Capital Share Discussion Threads

[gleach23] 20/8/2020 16:25

Good to see available stock reduced to 15k towards the end of the day. It had been up to about 225k earlier. Decent demand apparent on the Bid side. Perhaps we'll see some late volume reported.

[rivaldo] 20/8/2020 16:03

Thanksfor the info on the holdings in Graphex and Allied Gold ds2 - I'll update the header post at some point.

[qs99] 20/8/2020 15:25

Wonder if this will get decent write ups in usual tip sheets.....am somewhat surprised at under-whelming increase in SP!

[dangersimpson2] 20/8/2020 13:26

Allied gold is a 3% stake via a convertible loan but will already be in the unlisted securities:

[dangersimpson2] 20/8/2020 12:46

Graphex did a 1-1 RI recently that was partially underwritten by Capital DI Limited which I believe to be a subsidiary of CAPD.

Capital DI's rights were 5,842,067 shares which suggests that they owned that many pre rights and double that post rights.

We have to assume they also took up their 33.59% of the 33,072,192 shortfall = 11,108,949 shares.

Therefore their total holding would be 22,793,083 wrth about $0.8m, although the majority of that value was cash they put in recently post balance sheet date.

[qs99] 20/8/2020 11:43

Thanks Riv, really very much appreciated.....one of those new contracts would do nicely!! and I like their expansion into ancillary services

[gleach23] 20/8/2020 11:35

Thanks rivaldo - good stuff

[rivaldo] 20/8/2020 11:25

Me :o))



A few great snippets - the upside here in a bull market for gold is truly transformational:

- a new Load & Haulage contract is usually worth $40m-$50m per annum per contract
- CAPD are tendering on "multiple" such contracts
- the H1 57% utilisation rate could be 65% in H2 and 75% next year in a strong market
- there are 40 idle rigs. These could each earn $2m, i.e up to $80m more per annum
- on top of positive w/cap in H2, H2 is normally more cash-generative than H1
- the high H1 tax charge should reduce to 25%-30%
- I also noticed additional investments in Graphex Mining (GPX on the ASX), and Allied Gold to those in my thread header post - will have to investigate

The overall tone was extremely bullish, particularly re the recovery of exploration, the renewed scoping of gold resources previously uneconomic, the tendering opportunities etc.

[qs99] 20/8/2020 11:09

anyone listen in to the call?

[qs99] 20/8/2020 09:37

Presentation makes good reading.

Didn't realise either that very nearly 90% of shares are held by Founders, Directors or Instis, so PI buying / selling will move it materially.....DYOR

[qs99] 20/8/2020 08:30

hopefully these results will allow the seller to foxtrot oscar quickly and new insti or holders come on board for the move through a quid.....DYOR

[deanowls] 20/8/2020 08:16

Some of capital moving to assets, at 2m a rig you can see the increase and these are prepaid. A busy fourth quarter to come and they must have some visibility of this as it is just around the corner.

[qs99] 20/8/2020 08:14

Agreed with that.

EV at say $100m after cash/investments (note they realised $1.5m in cash flow so they are bringing some into cash) and say even $25m EBITDA for full year (why not), then 4 X is the wrong multiple IMO in a bull market....DYOR

[gleach23] 20/8/2020 08:14

Can hardly sell a bean, can buy over 180k as far as I can make out. Life in the seller yet? Would love to see a large closing out trade sometime today.

[spooky] 20/8/2020 08:11

Assuming the gold price stays in this general range then the numbers going forward are going to boom as their business model plays out. There are likely to be a string of trading ahead RNSs as rig utilisation improves and ARPOR increases.

[qs99] 20/8/2020 08:06

strategic investments valued at $23.2m.....

Net cash as Riv says should reverse H2 & let's say net cash of $10m

Market cap c.$130m

EBITDA $15.4m for H1

DYOR but EV/EBITDA which should continue to lower looks the wrong price! Even at a quid

[shanklin] 20/8/2020 08:00

No commentary on the unlisted holdings. One for the Conference call?

Obviously Mali not going to help.

[gleach23] 20/8/2020 07:59

Firing on all cylinders and in a sweet spot. Set up for increased utilisation especially after the impressive migration to West Africa in last 2 years. Just hope Mali settles down and doesn't become the next Tanzania.

[celeritas] 20/8/2020 07:49

Cracking update, just imagine it without C19.

[smartmoney100] 20/8/2020 07:42

This one's a keeper

[catsick] 20/8/2020 07:38

Excellent results and now they have quite an investment portfolio building up, a larger fleet of rigs still under-utilised and lots of growth propects whats not to like !

[rivaldo] 20/8/2020 07:20

Wow - 10c EPS in H1 alone :o))

Of course, that includes the investment gains. But even without those gains, EBITDA jumped to $15.4m from $12.7m.

The icing on the cake would have been for net cash to climb even further, but working capital movements denied that - these will reverse in H2, so the year end cash position should be back to $8m-$10m or perhaps much more.

So many positives - non-drilling services are increasing fast, exploration activity is picking up etc.

Tamesis' Partners 100p target must be in sight of being reached soon imo, especially with the large seller gone.

[dmdmdmdm1] 19/8/2020 17:13

A nice bump on news of news :)

[miti 1000] 19/8/2020 10:04

Tried to buy another load at 73.5p 15mins ago...didn't get filled of course ,just wanted to move it up anyhow.

[qs99] 19/8/2020 09:57

off she goes