Aquatic Food Share Discussion Threads

[bennie buffett] 30/9/2005 11:12

Consolidation is not at 5p but an institutional placing. Consolidation will just mean that 10 shares will trade as 1 share no reflection on the price.

[enewman36] 30/9/2005 11:11

Another Q, what is the point in buying these at 6p when the consolidation is at 5p, that is going to be an instant loss, arn't people better off waiting for the new company listing?

[wstirrup] 30/9/2005 11:10

Ay up, the price is heading North again...Mid 5.5p..:¬))

C'mon lads (and lasses)...with one more swift push we could be at 6p later today... :¬)))


W.S.

[wstirrup] 30/9/2005 11:09

Thanks Smudge...and barred.

Naturally I'm disappointed that we didn't get an instant rise this a.m., but the longer term prospects, now look much safer and surer.

Now if Mugabe could be persuaded to have a pulmonary embolism, or myocardial infarction, I for one would be sipping a glass of wine at his wake..:¬))

W.S.

[no1smudge] 30/9/2005 11:07

At Present The SHARES are UNDERVALUED. YES UNDERVALUED. WHICH eans there excellant value . My suggestion would be to canny investors is well blindingly obvious....as to what to do next

[enewman36] 30/9/2005 11:07

Thanks WS, I am not a short term trader on these, I have been with AFG for nearly 2 years now, however, I have bought into this company at the wrong times when I previously thought it was going places, so my average is about 9p. So with a consolidation at 5p my share value will be diluted quite considerably before the consolidation surely. Although granted, the current share price means it is diluted already.

Oh well, here's hoping for the future I guess :-)

[no1smudge] 30/9/2005 11:01

This is TRUE. Only dissapointment today can cloud the blindingly obvious

Most larger Institutions don't like low value shares with wide margins, they like larger prices with a more liquid market. In time I suspect we may step up to the main SETS system, and thus do away with the MM's controlling the price the way they do at the moment.

Everything os going to PLAN and better

[plunge] 30/9/2005 10:58

Good common sense posts from WStirrup and barred

Farewell to JT and his gang. The only one that now needs to go is Mugabe. His time will come, of that I have no doubt. It is just a question of when.

Good luck to all long termers. Short termers, my commiserations.

[1inamilion] 30/9/2005 10:57

I like this bit "It said it will become a cash generative exploration company after the Mwana purchase "

[wstirrup] 30/9/2005 10:56

Newman, the price has fallen to 5p because of the consolidation/placement price. Fine if you are in for the long-haul, not so fine if you intended selling them in the next few days.

When the NEW shares are admitted the the stock exchange, and the market begins driving the price again your 50p shares will probably rise to 70p, or 80p, or more...because you will be a shareholder in a larger corporation with producing assets in Zimbabwe, Democratic Republic of Congo, and Mining licences in DRC and Ghana. (which will mean next year there will be more money flowing into the company than flowing out...(hence a price rise)

Most larger Institutions don't like low value shares with wide margins, they like larger prices with a more liquid market. In time I suspect we may step up to the main SETS system, and thus do away with the MM's controlling the price the way they do at the moment.

[1inamilion] 30/9/2005 10:54

African Gold in reverse takeover of Mwana Africa
AFX


LONDON (AFX) - African Gold PLC has acquired major production, exploration and development assets in Africa with the reverse takeover of Mwana Africa Holdings (Pty) Ltd.

It said it will become a cash generative exploration company after the Mwana purchase with a new management team headed by Kalaa Mpinga as chief executive, Oliver Baring as chairman and David Fish as finance director.

Tim Wadeson will be the enlarged group's acting technical director and a non-executive director.

Mpinga, Fish and Wadeson all previously held senior management positions within Anglo American PLC.

African Gold is raising some 4.35 mln stg in a placing at 50 pence per share to finance the reverse takeover and to go towards working capital.

It is also proposing to consolidate its shares on a 10 for one basis.

Mwana has producing assets in Zimbabwe and exploration and development assets in the Democratic Republic of the Congo ('DRC'). In 2004, Mwana produced 30,000 oz gold at Freda Rebecca mine, and 10,500 tonnes nickel at the Bindura Nickel operation, Zimbabwe.

