Amerisur Resources Share Discussion Threads

[tonyrelaxes] 21/11/2019 17:49

Moscow's ahead of Leicester in more than time then Lucy!

The 48 page booklet we have is not the "Scheme Document". It is the "announcement" effectively the full RNS of the 15 November RNS.

It's here in full -


but on page 24 of the printed copy, about halfway down on the link just before the Appendixes, it says includes "Amerisur Shareholders may request a hard copy of this announcement by contacting Link Asset Services 0371 664 0321 ... or [e-mail] "

Lots of detail of the process - I've just not had the time yet to plough through it all.

[lucyp00p] 21/11/2019 16:52

A response from the registrars, even though Mrs Relaxes already has the document.Thank you for getting in touch.Unfortunately, we cannot send you the Scheme Document in respect of GeoPark Ltd's acquisition of Amerisur, as it has not yet been published.However, there was considerable information included in Amerisur's announcement on 15 November via the London Stock Exchange; a copy of the announcement is attached for reference. We expect the full Scheme Document to be published within 30 days of the date of Amerisur's announcement.

[lucyp00p] 21/11/2019 16:47

I am willing to bet serious money that somebody called M & P inviting a cheeky approach shortly AFTER they were called by Geo offering them continued control and influence over Colombia if they could facilitate a company sale. At the same time I will bet he told them the level of offer required to mature all the board's outstanding share options.Anybody interested in quoting me a price??

[tonyrelaxes] 21/11/2019 16:17

TD
I did read that. I interpreted it to mean "realized" value (in the event of a break up or sale).

When and what brought about the need to realise?
Surely not a the suggestion of a cheeky bid that was quickly rejected as not worthy of response.

[tyler durden1] 21/11/2019 15:08

Tony

the RNS originally gave the reason for the FSP, but it might make you choke?

A spokesperson for Amerisur said:

"The purpose of the competitive Formal Sale Process we launched on Friday is to MAXIMISE VALUE FOR SHAREHOLDERS. As well as the offer from Maurel & Prom, we have had a number of additional expressions of interest in the Company."

R&M seem to have little confidence, as they seem to be selling under the bid price

[bigwavedave] 21/11/2019 14:25

...although it's safe to say he's shafted us all.

[bigwavedave] 21/11/2019 14:17

I find it hard to believe anyone would marry him.

[lucyp00p] 21/11/2019 13:50

Is GC getting a divorce ?

[tonyrelaxes] 21/11/2019 13:34

Going back to the start, I keep asking myself what is the reason for seeking to sell the company? A markedly changed attitude from May's AGM when asked about any possible exit strategy.

It is producing oil, generating over £250,000 cash a day.
It has no debt.
It has loan facilities if needed.
It is fully funded for the announced multi drill program they proudly said would take place before 31 December 2019.
It has funding partners for exploration and development.
The BoD presentations and comments assured us they have created value in multiples of the offer they recommend.
It has great OBA capacity for revenue, transporting 3rd party oil (subject to Ecuador infrastructure and the purchasing agreement with Shell).

So,
Why the previously unannounced desire to sell the company and how is it beneficial for shareholders as a whole?
Why at all costs (i.e. requiring cash only offers)?

The only apparent blip is a BoD without oil experience or background (other than on the drilling side) and now without the desire to continue doing what they were hired to do, preferring to take their money and run, for their own motives sooner than those of their employers as a whole.

If the BoD feel they haven't got the stomach or aren't up to it, the best interests for shareholders (which includes themselves!) is for them to agree to step aside sooner than risk being pushed, with the ensuing damage to reputations (and egos!). That would allow for an orderly search and appointment of professionals with proven oil experience and expertise, willing and able to run the company (as opposed to run it down!).

[rollthedice] 21/11/2019 13:11

It's also worth noting that all the irrevocable undertakings lapse if the scheme or takeover offer documents are not released within 28days of date of the announcement (15 Nov) unless both Geopark & Amerisur both agree a different date.

[thegreatgeraldo] 21/11/2019 13:05

If another company comes along with an offer starting with a "2", that "irrevocable undertaking" won't mean very much

[rollthedice] 21/11/2019 12:51

No unless Geopark wanted some IIs onboard prior to making the bid although why Michinoko wouldn't give themselves an 'out' is strange.

Unfortunately to me that indicates there won't be a white knight bidder nor that IIs would be so upset, as some have suggested, with management that they would kick them out if Geopark bid failed.

19.21p at the moment is better than the alternative IMHO however bitter that pill is to swallow.

[tyler durden1] 21/11/2019 12:38

roll. Thanks for pointing out the soft undertaking from Cannacord, but it still leaves a chunk left from Mich.

Can you see any reason why a major holder would before its announced to shareholders agree IRREVOCABLE UNDERTAKING for a bid of 19.21p when doing so might prevent another bidder bidding substantially more?

