Blackstar Share Discussion Threads

[canscott] 28/11/2007 12:05

937,000 stg being returned via selling an investment:

[gac100] 30/10/2007 09:17

The acquisition of Global Roofing Solutions by Kulungile Metals looks good. Blackstar evidently think so having provided £8 million equity funding and planning to ratchet up its investment in KM from 49% to up to 75% in due course. Blackstar's investment in ADreach took me by surprise, the Media sector being a departure from previous sectors. However, it looks a shrwed move with central government restrictions on billboard advertising space and local government granting ADreach exclusive use (and regional monopolies) of the street poles. I like that longterm basis of 12+ years in some cases. The icing on the cake for the next few years is the opportunities presented by South Africa's hosting of the 2010 soccer world cup. All-in-all a very nice RNS I'd say!

[rambutan2] 30/10/2007 08:48

30 October 2007

Blackstar Investors plc ('Blackstar' or the 'Company')

Investment Update

Kulungile Metals Group ('KMG')

The Company is pleased to announce that Kulungile Metals Group, in which
Blackstar has a significant stake, has today agreed to acquire Global Roofing
Solutions (Propriety) Limited ('GRS') ('the GRS Acquisition') via a leveraged
buy-out for a consideration of R190 million (£14 million).

Of the total consideration of R190 million, R80 million (£6 million) will be
made up of debt, provided by ABSA Bank Limited, with the balance of R110 million (£8 million) provided as equity funding by Blackstar. Following the completion of the GRS Acquisition, Blackstar's total investment into KMG will be R259 million (£19 million).

Blackstar will continue to hold 49% of the ordinary share capital and all of the preference shares in KMG. KMG will have three years to pay back the preference shares held by Blackstar relating to the GRS Acquisition. At the end of three years, Blackstar will ratchet up its investment in the ordinary share capital from between 49% to between 60% and 75%, depending on the amount of preference share capital repaid to Blackstar at the end of three years.

Initially Blackstar acquired KMG with the view to it being a platform to acquire other strategic assets and thereby transforming KMG into a substantial steel focused industrial group whose operations span the African continent.

GRS consists of two leading South African metal roofing manufacturers as well as one of the only steel coil paint lines in South Africa. It is one of the biggest metal roofing suppliers in Southern Africa. GRS exports to over 15 countries worldwide and has established itself as a global supplier of roofing products. In the past two years GRS's exports into Africa have increased substantially and the continent is a high growth market for the group.

The successful GRS Acquisition would substantially increase the size and margins of the KMG group and would give the group a global footprint. GRS has the capacity to expand and is opening a factory in East London to service the Coega Industrial Development Zone. Coega is South Africa's premier location for new industrial investments covering 11,000 ha of land. The new factories to be built will all require roof cladding and other steel requirements which the combined group can provide.

The roofing sector of the steel market has been growing at 25% p.a. in South
Africa for the past two years and this is set to continue. Demand is also
growing from Africa and GRS have a number of large contracts in Africa. GRS is
ideally positioned to take advantage of infrastructure projects currently
underway on the continent. GRS is one of the few producers of high end durable
roof sheeting and this will be used in the soccer stadiums, factories and Coega
amongst other uses. GRS exports to over 15 countries worldwide and has
established itself as a global supplier of roofing products, in the past two
years GRS's exports into Africa have increased substantially. Through its broad
South African design and manufacturing base, GRS is in the process of
establishing manufacturing facilities and licensees throughout Africa, thereby
fully utilising its expertise and technology in other countries on the
continent.

In relation to the GRS Acquisition, Andrew Bonamour commented: 'There are a
number of synergies, cost savings and economies of scale that will come from the acquisition. KMG and GRS can springboard off each other and gain access to areas where they were previously weak and particularly in other countries on the African continent that are experiencing a high demand for steel products.'

ADreach Group (Pty) Ltd ('ADreach')

In addition, the Company is pleased to announce that it has agreed to acquire
15% of the ordinary share capital of ADreach along side highly regarded and well known businessmen such as Cyril Ramaphosa and Jonathan Beare for a cash
consideration of R37.5 million (£2.8 million).

ADreach is an international media enterprise that specialises in outdoor
advertising. ADreach is recognised as one of South Africa's largest outdoor
media owners, boasting significant black economic empowerment credentials and a
presence in the local and global outdoor media industry.

In South Africa ADreach operates in a unique segment of the media market
offering outdoor advertising mainly through the use of Government owned street
poles. ADreach utilises street poles on high traffic volume routes and strategic locations to place their advertising space. Contracts for these street poles have been secured with the South African local government which grants ADreach exclusive use of the street poles on a long term basis, in some cases for the next 12 years with the option to renew the contract at the end of the period. This gives ADreach regional monopolies in this type of advertising space.

The audience for outdoor advertising has grown significantly in recent years as
people become increasingly urbanised. This trend is particularly strong in the
developing world like South Africa, where people are migrating in growing
numbers toward large urban centres.

