|Polo Res.(See LSE:POL)
||ORD NPV (DI)
||EPS - Basic
||Market Cap (m)
Real-Time news about Polo Res.(See LSE:POL) (London Stock Exchange): 0 recent articles
|kerrie3: i thought i would pop in after reviewing yesterdays trades and bulletin board comments.
i see the share price was unchanged probably as a result of short termers taking a profit off the table (the share price having advanced over 20% in the last month) offset by buyers looking for the end game re the Extract Resource shareholding.
i tend to agree with 'barryrog' in as much as companies buying shares in other companies who hold Extract's shares is a long way from automatic access to the uranium itself at Rossing South. maybe for most who want in, that is the only opportunity because there is very limited availability on the open market where traded volumes are low.
having said that, who is going to let go a significant number of shares in Extract at this stage of the game?
well only PRL as far as i can see and given the demand i would assume they are looking for a significant premium to the current price which may be too high for some or as has been suggested the deal has already been done or very close to being done.|
|nil pd: marben, I agree with your sentiments - and with yours steeplejack and probably most on this thread. Nevertheless, PRL does look a little like a resources investment trust.
In the past I used to invest profits in ITs and one in particular did extremely well for me - GPE, which is a way in to private equity for the small PIs. GPE acquired unlisted assets as small concerns having massive potential. When they sold them after carefully managing the businesses to Wow! standard the share price responded accordingly. Torotrak was the best example.
Now I don't for one minute classify PRL as an IT but I do believe we can expect a significant gap up in the share price once a deal is announced regarding the EXT stake (in my opinion). This will accrue in a similar way as it did for GPE when they sold significant assets because the valuation will be 'real' and will have to be PROPERLY added to the share price
While we wait and while the deal-making is going on, a little lubrication of the publicity machinery wouldn't do any harm. I would have thought, provided that specific areas of a potential deal were not visited, PRL's PR company could easily arrange for broker notes that highlight its undervaluation. Or am I being dim here? I don't think so - I have marketing experience too long to mention and I think the company is missing a trick.|
|marben100: IMO the main thing driving EXT's share price recently is sentiment towards the U market. Have a look at this comparison against Paladin's share price over the last 6 months:
The companies' share prices mirror each other in an uncanny manner.
I read two things into this:
1. When the U spot market turns, we can expect EXT's share price to do likewise - which, in turn is likely to impact Polo's share price positively.
2. The market is giving no recognition for recent drilling results - nor for the prospects of a partnership.
I consider the second point to be particularly noteworthy: ISTM that the market only gives value to official JORC reports. That's fantastic, because it is possible from the published drilling results to make a good estimate of the NEXT JORC figures. I currently believe that this is very likely to be at least 450Mlb, against the 292Mlb currently declared. Wonder how the market will react when it sees a 50%+ increase in resources, come mid-summer? ;0)
There also seems to be a fair chance that Extract will receive proposals by its March 18th deadline that will support a higher valuation. So, we've got 3 things that would support a significant gain in Extract's SP:
1. A turn in the U spot market
2. Next JORC declaration
3. Partnership proposals
I decided to add a few more EXT to my holding @ A$6.95 last night, having topped up on Polo & EML too, recently.
|barryrog: well i was surprised that the recent director buys @ 5p didn't underpin the price.
ok we did have the CDN potential takeover fall through but the PRL share price fell by more than their total holdings in CDN.
also surprised PRL have not released an RNS covering the Extraxt ASX release on Monday.|
|sitiain: abu dhabi 40 billion contract.
really not going to be long before saudi jump on this band wagon for their electricty demands.
plus electric cars seem to be more and more of a possibility going forward = more electricty demand.
if you are going to spend 40 billion dollars building plants commen sence would dictate you are going to want to guarentee some supply.
hoping for a more senisible PRL share price in 2010.
good luck and happy new year to all.|
|barryrog: put the PRL share price fall in perspective.
it has fallen over the past 2 months by more than the total value of their holding in CDN.
with Rossing South continuing to upgrade it's resource estimates - that is ludicrous.|
|very quick: Wait till the BID for Caledon Fails: PRL share price down 25%
Wait till the Coal Contract Fails for GCM: PRL share price down 25%
Back to sub 3p soon enough.|
|fordtin: Something for the weekend sir?
At close today PRL's share price was only 50.79% of my sum of the parts valuation.
The value of PRL's investment in listed uranium companies equated to 4.035p per PRL share.
The combined Jorc compliant uranium resources for ACB, BKY, EXT, IPT, UNX and WME total 354.7 m.lb.
Polo's share of this equates to 45.11 m.lb.
Hanson Westhouse say they believe an EV/lb of us$5.9 per lb is the M&A value of pre-development uranium in the ground. As all of PRL's listed investments are potential M&A/take-over targets, it's interesting to note that at Polo's current market cap, it's 45.11 m.lb of attributable uranium is only valued at us$3.12 per lb.
Applying Hanson Westhouse's us$5.9 per lb would give PRL a share price of 7.07p with absolutely nothing in the price for any of the coal assets, Mongolian uranium, non Jorc compliant uranium, loan notes, options, cash, et al.
EXT's Directors have openly stated that they expect their zone2 to come in at the higher end of their 57.3 - 92.5 m.lb target. (My personal interpretation of the reported drill results is that the higher figure will be exceeded by a significant margin).
Adding their upper target to the combined resources would boost Polo's attributable uranium to 53.49 m.lb and a value of only us$2.63/ lb.
Applying Hanson Westhouse's us$5.9 per lb would give PRL a share price of 8.38p with absolutely nothing in the price for any of the coal assets, Mongolian uranium, non Jorc compliant uranium, loan notes, options, cash, et al.|
|mutley28: OK, interesting day. Noticed what looked like a couple of large buys at close on Friday, EVO seemed to hold bid pretty steady today and was a 2million trade again at close - buy or sell who knows, but bid price more stable today.
So what do we make of Extract move? If Dattels gets on the board then surely a huge positive and would steer it in direction he wants? Or, as article above questions - does the EGM move and Dattels bid to join the board mean that RIO is pushed to splash some cash?
Either scenario would be good for PRL share price. Certainly getting more and more ineteresting, and as we know, director buying of late - provides nice comfort zone as of course they are not going to hose their cash away for fun.
|very quick: I think the problem with PRL share price is, " to may shares in issue. " Directors would do better in buying back some comapany shares. LOL?
Otherwise we will remain below 4p for years. LOL?|
Polo Res.(See LSE:POL) share price data is direct from the London Stock Exchange