African Battery Metals Share Discussion Threads

[empirestate] 10/12/2013 10:49

blimey, atleast there's a buyer of the stock. Norges showing some confidence.

[hvs] 10/12/2013 10:09

A huge pay off to +a FAILED CEO all approved by the Board that has BOLTED typical CITY behaviour.

Nothing has changed or will ever change.

[empirestate] 10/12/2013 09:02

blackpoolsteve, I think there is a difference here to those companies you mentioned. I think in comparison this company is no where near as over leveraged as the other companies.

[blackpoolsteve] 09/12/2013 22:17

Agree with Gliderpilot 2002.

Why would anybody want to risk any cash on this dog? Why are Artemis still bailing out?
It appears that the banks are only keeping it going to see if anything can be salvaged at the busiest time of the retail year.

Any potential bidder could buy profitable shops from the administrator next year for a knock down price.
Remember and beware - JJB Sports,HMV Woolworths,Clinton Cards and other retail failures .

[gliderpilot2002] 09/12/2013 14:24

Be careful about the built in bias of bulletin boards towards optimism. This situation is interesting to watch. However, as ABM is more likely than not either to go into administration or at least destroy all shareholder value PIs should keep clear. Don't spoil you Christmas with this share.

[cascudi] 09/12/2013 10:06

the finance report seems good to me. may be a bit high debtor collection period.
I guess that the problem is: what is the future for gold price and the future of this business model? happy to hold.. let`s see

[quepassa] 09/12/2013 09:24

Page 23 . 2013 Annual Report.


Extract from what the Auditors say:-

"These conditions, along with the other matters
explained in note 1 to the financial statements, indicate
the existence of a material uncertainty which may cast
significant doubt on the Group's and the Parent Company's
ability to continue as a going concern."



Link to 2013 Annual Report:-




ALL IMO. DYOR.

QP

[empirestate] 09/12/2013 08:48

spob, the main concern here was the debt right. there appears enough liquidity on the asset side to control the debt levels. Yes, they are losing money but considering the liquidity side of the assets there appears to be considerable short term cash to support potential cash outflow from operational losses imo.

[spob] 09/12/2013 08:34

Can't find full auditors report on their website

[spob] 09/12/2013 08:17

Current situation, as they have admitted today is, they are losing money

[grahamite2] 09/12/2013 08:15

Everyone knows the current situation - the point of the accounts was to establish the starting point. empirestate is right.

[spob] 09/12/2013 08:11

That was 30 June empirestate

[empirestate] 09/12/2013 08:08

picked up a few here this morn. their cash , inventory and receivables position was too hard to resist when compared to debt.

[spob] 09/12/2013 08:00

Current trading and financial performance

Since the year end, the competitive and trading environment has continued to be challenging with no signs of recovery in the Group's key trading metrics of pawnbroking advances or gold buying, with the result that the pledge book has continued to decline year-on-year as advances remain depressed in a challenging market. The business continues to manage within the current facilities of £53.5m agreed as part of the covenant deferral agreement which runs to 3 February 2014. This has been in part achieved through reduced Speedloan lending and continuing a programme of exceptional smelting of retail stocks.

The Group expects to be able to manage within the current lending facilities through the covenant deferral period to 3 February 2014, but this is likely to be at the expense of a continued reduction in Speedloan lending.

The gold price has seen further weakness and was, as at 29 November 2013, 27% below the average price for March 2013.

As a result of the factors outlined above, the Group is trading at a loss at the EBITDA level despite short-term action taken on costs such as the closure of the Group's pop-up shop gold buying chain.

In addition, the Group will incur continuing higher general advisor costs and the costs of the aborted rights issue in its FY2014 financial year.

Current strategic review process and commencement of formal sale process

The Group explored a wide variety of options as alternative funding scenarios, when the rights issue was aborted. On the 2 December 2013, the Group announced a strategic review to explore all available options to the Group's current financing issues. The intention is to complete this process before the end of the current covenant deferral period on 3 February 2014.

As announced on 2 December 2013, the Board considers it in the best interests of the Company's shareholders to seek to sell the business by means of a formal sale process. This process includes the possibility of an offer being made for the Company although there can be no certainty that an offer will be made.

Going Concern

This is a period of very material uncertainty for the Group and the impact of this uncertainty is set out in note 1 to the financial statements 'Basis of Preparation' in more detail.

Auditor's Report

We draw attention to the fact that the Annual Report for the year ended 30 June 2013 which is available on the website www.albemarlebondplc.comcontains an auditor's report with an emphasis of matter for going concern.

[spob] 09/12/2013 07:57

Aye results out

But almost six months out of date

[skyship] 07/12/2013 15:49

Ahh - a pretty historic document - so not really of any bearing to the current situation...

[grahamite2] 07/12/2013 13:41

It's when the annual results are expected.

[skyship] 07/12/2013 13:32

Very interesting to note that Andrew Perloff has bought 800k @ c15p over the past few days - a very smart property man who last year built a stake in MCKS.

grahamite - have I missed something? Why is Monday a crucial day?

[quepassa] 06/12/2013 14:29

The new Chief Exec, Chris Gillespie, is only two months into the new job. And he puts the whole caboodle up for sale.

One can but wonder to oneself why he is doing this.

We know that management was exploring all options. Looks like the options may have possibly been severely limited given the stresses on trading and the twice deferred covenant test.

The 2012 y/e Annual Report shows £23million of Goodwill as part of their equity base/TNW.

One can but ask oneself how any potential offeror would value the Goodwill element of the ABM balance-sheet in today's market.

ALL IMO. DYOR.

QP

[pimpi] 06/12/2013 11:10

how can this go bust when last year they head NAV of £1.74 were are all these assets now?

[grahamite2] 06/12/2013 10:43

What are the odds there will be major buying or selling after about 4 o'clock? Someone will know what Monday has in store.