Furthermore, people are becoming more and more mobile and are spending more time outside of their homes, whether driving or walking on the street, or in trains, railway stations, or airports. Outdoor advertising displays have rapidly developed in city centres, along highly-traveled roads, in airports, shopping malls, supermarkets and car parks. Supported by this phenomenon of increased mobility, the audience for outdoor advertising will continue to grow in years to come.

As many studies show, outdoor advertising continues to benefit from the
increasing fragmentation of 'in-home' advertising, where increasing numbers of
cable, satellite, and broadcast television channels, as well as Internet sites,
compete for the viewer's attention.

In this environment, outdoor advertising becomes the only mass medium that
consumers will find difficult to avoid, leading to significant opportunities for growth, thereby rendering it more attractive than traditional mass media. This can be seen by the growth in outdoor advertising spend as a percentage of total advertising spend from 3.5% in 2003 to 6% in 2007. This growth is likely to be further entrenched by the build up to the 2010 soccer world cup.

Andrew Bonamour, Managing Partner of Blackstar Managers, stated: 'World wide
media assets are scarce resources and therefore highly sought after which
generally command high premiums due to the high barriers to entry. In South
Africa the government has restricted the amount of advertising space available
on billboards. ADreach is an attractive company boasting significant BEE
credentials which Blackstar will use as a platform for ADreach to develop and
grow into a significant, diversified media enterprise.'

[rambutan2] 26/10/2007 11:02

26 October 2007

Blackstar Investors plc ("Blackstar" or the "Company")

Trading Update and Fundraising

The Directors are pleased to announce that Blackstar has now invested or has
committed to invest approximately 87% of the net funds raised in 2006. The
Directors believe that the net asset value as at 30 September 2007 exceeds the
127p per share as reported in respect of the period ended 30 June 2007.

South Africa's economy is anticipated to continue to grow with significant
investment within its infrastructure. Blackstar has already demonstrated a
strong track record of successful investment within sectors and industries that
are expected to benefit from this infrastructure spend. In addition, Blackstar
continues to have a pipeline of attractive opportunities for further investment
within the South African economy. As a result, the Directors are currently
considering raising further funds for investment. This is likely to be in the
form of a new class of share which will invest in its own pool of assets to
avoid dilution to existing shareholders.

Julian Treger is devoting more of his time to developing Audley Capital and is
therefore unable to commit as much time to Blackstar as hitherto and has
therefore moved to become Deputy Chairman. He will be actively involved in the
current fundraising and remains committed to the Company's success.

John Mills has been appointed Chairman. John Broadhurst Mills, aged 38, has been a non-executive director of Blackstar since December 2005 and has been actively involved in implementing its strategy and developing its portfolio of
investments. He obtained his BCom and LLB degrees at the University of
Stellenbosch in South Africa. Qualified as a South African advocate and an
English solicitor, he has worked since 1991 for Maitland, a legal, fiduciary
asset management and fund services firm. He is currently a director of Maitland Luxembourg SA and of various Luxembourg and ISE listed investment funds. Mr Mills has extensive experience in planning, implementing and administering international structures, particularly in his core areas of expertise which are offshore investment funds, international estate planning and structuring for both private and corporate clients.

[canscott] 13/9/2007 08:57

Bought in 500k shares, should keep the share price up.

[rambutan2] 11/9/2007 22:27

yes, good interims and update...

Blackstar Investors H1 pretax profit 20.8 mln stg vs 727,000 stg


LONDON (Thomson Financial) - Blackstar Investors PLC said its first-half pretax profit rose as results were boosted by good trading opportunities and a buoyant South African market, adding that it continues to look at growing the business both organically and through selected acquisitions.

The company, which invests in black empowerment enterprises in South Africa, posted a pretax profit of 20.84 mln stg for the six months-to-June 30, against 727,000 stg last year.

It said it made an investment gain of 25.5 mln stg over the period and its
net asset value (NAV) rose to 127 pence per share from 93 pence.

[canscott] 11/9/2007 16:19

Uhm, meant Illuminator not Tamaris; that was another dead dog.

[canscott] 11/9/2007 16:18

Good trading update. Perhaps we will get to my average, restructured from Tamaris, of £21.00 after all. Mmmmm!

[rambutan2] 04/9/2007 08:41

"This is a truly historic BEE transaction," said Anglo American CEO Cynthia Carroll who is thought to have made the fast-tracking of Anglo Platinum's empowerment strategy top of her list since taking over the group in March.

"[It] will fundamentally transform the South African platinum industry through the creation of two major independent HDSA managed and controlled PGM producers," Carroll said in a statement.

If the deal ends more than three years of uncertainty for Anglo Platinum, it is positively momentous for Mvela Resources.

