Iog Share Discussion Threads

[bountyhunter] 24/9/2021 20:47

And up further today! Just noticed having been out most of the day. Nothing holding this back now. First gas can't come soon enough.

[bountyhunter] 23/9/2021 16:17

I agree and don't recall a share ever finishing blue on the day of a discounted placing, very happy with how this was handled, the details, the timing and the outcome!

[marvelman] 23/9/2021 16:09

Well I work off the discount to the bid which is more relevant to the current holders on the day which based on the closing bid yesterday of 26.5, makes the 25p placing only a 5.7% discount. Either way its another hurdle out of the way towards this company's entry into being a producer. Great day today

[mistt] 23/9/2021 15:31

8.5% is a fairly typical discount. But I agree, I don't think the shops will have too much trouble in turning these over at that price, given current sentiment. Going to take sometime to offload though, so I'd expect the share price to be range bound for now.

[bountyhunter] 23/9/2021 14:28

What a recovery! Wish I'd snapped up a few more earlier now. It's almost as if the placing never happened, nothing holding this back now!

[hiddendepths] 23/9/2021 14:28

I agree that 25p was an awesome price to get oversubscription and being so close to the share price pretty much ruled out institutional chancers looking for a quick turn. That means just about everyone who bought is a long term buy and hold shareholder! It also means that the instis really like the story the company is telling. And very little if any churning to follow.

Onward and upward, I suspect!

[marvelman] 23/9/2021 13:46

I am still pinching myself and thinking how we got away with 25p!!...II's must see this as cast iron not to have demanded a bigger discount. It was the one reason I havn't added anymore for the past 6 month having held for what has seemed an eternity.

[bountyhunter] 23/9/2021 12:46

Yes that makes sense but good to see oversubscribed and concluded so quickly with only a small discount, and no warrants involved!
If any of the institutions involved hold > 3% I guess we should see one or more TR1s unless overseas in which case >5% notifiable. It would be interesting to know which institutions have added.

[hiddendepths] 23/9/2021 12:32

The way it works these days bh is that the broker rings round institutions ahead of time and gets indications of interest at various price levels. Then it's a matter of fixing a price that pretty much guarantees that the instis will fill the placing without any problem. On Placing day, it's just a matter of ringing round again and obtaining firm commitments. 95% of the time it's quick and easy......

[bountyhunter] 23/9/2021 12:26

Placing completed already and oversubscribed as anticipated...

23 September 2021

IOG plc

Result of Oversubscribed Placing & Subscription

IOG plc ("IOG" or "the Company"), (AIM: IOG.L), the Net Zero UK gas and infrastructure operator focused on high return projects, is pleased to announce that, further to the announcement made today, the Company has successfully raised gross proceeds of GBP8.5 million through a placing (the "Placing") and subscription (together, the "Fundraise"). The Company has placed 33,800,000 new Ordinary Shares at a price of 25 pence per New Ordinary Share (the "Issue Price") with existing and new investors.

The Issue Price represents a premium of approximately 1.0% to the 30-day volume weighted average price of an Ordinary Share to 22 September 2021 of 24.75 pence and a discount of approximately 8.3% to the closing mid-market price of an Ordinary Share of 27.25 pence on 22 September 2021. The New Ordinary Shares will represent 6.5% of the Company's Enlarged Issued Share Capital.

[bountyhunter] 23/9/2021 11:40

interesting point BB - and that would put his interests above 50%

[bountyhunter] 23/9/2021 11:38

hd - concur 100%
On jkx 53% of production is in Russia sold at a fixed price with the remaining in the politically unstable Ukraine which put me off; also the 47% in the Ukraine appears to be gas+oil so far as I can tell with production declining in both countries as from old fields requiring interventions. Definitely prefer i3e on a revisit there!

[billybunter1970] 23/9/2021 11:15

I wonder if WB will be involved in the placing shares?

[hiddendepths] 23/9/2021 11:14

bh - I too was moved to check out I3E again for the same reason and must confess I picked up a few this morning! JKX has already moved quite a way. If its price was, say, mid 20s I would have bought some earlier this week when I belatedly remembered it was primarily gas! Kicking myself about that because it's been on my watchlist for a year or so.

[bountyhunter] 23/9/2021 11:10

I see IOG is pulling back already :)

[bountyhunter] 23/9/2021 11:05

Had another look at i3e DD thinking I must have missed something, and I had, not picking up on the first quick look that 59% of current production is gas! Also been checking out jkx (see that thread for my musings on that) and out of the two now have i3e down as the more favourable of the two given the political risk with jkx - although that is priced in I'm still not keen on that risk.

[dunderheed] 23/9/2021 10:09

Agree 100%!

[hiddendepths] 23/9/2021 09:54

lol Dunderheed. I respect your views too - I have no problem with rational disagreements!

I do take your point about the past and have never been tempted to take a position in this stock before. But every dog has its day, as they say, and IOG is now in the right place at the right time as far as I can see and the shares do not reflect the opportunities staring the company in its face. And it looks as if, for whatever reason, company strategy and tactics are very well suited to the current environment of gas shortage and a new era of energy security concerns which I, for one, don't see changing for quite a while.

[dunderheed] 23/9/2021 09:34

hd - I fully respect your views 100% - you know that - I am bizarrely emotionally attached to this company (which I try never to do) but I still feel it could have been run better from day one on all levels.

I can just remember Fiona stating "never a need again for a placing" - which quite frankly is a stupid thing to say as all sorts of scenarios can present themselves which actually could benefit the company - so she should have caveated that statement better at the time.
As above I have a "feeling" this made better business sense elsewhere and they have just "followed" but again should pay off as well, as the figures involved are so small and a reasonable "gamble"!

Also, am in good profit here, so should shut up sometimes!
All IMHO and best of luck all!

[hiddendepths] 23/9/2021 09:22

It's a small opportunistic placing for a specific, well-defined and well-explained purpose DD, and it should provide a new share price floor, well above the old one if one even existed.

I agree that the I3E placing was very good, but the deal was a much more significant one and quite likely to be transformational, certainly if you believed the numbers they presented at the time. I was a little suspicious about that so didn't jump in with my hard-earned. But the point is that the two cases are chalk and cheese.

[bountyhunter] 23/9/2021 09:10

Yes I know DD, I was being kind to mgmt there in not saying that :) The CE involvement since then is a big plus in my view.

At least 25p should underpin the price now with every prospect of moving up from there towards first gas with ongoing drilling at yesterday's rates, and no imminent placing cap once this exercise has been concluded. Should be comfortably over-subscribed in the current climate I would guess.

[dunderheed] 23/9/2021 09:07

It wasn't out of IOG's mgts control to put all their funding with such an operation, they chose to do that without good DD?
CE, exactly they pull all the strings now, IMHO.

I was just questioning HD's remarks regarding 40 years of observing placements etc.
I'd proffer i3e's recent one - far more levered and material than IOG's and that was a couple of months ago being "better" than this!!
I can think of a lot of other companies that have "gained" assets over the past few years without even the need for a placement and effectively being paid to take assets.
This "smells" of them being encouraged into such an opportunity but wtf - even though I dont "like / respect" mgt. here, I've made quite a few quid so should stop moaning really!!
All IMHO.

[bountyhunter] 23/9/2021 08:58

But they seem to have learnt from that Log fiasco a few years ago (although that was outside of IOGs control) and CalEnergy may have a guiding influence having been involved since that time.

[bountyhunter] 23/9/2021 08:42

Does make a change I agree!
No mention of warrants either which is another plus.