[rollthedice] 21/11/2019 12:20

Tyler, you won't hear a dissenting voice from me on that point they've clearly got some IIs onboard prior to releasing details to the market.

I would however point out that Cannacord's support is NOT irrevocable in the event of a higher bid being tabled as stated in Appendix 3:

"The irrevocable undertaking given by Canaccord Genuity Wealth Management shall also lapse if a third party announces a firm intention to make a competing offer for Amerisur on terms which represent an improvement of not less than 10 per cent. of the value of the consideration offered pursuant to the Transaction which is not at least matched by GeoPark."

I'd also point out that these undertakings undermine the 5Percenters plan to reject the deal if you believe it stops other bidders as the default is more of the same from a BoD who have clearly got some IIs in their pocket to block management change.

[tyler durden1] 21/11/2019 12:12

roll

with this comment about no other bid on the table presently. How can any other bidder bid if so much of the company via Cannacord and Michinoko is subject to an IRREVOCABLE UNDERTAKING TO SUPPORT THE GEOPARK BID at 19.21p.

That is a stitch up?

"The Transaction follows from a strategic review including a formal sales process announced by Amerisur on 19 July 2019 under the Takeover Code (the "FSP") to MAXIMISE VALUE FOR SHAREHOLDERS."

So why would anyone give an IRREVOCABLE UNDERTAKING TO SUPPORT a 19.21p bid when it effectively precludes a higher bidder stepping forward?

With over 23.8% of the shares committed to the Geopark bid come what may, it would preclude anyone bidding wouldn't it! Darn near makes another bidder impossible.

[wskill] 21/11/2019 12:08

Cannot believe that AMER an exploration and production stopped drilling not lack of funds that is sure,reasons know only to those who will have the most benefit at a guess .

Cannot see any problem holding and voting against this deal we are producing around 6000 BOPD this must have more value than the present share price .

[rollthedice] 21/11/2019 12:06

No-one's talking the business down, quite frankly no-one needs to. There is only one offer on the table (presently) and the alternative to accepting it is more of the same under performance that we've seen for years now.

If another bid is submitted great. If the 5% can quintuple with IIs on board and with the numbers to change management great otherwise rejecting deal is just consigning holders to years more misery and lost opportunity costs if not capital loss.

So the 5% need to demonstrate how we'll be better off / get change if people like me are to vote with you. Moral outrage (justified) isn't a good enough reason IMHO.

[quidnunc] 21/11/2019 12:05

What did Rex know that caused him to go? Why didn't he sell out at 60p?Why did the drilling program stop? All the auguries were good and the pipeline in place ready to take the output. What is JW's future status in relation to Amer and the prospective buyer? Why did the OBA never get used to full capacity despite millions spent on improvements and infrastructure. ?What happened to the money generated from oil sales ? Why would a large shareholder bond themselves to a particular price? Given all these discrepancies and unexplained events is it any wonder that some suspect that the deal on the table is twinned with a sub-Rosa deal of some sort ?Q

[quidnunc] 21/11/2019 11:16

I've been in this company since before the last time small PI's got together to challenge the board and the lessons of that adventure are not lost on me. Since then the company has presented itself as successful and well run, allowing the directors to award themselves huge rewards in the way of options etc Yet suddenly, for no particular reason, the music stops and the company is put up for sale. From that moment on the share price is held below 20p, all exploration activity stops. The company does not even enter the next round of bidding and this BB becomes swamped by posters talking the whole business down and burying any contra posts in the process. It doesn't just smell, it stinks. We are the Turkeys and it's nearly Christmas Q

[tonyrelaxes] 21/11/2019 10:57

Moneylender has so far been informed of 100M shares prepared to vote against the SoA. This is from emails of over 100 PIs.

At more than 8% this is greater than all the Directors together and each II individually (on figures from the SoA document or latest Annual Report). The only single holding greater being Michinoko.

As a starting point there is now credible and serious impetus against the SoA, but more support is needed.

For those here who have not yet informed him of their support, please email your number of shares to [e-mail]

If you gave your shares in a BB post please send again via email clarifying. This will also give a means of communication and report progress 'off BB' if desirable.

Be assured that, other than the running total, individual holdings and identities are totally confidential to him alone.

Every share counts.

[tyler durden1] 21/11/2019 08:17

Dan de. how can another bid at more money be successful if its hampered by a restrictive irrevocable undertaking which then places millions of shares against any new bidder?

[dan de lion] 21/11/2019 08:14

Generally if the market thinks a takeover price is too low and that a counter offer is very likely, the share price reflects this by moving higher than the offer price, this is not happening here, if it does then that will indicate that another party is becoming interested, remains to be seen if this becomes the case.

[underhill2] 21/11/2019 07:54

I siy ur inglish is impruving innit !

[fsawatcher] 21/11/2019 07:21

kinwah

eggscellent post sirs

this ain t no omlete

this scrabbled innit

egg on face or nice souphfley