Kryso Resources Share Discussion Threads

[carlos panda] 01/7/2013 08:38

abacus23

Your KYS shares will become New KYS shares (1 for 1) and then the New KYS shares will list on HK and delist from AIM.

The end result will be that you hold the same number of shares as now but that they will be priced in HK$. So if you have 100,000 shares and they close on AIM at 25p and open in HK at 35p (HK$ 4) then your holding will have increased in value by £10,000.


CP

[carlos panda] 01/7/2013 08:31

legg96

Apologies for my all too hasty appearance - I had intended to arrive around 1pm in order to meet other shareholders but ended up spending 3 hours slogging the 60 miles up the M3 and then had a commitment at 4pm. So much for Sunday traffic!

I find AGM type Q&A sessions tricky for both those asking the questions and those answering them, mainly due to the disparate knowledge levels of the various attendees but also because management obviously have to be rather more guarded in their responses. That said, Craig certainly appeared to do his best to provide straightforward answers where possible. I had rather hoped although not expected that perhaps the chairman, Tao Luo, might have attended.

I also was somewhat surprised at the range of figures mentioned for a possible market cap / share price pursuant to the HK listing ($300m - $500m, i.e. x2 - x3 current). It's not that I see such a level as fundamentally unreasonable, rather that the recent (and continuing) departure of UK shareholders may lower the reference price for HK investors. Still, as Craig indicated, the company received very positive feedback during their HK presentations so perhaps a starting point of HK$ 6+ is achievable with my 2017 target of HKD 15 not too unrealistic.

All in all there was nothing much new that came out of the meeting but the chance to clarify existing issues is always useful. It's also helpful to have an opportunity to get 'bigger picture', albeit more soft focus, feedback (something that often seems to get lost in the detail of RNS announcements) e.g. CNMIM's political and financial connections, regional M&A possibilities, a 250k oz pa company.

In summary:

1. HK Listing. This will happen sooner rather than later this year and should help KYS achieve a more realistic valuation.

2. Funding. KYS will have no problem raising the additional equity / loan funding at good prices / reasonable terms for the enhanced Pakrut mine plan or indeed for M&A.

3. Subscription Bonus Tax. This is expected to be agreed towards the lowest end of the possible range.

4. Resources. The ITR contains much of the 2012 drill results, although not using independent laboratory figures. The full resource update is still awaited but will show increases in measured and indicated (from inferred) as well as data from East Pakrut and Rufigar.

So, despite short term UK investors still heading for the exit, IMO the future still looks very positive.


CP

[abacus23] 01/7/2013 07:31

legg96.

Further to your comment "Rather surprised by Craig`s bullishness on the HK strike price. If he is right the uk sellers have made a big mistake"

Perhaps somebody with more experience in stock transfers can help me?

If I hold New KYS on AIM, at 25p (100,000shs)and they open on H Kong at say 35p, do i lose £10k. Or does this get converted in the transfer? I am with TD Waterhouse.

I tried to speak to Craig but he has been away recently. I will try again to hopefully clear the issue up. Any help in the mean time would be much appreciated.

[legg96] 30/6/2013 17:29

Carlos,
Sorry we did not get a chance to speak. Thought your lines of questioning were excellent. Rather surprised by Craig`s bullishness on the HK strike price. If he is right the uk sellers have made a big mistake. What were your thoughts on the meeting?

[carlos panda] 30/6/2013 07:36

legg96

The subscription bonus (sub-soil) tax is something that I only became aware of following publication of the 2012 Annual Report. The issue is the level at which this one-off tax is payable following an apparent Tajik legislative drafting error. An amount of c. $15m is shown in the accounts but the actual amount payable could be as low as c. $150k (although a more likely outcome is c. $1m).


CP

[legg96] 29/6/2013 19:32

Carlos Panda,
Thanks. The only issue that I am not upto speed on is regarding the subsription bonus tax. Could you amplify please?

[carlos panda] 28/6/2013 20:14

Griffin4

Indeed, most UK investors appear to have given up. I can understand why when the KYS story appears to be becoming unexpectedly more complicated as we move towards production.

icejelly

The CNMIM involvement in itself I have seen as an advantage but there comes a point (already?) when the capitulation of UK shareholders could undermine the position of those of us that remain. This would be a great pity. I've been somewhat surprised (yet pleased) that the approach suggested in my post 13038 has not been adopted...


CP

[carlos panda] 28/6/2013 20:00

legg96

Probably see you there then.

