happy bunnies .... however, i'm thinking certain other key members of the BOD may not be as upset as we might imagine .... the good doctor Solenki may now be summarily dismissed and obliged to hand back his stock .. leaving a well funded growth company.

At the current price the stock is less than the initial price paid by Harbinger for their entry and well below the projected average of their investment programme.

I suppose the price will be under pressure now until there is clarity as to the Doctor's activities.

but the rns also gives some good news .. cashflow positive in 8 weeks is some achievement

[spectoacc] 09/7/2010 15:59

Harbinger still "supportive" which helps, but Solanki owns 11% of the equity, could be interesting.

[alchemy30] 09/7/2010 15:43

Hmmm the person(s) who sold 1 million shares yesterday must have a 'sixth sense' !

[mattjos] 09/7/2010 15:42

Have had better days .. everthing nicely blue elsewhere apart from here. Explain the big dump of stock yesterday

[celeritas] 28/6/2010 08:12

Hopefully we'll get a update after the World cup, the South African clinics must have been doing great business.

[mattjos] 18/6/2010 12:13

No doubt why Harbinger was happy to back AMEI this next 3 years. Plenty of big business moving into Africa, the last frontier .. adequate medical care will be one of the concerns staff may have when asked to go and work in Africa by their employer.
The relationships and preferred supplier arrangements that AMEI are putting into place should provide regular revenue streams for them this next few years.

[mattjos] 16/6/2010 10:11

I see AMEI are co-sponsoring the Africa Business Forum 2010 next Monday & Tuesday:

The Forum will address how business and government can best address the challenge of redesigning a sustainable growth strategy for Africa in the new global economic environment. It will focus on the practical partnerships which business is taking on job creation, enterprise, trade, investment and good governance across the continent, and discuss how we can strengthen capital flows and trade.

Matrix seem the lead sponsor for the event .... MTX were appointed broker for AMEI in March this year. They have yet to give any market guidance but have been sat atop the Bid here now for weeks.

Last contact i had with Dr. Solanki he advised they would be meeting shareholders in June to give an update ... looks like this trip then is the opportunity to do so.

"By the end of June, with three hospitals and three clinics operational, we will have a solid foundation from which to make strong expansionary progress."

T/U & Interims expected August here.

[mattjos] 09/6/2010 13:44

nice little piece of news today re. Maputo ... will have caught plenty of people's eye with that sort of hi-level delegation. They are beginning to crank up the PR now

In the Stockmarket News, Australia even: