Amigo Share Discussion Threads

[dexdringle] 07/3/2022 22:04

The whole "19 for 1 and existing shareholders to be left with no more than 5% thing" is just plain stupidity. It makes no sense. The driver is the amount of 'new money' required to make the thing work. Given that there are 475 million shares in issue, they will have to issue 9 billion new shares. Even at 1p each that would be £90 million. Then again, perhaps that is the plan ? Perhaps with a 10 for 1 consolidation at the same time - so there are then circa 950 million shares in issue ?

You can be sure that the offer price of the new shares will be set to target a specific £ amount. If that figure is £90 million then the new shares will be 1p each...

[spirito] 07/3/2022 19:31

It's 19 to 1. More money for pot if share price higher

[chinese investor] 07/3/2022 18:50

All Good !

[telbap] 07/3/2022 17:16

Just logged in......yummy.

[dexdringle] 07/3/2022 15:35

Well, at say, 4p a share rights issue they'd only need to issue 4 shares for every 1 current share, say 1.2 billion new shares, to raise £70m.

So, more like an 80% dilution than a 95% one ?

[chinese investor] 07/3/2022 14:41

£70 million to be raised by equity.

[johngt_uk] 07/3/2022 12:59

I think that the proposal was for 19 shares to 1 as a rights issue. Amigo might have to be careful in changing any numbers as FCA might look on it negatively. That said they would be at on a larger cash pile. What they can do is limited per FCA message but after careful monitoring for 9 months and shrewd usage of the funds it might be returned to the share holders in a few years.

[dexdringle] 07/3/2022 11:53

If the share price is higher is not the dilution massively less ?

[bbmsionlypostafter mk2] 07/3/2022 11:27

Just for the record, share price is 6p as this is posted.



The FCA has today indicated that it will not object to the proposed recapitalization and customer redress package proposed by loan shark Amigo (AMGO) but there are a few horrid caveats and a near doubling of the share price to 6p is quite literally insane making this a slam dunk short. Here’s why...

[chinese investor] 07/3/2022 10:45

It's also My Share For 2023 !

Just look at the potential - 86,000 customers !

Even at £500 annually profit from each of them that is twice the Cap !

[spirito] 07/3/2022 10:04

yes, me too, just wish it hadnt been for 2020 and 2021!

[chinese investor] 07/3/2022 09:52

My Share For 2022 !

[spirito] 07/3/2022 09:46

er. sure they do. the so is priced for the dilution. x20 it's at about 90p, so well under previous highs. smaller business of course etc.

[supercity] 07/3/2022 09:06

Very lucky - buying on a Sunday aswell ;-)

[chinese investor] 07/3/2022 09:05

Very lucky as it was Sunday !

[letmepass] 07/3/2022 08:57

Just bought a shed load yesterday, lucky or what

[supercity] 07/3/2022 08:45

Those buying today obviously don't understand it will result in massive share dilution at a price much lower than todays

[bigmkl4] 07/3/2022 08:42

Sounds pretty positive.
Roll on Xmas!!

[oi_oi_savaloy] 07/3/2022 08:18

I think that's as positive an RNS you could ever wish for, bearing in mind the FCA content.

[spirito] 07/3/2022 07:28

that's as close to FCA rubber stamp as you will get!

[spirito] 07/3/2022 07:27

errr no. lending no later than 9 months, not after 9 months.

[terminator101] 07/3/2022 07:16

So another 9 months before they are allowed to start lending huh. Can they survive until then?"expect the return to lending to have taken place no later than 9 months after the New Business Scheme Effective Date"