Taihua Share Discussion Threads

[duplicate book] 26/8/2016 13:06

Lyonst5.....could have bought a few more, together with the tranche bought recently, that could put him over the 3%? Maybe David Hearne.....

[oxtail2015] 26/8/2016 11:43

David hearne?

[edmundshaw] 25/8/2016 16:35

I don't see anything wrong with the offer. If shareholders want to buy more shares they can also buy on the open market or at 3p. Meanwhile Taihua gets over £200k in cash, probably over £400k, and though it is a dilution, something had to be done to lift the share price. With any luck, dilution will be small as the company trades shares from the open market purchases with shares from the underwritten offer.

Good to see some positive action from the company. If Tao can act in this, hopefully he can also act effectively on the business side too. An injection of cash into business development is what the company needs, rather than hoarding the stuff (though I know some hoarding is necessary in China given the banking system there). Maybe this new broom will sweep away old and somewhat ineffective strategies.

On chinese companies in general, a good number listed on AIM have been, in my view, criminally badly run or outright frauds. But most of the actual frauds appeared after Taihua listed I think, so hopefully this has been and can remain one of the honest (if poorly managed) ones.

[zangdook] 25/8/2016 13:28

The only explanation I can see for doing it this way, instead of Tao Ji buying in the market, is that the BoD got sick of shareholders whining and thought they'd try to shut them up.

But then a tender offer might make more sense than buying back on-market. I can't tell if there's a cunning plan or not.

[davidlloyd] 25/8/2016 11:44

Hatey - too true.
However, on the coat tails of such shenanigans good money can be made (the previous ride up with CHA was one wild example of that which I caught perfectly through luck, not judgment). AIM 'investment'(read 'gambling') would seem more a case of noticing changes in behaviour, rather than anything to do with fundamentals, but truly remains a roll of the dice, nothing more. And the dice always remains heavily weighted against winning!!

At least Mr Tao is putting his hands in his pockets here and putting his own hard earned in, however it is interpreted, which I see as a move in the right direction at long long last.....

DL

[duplicate book] 25/8/2016 10:19

We have had years of 'bad' news coming out of Taihua. There has been a negative sentiment around the Company for quite some time, so anything that turns that around, is welcomed by me, however it comes about. I'll stick it out for another year or so and see what transpires. This might just be the kickstart we have all been waiting for!

[hatey] 25/8/2016 09:55

DL

Like most Aim dodgy stocks there will only be a bullish trading outlook when the management and friends have got all the stock they can.

Then "lord it's a miracle" overnight trading improves rapidly.

Corrupt, bent, whatever name you can make up for it...it's happening but at least it's
driving the price up which allows everybody in time to get out if the price is right ?

[oxtail2015] 25/8/2016 09:48

It least it shows tao ji has confidence in the company going forward.

[davidlloyd] 25/8/2016 09:24

Same here DB. Cannot justify putting more in to this until there is a marked improvement in the way things are run/managed here....
DL

[duplicate book] 25/8/2016 09:03

The assets of the Company are worth 16p a share! He has timed his move rather well me thinks. Just hope this will get the shareprice back to somewhere near true value, and that the Company can start making a profit once again. I doubt l will be tempted to invest further in TAIH. Nice to see something happening though, at last ;o))

[lyonst5] 25/8/2016 08:49

Reading between the lines. The company has now great oportunity for the future with its rebuilt and accredited factories but the war chest is empty and Mr Tao Ji smells this and wants in asap, before the cat is out of the bag and that it becomes known that Taihua's prospects have changed.

[zangdook] 25/8/2016 08:44

Why doesn't Tao Ji just buy the shares in the market himself? It would be cheaper for him and for the company.

[che7win] 25/8/2016 08:40

Has to go up from here surely.

[zangdook] 25/8/2016 08:38

So they'll have £500k to do a buyback. At current prices they can buy back ~1/3 of the company. Will the buyback push up the share price by much, or will the flood of people trying to get out hold the price down? I'm not sure how to judge that.

[lyonst5] 25/8/2016 08:15

Basically it reads like a rights issue to Mr Tao Ji at a premium to the previous share price and with the benefit that current holders can head for the door.
The RNS should be headed "Mr Tao Ji quantative easing or Mr Tao Ji helicopter cash."

[lyonst5] 25/8/2016 07:59

Mr Tao Ji could be increasing his stake upto 25% if the other shareholders are not interested in the offer. It seems like the board are to putting a line in the sand for the value of the business with the raised offer price.



The Company has entered into an Underwriting Agreement with Mr Tao Ji on the date of the Circular.

Pursuant to the Underwriting Agreement Mr Ji has committed to subscribe for up to 20,628,582 of Open Offer Shares at the Issue Price if any Open Offer Shares are not subscribed for by Shareholders in accordance with their Open Offer Entitlements.

In addition to the Underwriting Agreement, Mr Tao Ji has irrevocably undertaken to take up his full Open Offer Entitlements which are 1,882,305 Open Offer Shares. He has also made full payment for his Open Offer Entitlements to the Company as at the date of the Circular.



In 2015, the Company concentrated efforts on the re-application for the Chinese GMP certification. As previously announced, this has been achieved. This, combined with the renewal of the Company's Drug Production Permit, means that the Directors do not believe there are any regulatory barriers to the expansion of the Company's TCM products (including Bian Tong Pian) and sales of Homoharringtonine.



The Company's strategy for 2016 is to leverage the re-certification, paying particular attention to recovering its market share in sales of Homoharringtonine and in expanding its distribution of Bian Tong Pian.

[duplicate book] 25/8/2016 07:49

Can somebody please try to find the words and explain in plain and simple english just what this means exactly! Am l right in thinking the Company want to raise money from us shareholders so that they can then buy shares back? How will this benefit us in the short term if we buy the shares at the offer price? Ultimately, what effect will this have on the shareprice?

[lfdkmp] 25/8/2016 07:46

Robbing Peter to pay Peter!

[oxtail2015] 25/8/2016 07:19

Wow I can't find the words....

[caney] 15/8/2016 15:52

Sadly I couldn't make it in the end. I hope someone else did...

[duplicate book] 13/8/2016 08:14

Did anybody from here attend the AGM yesterday? Non of the usual 'all of the resolutions passed' RNS released during the course of the day? Any feedback or glimmer of hope would be greatly appreciated.

[my retirement fund] 12/8/2016 09:03

They wont have the faintest idea whats going on@

[my retirement fund] 12/8/2016 09:02

They will be as clueless as you.