Following the sale of the stake in Booysendal by Anglo Platinum to Mvela Resources, which already owns half of the 112 million oz PGM prospect, it will on-sell the entire 100% in Booysendal to Northam Platinum in return for 125 million shares worth R6.25bn.

Together with the 22.4% of Northam it has bought from Anglo Platinum, Mvela will then control 63.4% of Northam Platinum.

Completion of the deal, however, partly turns on Northam Platinum shareholders agreeing to waive the right of a mandatory offer by Mvela for the rest of Northam's share capital.

In Northam Platinum's hands, there is a strategy to quickly develop Booysendal in a proposed R4.5bn project which may begin production in 2010 and help double Northam's output to an estimated 650,000 oz from the current 325,000 oz.

"This is a landmark transaction in the platinum sector," said Lazarus Zim, chairman of Mvela Resources and Northam.

"[It will] result in the creation of the fourth largest, independent and black-controlled South African PGM producer, controlling the precious metals pipeline from mine to market," he said...

[rambutan2] 01/9/2007 23:30

JOHANNESBURG (Business Day) -- With a decline in the price of nickel and massive growth opportunities in the rapidly expanding southern African market, the South African stainless steel industry is in a sweet spot and set for rapid growth...

[rambutan2] 26/8/2007 01:27

South Africa's 'usual suspects'
David McKay
Posted: Wed, 22 Aug 2007
[miningmx.com] -- WHEN THE PHRASE "the usual suspects' is used in South Africa's black empowerment industry it's normally meant to identify Mvelaphanda Resources (Mvela Resources) and African Rainbow Minerals (ARM).

[rambutan2] 03/8/2007 01:53

NORTHAM Platinum cautioned shareholders on Wednesday (August 1) to exercise caution in their shares, a statement that is thought to signal the imminence of a long-awaited empowerment deal.

"A deal is imminent now," said a market source who added the protagonists in the transaction were Anglo Platinum, Northam Platinum, and Mvelaphanda Resources...

[rambutan2] 03/7/2007 23:26

At the Annual General Meeting of the Company held in Luxembourg last Friday,
the shareholders voted overwhelmingly in favour of all resolutions proposed.

Denis Worrall and David Brock elected to step down from the Board. The Board
thanks them for their contribution and will begin the process of identifying
suitable replacements.

Julian Treger as Chairman stated: "The Board is very pleased with the
performance of Blackstar Managers and believes they have done a great job in
investing or committing #54 million, approximately 70% of funds raised, to date.

Our funds have been well invested and, as of 31 May, the estimated net asset
value ("NAV") per share was GBP 1.26 before accrued carry. We estimate this to
have risen further due to the strong recent performance of the portfolio,
particularly York Timbers and Mvela Resources and a 30 June NAV estimate will be announced in the coming weeks. Due to the significant discount at which the
shares are currently trading, the Board has today approved taking steps to
initiate a share buy-back programme which should enhance the NAV further."

[rambutan2] 21/6/2007 14:43

noted some instit trades yesterday which pushed up bid to 100p - prob someone moving in and someone moving out. which good.

[wessie] 06/6/2007 15:18

Spongman - you were being done - I've just been offered £15 to £25.00 for my shares. When I told them they could have them for £3 cash they seem to lose interest. The company was Berlington Ltd in Canada, they reckon they are investment bankers, more like scam artist's. They said their tel No was 4189079965, not tried it to see if it is correct.
W

[wiganer] 06/6/2007 10:06

Sod the blues. Black power!

[spongman] 22/5/2007 23:03

Thanks DD, I'll have to check this one out further before I sign their 'Confidentiality Agreement' LoL.

... Just thought actually; they could buy them in the open market for so much less so where's the business sense in this. .... Think they musty have caught me off-guard to even think about it. LoL.


Regrds
$pong

[doobydave] 22/5/2007 18:24

An out and out lie. Recently heard of this scam - can't remember what the fall is, but don't touch it. Advice very much intended.
DD

[spongman] 22/5/2007 16:55

Hi guys,

Had some guy ring me up from Quebec says he wants to buy my shares for between 9 and 17 pounds for a private client. Seems a bit of a deal to me. Is it a known scam?

Regrds
$pong

[canscott] 26/4/2007 08:32

and now we have aquired some metals. Wood, metal....paper? Where will it all end.

[bronek1959b] 15/3/2007 07:13

another interesting investment today.seems this lot are getting their finger out at last.

[canscott] 30/1/2007 08:55

Hi pococ,

Sounds just like the LSE ay wot!!!

[poco a poco] 02/1/2007 17:50

Thanks canscott. Very useful and interesting. Slow BB isn't it !
Nice to know this thing still has a pulse.

Taken from the Amp*e BB............

Being ex-Zimbabwean, I have (pretty much) first hand knowledge of what the black empowerment thing is all about, and if done correctly, these guys could do very well in this game. On the other hand, it could be like so many other aspects of Africa - corruption, greed and taking advantage!!