Capital Share Discussion Threads

[podgyted] 11/5/2023 22:33

I think Capital needs to show it is willing to divest chunks of its investment portfolio when the opportunity arises. Cannot see any reason not to liquidate its Allied stake. Would please the market IMO. If they hang on, more questions will be asked.

[rivaldo] 11/5/2023 07:47

Good news overnight from Golden Rim's Kada project where CAPD are the contractors, with new targets identified and more drilling to come:



"Golden Rim’s Managing Director, Tim Strong, commented:

“Discovering gold at the Sadan prospect confirms our view that Kada still has a significant amount of gold ounces to uncover. We feel we have only scratched the surface when it comes to Kada, with 930,000 ounces at Massan across a 1km strike, and another very attractive target in Bereko, 9km to the north. We are now focussed on filling in the gaps across Kada’s 15km long bedrock gold corridor, and we are confident this will uncover further zones of mineralisation and underpin Resource growth.

“Recent RC results at Sounkou1 (17m @ 1.3 g/t) and now promising aircore results at Sadan and Massan South are proof that Kada is a substantial gold deposit, and we look forward to using these new results to drive targeted exploration forward.”

Kada Exploration Drilling

Golden Rim’s 3,000m AC drilling program targeting new discoveries is now complete, while its 3,500m DD program testing open mineralisation and providing structural information commenced in March 2023 is ongoing. In addition, Golden Rim recently completed a 10,000m RC drilling program at Kada which comprised exploration drilling at the Bereko Prospect and north of the MRE area within the Massan Prospect, as well as some resource extension and infill drilling around the margins of the MRE."

[phillis] 10/5/2023 08:33

AJ Bell don’t prefund divis
Last time I asked CAPD paid a $ cheque drawn on Barclays Jersey
It tales 5+ days to clear

[adamb1978] 10/5/2023 07:44

Dividend landed in my interactive investor account yesterday!

[gleach23] 09/5/2023 13:25

Phillis....nearly fell off my chair last week when I realised AJ Bell credited my account with the SOM dividend on the day it was due, so there is hope!

[chrisdgb] 09/5/2023 13:23

Geodrill Q1 out today, look good, bodes well.......

[rivaldo] 09/5/2023 12:56

New article today about the Allied Gold IPO, mainly in relation to its Desert Gold operation:

[phillis] 09/5/2023 11:27

woinder how long it will take for AJ Bell to convert the dollar cheque and post the divi

[hpcg] 08/5/2023 08:39

half debt reduction, half buy backs for me, unless there is another big mining contract to fund. In that sense I'm also happy if it all goes against debt. I too think the holding should be cashed in more or less at the first opportunity, though probably in the after market, depending on the gold temperature at the time.

[deanowls] 05/5/2023 13:40

Hi chill pill,

Those guys that write these know their stuff and are well worth listening to about where to look rather than just the headlines that companies give a nice positive spin.

Those that run the companies never start with, oh we’ve had a terrible year and we’ve let everyone down do they. They’ll spin as much as they need to.

[adamb1978] 05/5/2023 10:16

Thanks chillpill. I'm actually more aligned with that quote which you've posted. There really isn't any basis for them retaining that position and for a publicly-listed-Allied, there really isn't much upside or downside from having Capital in the shareholder base.

Has anyone else lobbed in questions on this matter and the share buy back for the AGM in a couple weeks?

[chillpill] 05/5/2023 09:54

Below is one viewpoint. It is probably written by some journalist who has never run a company before….easy to be an armchair critic.


I’m happy to run with JB’s view although it does probably make sense to take some money off the table.


“The language here is a little unfamiliar to UK investors, but if the pre-raise valuation is $1.2b, then that means the $18.6m for CAPD's stake, with maybe more to come if the stock ends up trading at a premium to NAV in the short term.

This could easily see a paper gain of at least $10m. But we’d really like them to crystalise some of that gain soon. With debt costing them 10%, the ability to buy back shares at an EV/EBITDA less than 3, or deploy capital to win more long-term contracts, they potentially have better use for the capital. There should be little worry that selling their stake would impact their contracts. That they were willing to support Allied financially in more difficult times, we suspect buys them a far stronger working relationship than holding around 1% of the listed company.”

[tonytyke2] 04/5/2023 16:02

Why oh why, the small after hours UT trade again.........

[johnrxx99] 03/5/2023 07:55

Thanks gleach23

[gleach23] 03/5/2023 07:22

The headline share price was artificially showing as up 5% last Friday due to a closing UT of 5 shares @ 99.8p when the spread was 94.6-99.6. Back down 5% yesterday as a result but no movement in reality - a bit like today so far!

[johnrxx99] 03/5/2023 07:07

Well ADVFN and Sharescope show it as 5%. Whatever.

[rivaldo] 03/5/2023 06:51

The opening range yesterday was 94.2p-99.6p, and the closing range was 94.6p-99.6p. I can't see where there was a markdown!

Hopefully today's news will see a mark up....

[johnrxx99] 03/5/2023 06:40

So why the markdown yesterday, just MM's trying to get stock?

[rivaldo] 03/5/2023 06:19

Yep - at that valuation the crystallised Allied Gold investment by itself would equate to more than 10% of CAPD's m/cap:

[catsick] 03/5/2023 06:07

Nice update on allied holdings which at 1.55% of a pre money 1.2bn valuation should show a nice 11m usd profit

[rivaldo] 02/5/2023 12:14

Hopefully the PR for Allied Gold's IPO will bring more attention to CAPD. Given the huge undervaluation here already (imho!) the injection of an instant additional £20m or so of liquid funds to the valuation is not be sneezed at.

Looks like a positive review for CAPD here from HotStockRockets (subscriber only):



"Capital Limited – Q1 2023 trading update, another record year ahead?
By HotStockRockets | Thursday 27 April 2023

Mining services company Capital Limited (CAPD) has issued a first quarter of the year trading update, emphasising “a solid platform to achieve another record year milestone for 2023” and helping the shares to currently 99.8p."

[hpcg] 29/4/2023 13:18

Thank goodness Allied are listing in the US. Anyhow, the reverse takeover process is a good one for us as it looks like it will provide hypothecation into tradeable shares instantly.

[deanowls] 29/4/2023 05:06

Adam, whatever the current leadership believe is best I will give them the benefit of the doubt. Their capital allocation over the last 8 years has been fantastic.

[adamb1978] 28/4/2023 21:07

hi Concentrate

Yes, thats an alternative. Whichever is most tax efficient, but the point remains that they should be passing this back to shareholder rather than retaining it. The company doesnt need the capital (pun intended)

Adam

[concentrate] 28/4/2023 19:48

If it’s close to being 10% of market cap, we must be close to ‘dividend in specie’ territory?

Doing this would both validate the strategy, and allow investors to make their own call.

Only major concern is the different stock exchange.