Capital & Regional Share Discussion Threads

[w1ndjammer] 03/9/2009 09:03

ojh

here is a copper miner with five producing mines, on care and maintinance
at the moment, and a very large smelter which is operating at full capacity
with ore shipments incoming from areound the globe. smelter capacity to increase another 40% in december with the same decrease in cost as the oxygen plant comes on stream. smelter profit 24% gutanteed for company.

now if you remove the smelter from the equasion and calc the copper reserves in the 5 mines. and compare against any copper miner listed on the lse
you will see that WTI have an share price 300% below its next rival then you need to add the smelter value about 30 mill

if you look on their bb you will see that somone did the calcs about a week ago
WTI is the stock

sorry for the O/T guys but not much happening here at the moment

WJ.

[1nf3rn0] 03/9/2009 08:57

oj,

short the banks if you think the economy is going down again. they will be first to suffer. simples.

[warmsun] 03/9/2009 08:48

The 'Big Boys' will (somehow or other) be keeping this down in an effort to try and stop the smaller investors taking up their shares under the Open Offer...shortly after the OO we will see this rise - but, as a holder, I would say that and may obviously be a tad biased.. imho, dyor etc.

I am taking up my full entitlement of over 110k shares. Good luck all holders.

[ojh2kent] 03/9/2009 08:44

i think you could well be right but where else do you think would be profitable in the short term?

[w1ndjammer] 03/9/2009 08:36

ojh

think you are 18 months to late mate

WJ.

[ojh2kent] 03/9/2009 08:00

i have 5k to put into shorts, CAL was going to be one of them but what do people think the short term gains (if any) could be? does anyone have any good alternatives for a small time shortster like myself :)? i currently hold 5k in QED which has done well since my buy in at 64p but i need to diversify!
thanks

[w1ndjammer] 03/9/2009 07:59

well my order is in for the open offer.
the last open offer i was involved in, over at lookers
there was no dealing charge, or stamp duty for the new shares.
be interesting to see if the same applies here.

WJ.

[spec7] 03/9/2009 06:35

It will depend on how far the share price drops between now and the 10th and how many cash in and over what period. I think it could take a month or two for the share price to settle. the problem short term will be the amount of holders who have taken the option but are only after a quick buck ! this will mean the True market value here will go out the window. I would like to see a return to 40p+ once the dust settles.
Fact is i can only guess like anyone else !!

[jenny tulwought] 03/9/2009 06:17

Recover to circa what (ish) Spec7?

[spec7] 02/9/2009 21:42

"And take into account severe weakness in the general market"

we shall see then ....
Personally i would be surprised if the company can pour shares in to the market at 24p and expect the share price to remain at 39p. i think you need to discount the rise to 98p which was driven by exceptional IE: the run up to results and PI's jumping on the gravy train. One look at the chart above will show that to be an unrepresentative spike while the underlining share price has been a round 40p.
I sold up on the Thursday at 08.00 but only got 55.2p as the market fell so fast but i have taken my full option at 24p.
I do expect it to recover in the week following the issue however,

[davius] 02/9/2009 20:08

> I cant see any reason why this will not go to 25p.

These shares were at 98p before the announcement. If you allow for the discounted rights, then breakeven for investors is around 48p. If you allow for the extra placing shares then breakeven as far as the enlarged company is concerned is around 39p. The fact that a large amount of cash has been raised should IMPROVE the financial position of the company compared to what it was previously. That it sits below that level is most likely caused by sellers and shorters leveraging their positions prior to receiving their new shares. And take into account severe weakness in the general market.

I can't see any reason why this will go to 25p.

[spec7] 02/9/2009 16:16

I cant see any reason why this will not go to 25p. but i think it will hld at 29-30p

[susiebe] 02/9/2009 13:59

Davius and whiterussians

I agree don't think it'll fall that far.Just watching for now..
thanks

[davius] 02/9/2009 13:58

susiebe, it's the price of the placing/rights issue. No reason why it should get down to that level though, unless investors think it's gone from being a sure fire winner a week or so ago, to being a basketcase.

[whiterussians] 02/9/2009 13:57

rights issue was at 24p so lot of that is profit for peeps to take

[susiebe] 02/9/2009 13:43

mreasygoing

why 24p?

tia

[rgolding1978] 02/9/2009 13:42

this is dreadul.

[rgolding1978] 02/9/2009 11:13

I wonder if Sk ever closed his 50p long position when this dropped.

[wongman] 02/9/2009 09:45

my mistake, apologies

[mreasygoing] 02/9/2009 09:13

Wait for 24p !

[kibes] 02/9/2009 09:06

wongman - 2 for 1 to shareholders yes. But an additional 2 for 1 in the placing and open offer making 4 to one overall.

original shares 70 million

post offer with new shares total 350 million.

[wongman] 02/9/2009 08:47

kibes, 2 for 1 issue.

[kibes] 02/9/2009 07:26

Hungry Wolf - I am not very encouraged by what happened to Workspace (WKP) when they did a 5 for one rights issue earlier this year. The shares dropped to the rights issue price and stayed there for a month or so. Since then it has has taken several months for them to double. CAL has done a 4 for one issue and may get the same treatment. I agree with you MNR looks a much better bet for rapid upside as so far it hasn't had any kind of dilution.

[hungry wolf] 01/9/2009 20:37

Do you seriously think that the expected 10 to 15% correction on financials will not have an impact on this stock?

Dow closed 2% down. Does that not bother anyone here?

Keeping a close eye on this for re-entry, also MNR & EPO