Some points of interest (to me) that I hope to clarify at the AGM:

1. The rationale behind the HK listing / UK delisting timing & its effect on the UK shareholder base (& the recent share price).

2. Details of any Pakrut phase 1 additional funding proposals (equity / loan split, timing etc).

3. An update on the subscription bonus tax issue.

4. (KEY) How management intend to add value to Kryso moving forward bearing in mind the impending dilution and the relatively low production targets (LoM 1.68m oz) against the headline resource (5m oz).

5. M&A.


CP

[icejelly] 28/6/2013 15:05

I still watch. Got out a while back. This is/was a good company but I do not like the way the Chinese run their companies. They run them for themselves - not their shareholders. imo

[griffin4] 28/6/2013 14:26

Hi Carlos, if the only beneficiaries are people like Zhao Bin buying in, then surly we should follow the smart money, but most seem to have lost their bottle.

[legg96] 28/6/2013 12:53

Carlos,
Yes, I will be there. Never known an AGM on a Sunday and it`s timed to clash with lunch.
I get the impression they would like all their UK shareholders to just disappear.

[carlos panda] 28/6/2013 12:45

Not many I suspect.

IMO the share price would have been much stronger recently if the company had decided to dual list for a year or so, thereby giving UK shareholders more time to either sell their holdings or transfer their shares to HK.

There may be good legal or financial reasons for the UK delisting but it seems that the only beneficiaries at the moment are those who are buying (Zhao Bin?).

The share price weakness will also have an undesirable effect on the placing price (even though this will doubtless be in HK).

I am hoping to attend the AGM on Sunday. Is anyone else thinking of going? I understand that it is being held in a telephone box this year!

CP

[c9ajl] 28/6/2013 12:26

No. There are a few of us left

[griffin4] 28/6/2013 11:56

I'm I the only uk investor left holding these ?

[fax] 20/6/2013 09:39

The question for HSDL is not whether they will hold the new AIM listed shares but whther they will hold a HK listing in the event of de-listing from AIM.

[zboy169] 20/6/2013 05:03

A resource upgrade is all I'm focused on right now - come on Kryso, lets have it!

[eke] 20/6/2013 03:24

My Question to them : -
________________________________
From: Eke, Colin [mailto:[e-mail]]
Sent: 20 May 2013 15:42
To: $Egain : Customer Care HSDL
Subject: Kryso Resources PLC Change of register

Kryso Resources PLC (Kryso) is proposing to establish a new holding company of the Kryso Group incorporated in the Cayman Islands by way of a Scheme of Arrangement (the Scheme). Shareholders will receive, in exchange for their Existing Kryso Ordinary shares, New Kryso Ordinary shares on the following basis:

1 New Kryso Ordinary share for every 1 Existing Kryso Ordinary share held.


Dear Sir or Madam

Will Halifax Share Dealing be able to hold these New Kryso shares in my account ?

Rgds
Colin Eke

Reply : -

Dear Mr Eke

Thank you for your e-mail.

Yes I can confirm that you will be able to hold these shares within a Halifax Share Dealing account. These will list on the Alternative Investment Market (AIM) proving the coporate action goes ahead as planned.

I hope I have been able to help you with your query, however should you require any further information please do not hesitate to e-mail me at any time or alternatively call us on 08457 22 55 25.

Did you know we also have a Web Chat facility where you can speak to us live? This can be found on the welcome page once you have logged into your account.

Kind Regards

Andy Mulligan
Customer Relations
Halifax Share Dealing

[smarm] 19/6/2013 19:44

They had better update their website then...



S

[sparkey_two] 19/6/2013 18:53

Eke thanks for that, I didn't think they would. Will give them a shout just to be sure and will PM you if they say anything different...

[eke] 19/6/2013 16:56

Rogash. You are right..good strong finish looks good for tomorrow.

[eke] 19/6/2013 16:54

Sparks. I also use Halifax and they have told me that they can continue to hold the NEWKYS shares no matter what exchange they are traded on.

[sparkey_two] 19/6/2013 16:47

Guys,

I use Halifax for my share dealing so would need to transfer my KYS shares to a new broker if I want to keep them. Can anyone recommend one to look into?

Ta.

[griffin4] 19/6/2013 15:15

Not getting mine

[rogash] 19/6/2013 14:55

somebody wants our shares

[abacus23] 18/6/2013 16:19

Onedayrodders.

I dont think you will be able to buy in an isa. i believe they will de-list from aim and list on hong kong.

i might be wrong.