European Metals Share Discussion Threads

[telbap] 14/2/2017 11:15

Bhp....for sure, they ain't gonna waste this opportunity......only tiny shares in float, so will only help liquidity, make the share price range more flexible....lol!

[fqr714bhp] 14/2/2017 11:09

I think there will be a big cash call coming up here in the next few weeks. IMHO.

[bookwormrobert] 14/2/2017 09:32

Re: REM...
Well, 20% of EMH = 20 million.
So, all REM's investments in Bacanora, Yangibana and the smaller stuff = only 21 million. That's simply ridiculous. So something has to move. My guess is that it's REM's share price.

[fqr714bhp] 14/2/2017 09:12

EMH Market Cap now 102 Million????? HUH!
REM Market Cap 41 Million????? something is not quite right there.

[steeplejack] 14/2/2017 08:40

Wassapper.

Your observations are fair enough,REM's NAV calculation would have to include liabilities associated with running the business but there are offsetting factors.What price would you have to pay to buy a 20% stake in EMH currently?Well,clearly you would have to pay a healthy premium to the existing market price.You'd have to pay a healthy premium to acquire REMs BCN holding too.Thus,all things being equal,I think it's quite permissible to do back of the envelope calculations.As things stand currently,you're getting all REMs interests other than holdings in EMH and BCN for next to nothing.Yet,this is pretty obvious so I'm not quite sure why the market is caring to ignore it.

[cpap man] 14/2/2017 08:26

Running all my EMH for now plus have topped up in fellow lithium play namely AIM listed KOD due to this from Aussie listed BGS who are neighbours to KOD's LITHIUM play....

[herschel k] 14/2/2017 08:10

Nice share price movement these last few days.Disconnect with true value being sorted :)

[frankie83] 14/2/2017 00:17

25% up on ASX, guys if you want to look into it uru..... investment opportunities....

[madmonkflin] 13/2/2017 23:51

they're going mad for it
hxxps://hotcopper.com.au/asx/emh/

[madmonkflin] 13/2/2017 23:50

72p now, no. 1 mover

[cyfalafwr] 13/2/2017 23:47

Up 19% within the first hour on asx

[madmonkflin] 13/2/2017 23:35

No.3 top gainer on asx, moving just ahead of London close.

[bookwormrobert] 13/2/2017 17:14

Hi Wassapper! Agree that REM might trade at a discount to the underlying valuations of the shares in BCN, EMH and the other investments. But it's gone out of balance right now. It's like the market has forgotten that REM own 20% of EMH.

[wassapper] 13/2/2017 16:46

steeple - you cannot make exact comparisons for valuations. REM is an investment company and as such has its own costs and is subject to taxes so you will never get the full valuation based on price per share in the investee company. I guess there's a rule of thumb but would expect a 20 % discount as a minimum?

[telbap] 13/2/2017 16:42

Pretty soon I would imagine considering the share price action here today......Either that or possibly a bid from a third party....

[runthejoules] 13/2/2017 16:38

REM has moved up a little today but though EMH is up, BCN is down too. Any info/guesses on when the PFS might come out?

[the guardian] 13/2/2017 16:35

Not being greedy, I would be happy with a similar rise again tomorrow.

[dssloan] 13/2/2017 15:28

Good question Steeplejack.

I had a good run in REM in 2013/14 but kept too much in until last year.
Then I thought, why not invest directly in EMH and/or BCN. yangibana was a liuttle too abstruse and Greenland is back burner. EMH along with PREM and AST have proven to be good options. Also curious about BNR.

Lenigas did promise a 5p party for 'Remmers' at his expense last year so after that did not materialize I grew disillusioned and considered REM to be more of a quasi 'investment trust'.

[telbap] 13/2/2017 15:27

Steeple.......excellent post, ages me want to buy REM again!! I have been patiently waiting for them to drop back into low 0.40 before going back on, for the eventual ride back to the .90 or beyond, maybe time to buy again.

[steeplejack] 13/2/2017 15:08

I posted this on the REM bulletin board a week ago and since then,the situation has become even more notable given the further rise in the price of EMH and REMs continued flat performance.The peripheral interests outside of the stake in BCN and EMH is now valued at only around £5m.REM are due a bounce but with the benefit of hindsight,what is extraordinary is that REM got a price of near 2p a couple of years ago.Why?...given that BCN was admittedly up Around a quid but EMH wasn't in the equation.If REM is undervalued now,then it was most certainly well overvalued then.The market is often far from perfect."REM is being treated like an out of fashion investment trust. I luckily sold REM a couple of years back and switched into BCN,wishing to concentrate on the Sonara 'prospect'.The move wasn't so clever when it came to buying BCN but it was a very fortunate time to sell REM at approaching 2p.Now,I'm tempted to switch back into REM(keeping an exposure to BCN )while adding an associate interest in EMH with its Cinovec project.The current market value of REMs equity interest in BCN and EMH is near £30.REMs current market cap is slightly shy of £40.Thus,by implication,30% of Yangibana,four exploration licences in Greenland and a 15.5% interest in Macarthur Minerals are valued by the market at just £10m.Now that strikes me as pretty mean given the excitement surrounding lithium.Arguably,REM shares should be standing at a healthy premium to asset value.They did once.What's changed?

[weller130] 13/2/2017 14:50

Yeah, that is weird. Their Market Cap, is even less than EMH...

[bookwormrobert] 13/2/2017 14:32

Has anybody else noticed that, whilst EMH has been rocketing upwards, the shares of Rare Earth Minerals (REM) have barely moved. (For those that don't know, the investment company REM own about 20% of EMH, which makes up about 30% of their entire portfolio. Their other big holding is another lithium play, Bacanora (BCN), which makes up about 50% of their portfolio.) I'm not exactly a fan of REM, but you'd expect the market to correct this strange anomaly.

[cpap man] 13/2/2017 13:58

Ditto d t reference EMH & KOD

[donald trumpton] 13/2/2017 13:40

EMH and KOD, my two favourite Lithium stocks just now.

[andrewsr] 13/2/2017 12:39

Thanks, I would imagine there would be production testing as part of the feasibility study. Exciting times here, good luck with the progress or buy-out.