African Gold also said the acquisition brings opportunities to capitalise on new development and exploration opportunities across Africa and access to substantial acquisition opportunities in Ghana, Zimbabwe, The DRC and elsewhere in Africa.

The enlarged group will change its name to Mwana Africa PLC.

African Gold also released its results for the year to end-March today which showed a net loss of 532,316 stg compared with a loss of 245,586 stg.



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[enewman36] 30/9/2005 10:47

I apreciate the conversion, but if your average is around 7p then you lose out by nearly 50% surely (approx 40% actually). Plus there is no guarantee that the share price will rise after consolidation.

What am I missing here??

[barred] 30/9/2005 10:38

Morning WS,

Totally agree...........................looks as though they used my dastardly plan including the 1:10 consolidation...........now where did I leave that glass ball.............;-)

[barred] 30/9/2005 10:35

You will end up with a tenth of your current shares but they should be worth 10 x's as much

100k @5p = £5000
10k @50p = £5000

In other Companys where I have seen share consolidation you in variably get a rise in the share price following completion.

The price back in August was as low as it is now and look at the potential we have now....

[wstirrup] 30/9/2005 10:34

Morning Chaps..

Just finished reading the Accounts... Nothing in there looks too untoward..

Those chickens running round the farmyard shouting "The Sky's falling in" should pause for thought.

We will become shareholders in a larger group, which is already producing minerals of several sorts. The enlarged group will be able to weather any financial storms better, and the person who perhaps was holding up the progress of AFG most has now gone.

The price has dipped...but WHAT a great time to top up if you have the chance..anything sub 5p is a bargain..(IMHO) of course...

The Land hasn't changed, the mineral rights haven't changed, the $$$ hasn't changed, the GOLD price is still heading North, and having looked at the books the companies monies seem to have been frugally spent.

I think this will drive the company forward, raise our profile, get us into production much sooner, make it easier to raise capital for production, and give us some revenue for the forthcoming year.

If my opinion was asked as to the proposed takeover, I'd say "Bring it on!"..:¬))

But I'd be more than willing to listen to rational argument to the contrary...

W.

[enewman36] 30/9/2005 10:24

Depends on your point of view barred, if your average is above 5p like mine is then you will have been shafted surely as you will end up with a lot less shares after consolidation that those who average 5p or less!

(Is this right??)

[barred] 30/9/2005 10:13

Cannonfooder,
STOP SHOUTING!!

Only the institution who are getting the placement will pay 5p. Everyone else pays the market price..........think about it?

[barred] 30/9/2005 10:10

Consolidation at 1:10 will achieve a share price 10 x the price at consolidation ie 5p will = 50p...........after consolidation this will no longer be a penny share and will attract more institutional buys which usually results in an increase in share price

Imho we have not been shafted, its just going to take a lot longer to realise profits than before but the profits should be greater..........at least now we are a producer and the gold price is going to go through the roof.

[cannonfodder] 30/9/2005 10:08

WHAT SPAS ARE BUYING AT 5.5 WITH A PLACING TO COME AT 5???

FOOLS AND THEIR MONEY WHAT??

[shirishg] 30/9/2005 09:57

Post removed by ADVFN

[tin123] 30/9/2005 09:55

Surely we now own stock at a tenth of previous value, as share price has come back at around same price, but we are going to end up with 1 share for every 10 we currently own. Tell me I'm wrong or, yet again, have small investors been screwed

[bennie buffett] 30/9/2005 09:45

Maybe thats why JT resigned

[asmodeus] 30/9/2005 09:42

On the face of it, our shares have dropeed 20%. But - is this the price before the 10 for 1 consolidation? If not, does it not imply that the 10 shares we will have for every one we had are going to be worth 5p each? In other words are "old" shares have risen from 6.25p to 50p? Sorry to be so naive.

EDIT: No - sadly this is NOT the case. (Have just consulted a Broker.) So once again we have to hold on and hope that eventually we get some reward for our patience.

[ameer] 30/9/2005 09:39

The directors presented the results (the format) in a way that drives negative sentiment. They are either too stupid as not to see that or they want the share price price to go down. They were too quick to suspend the shares a few weeks ago, which also prevented a significant rise.