Caplay Share Discussion Threads

[malcolm2cox] 15/11/2005 11:34

With the new placing, TR, will know longer hold 9% as his has been diluted, Fabrizi must be the largest Holder.

[crosbie2] 15/11/2005 11:18

All buys ... says it all!

[malcolm2cox] 15/11/2005 10:02

At least the Directors have bought some themselves!

[dell314] 15/11/2005 09:48

That 40mln additional free warrants for directors is a bit disgusting IMHO.

Still, the NOMAD thinks it's "fair and reasonable", so why worry about it, eh??

I'm surprised Terry hasn't bagged a few, or got his option price lowered again.......

Presumably, most of these trades going through at 1.3p are Falcon Securities farming out the new stock to clients.

All IMHO, DYOR etc.

Rgds
dell

[rbonnier] 15/11/2005 08:03

Not good not good at all .I hope the directors dont get the opportunity to exercise their warrants.

[crosbie2] 15/11/2005 07:13

Issue of Shares

RNS Number:1237U
Caplay PLC
15 November 2005



15 November 2005

Contact: Patrick Claridge, Chief Executive
Caplay PLC [phone]

David Bick, Holborn [phone]

Roland Cornish [phone]

Caplay PLC ("the Company")

Fully underwritten issue of new ordinary shares and warrants ("the Placing")

On Friday, 11 November 2005, Caplay announced preliminary details of the Placing
to raise #1 million before expenses. The Company is now pleased to announce that
the Placing is complete and that application has been made for the 100,000,000
new ordinary shares (the "Placing Shares"), which will rank pari passu, with the
existing ordinary shares, to be admitted to trading on AIM. Dealings in the
Placing Shares are expected to commence on 17 November 2005. As part of the
Placing, the Company is issuing 100 million non-transferable warrants to
subscribe for new ordinary shares exercisable at 1p per share at any time during
the 36 month period following issue ("the Placing Warrants").

Each of the directors participated in the Placing. Anthony Fabrizi subscribed
for 5 million Placing Shares and Placing Warrants; Patrick Claridge for 3
million Placing Shares and Placing Warrants; Michael Feltham for 300,000 Placing
Shares and Placing Warrants; and Leo Knifton for 5 million Placing Shares and
Placing Warrants.

The directors are also being issued with 40 million non-transferable warrants to
subscribe for new ordinary shares exerciseable at 1p per share at any time
during the 36 month period following issue (the "Director Warrants") following
the cancellation of the existing share option schemes. These Director Warrants
have been allocated as to: Anthony Fabrizi, 9 million; Patrick Claridge, 13
million; Michael Feltham, 5 million; and Leo Knifton, 13 million.

All the directors have participated in the Placing and the Placing Shares and
Placing Warrants will represent a related party transaction under the AIM Rules.
The Company's nominated adviser considers that the terms of the transaction are
fair and reasonable insofar as the company's shareholders are concerned.

The purpose of the fund raising will be to provide working capital to enable the
management to identify and review suitable opportunities to implement a growth
strategy.








This information is provided by RNS
The company news service from the London Stock Exchange

[bbd2] 11/11/2005 16:22

Dell,

Read my post again and see what I said about liquidity !

[dell314] 11/11/2005 16:16

bbd2 - I made it very clear that my NAV figure was not an attempt at valuation but a NAV figure generated directly from unadjusted figures from the published balance sheet published today.

For you to say that "The funding issue is neither here nor there......", seems to be madness IMHO.

If directors believe their own stated NAV figure to be fair, why are they issuing new shares at 1p and giving away 100mln warrants exercisable at 1p as well?

If you don't consider PVTD liquidity to be an issue, why don't you phone an OTC market maker that trades PTVD and get a quote to sell 26mln PVTD shares? I have a feeling that you may get quoted rather less than $0.80 per share.

In summary, until we have some way of gaining a more reliable valuation of PVTD, any valuation of CLY is rather difficult....

All IMHO, DYOR etc.

Rgds
dell

[bbd2] 11/11/2005 15:57

RBonnier - or they know this situation will not last for long because .....

[bbd2] 11/11/2005 15:56

A spread sheet would be very useful indeed and, banter aside, I would be interested in seeing one in the header.

My point is that your valuation would have been more realistic if you stuck to the facts as we know them.

Just as it is stupid to create a NAV based on the potential share price of PVTD in 2 years time having sold PETS to every company under the sun, it is equally stupid to give PVTD no value at all when it's price currently trades between about 75C and $1.

The 1 year chart for PVTD can be found here:



While I accept your point about the liquidity of the index it currently sits on, this will be resolved when it moves shortly.

The funding issue is neither here nor there but it is interesting to note how the share price has been pushed down over the last few weeks.

What does interest me is the recent holdings RNS'S, the 1M trade today, the completion of the clearing of the decks exercise (accept for 1 remaining pub) and the hint from the company today that screams "undervalued".

This share is not for widows and orphans but for those happy to accept a little more risk for potentially massive returns. It is also not a share to be in for a quick buck. The patient will be rewarded IMHO.

[rbonnier] 11/11/2005 15:21

What is also of concern here is the fact that the directors will not be receiving any further salaries.Whilst that might be good for the balance sheet,I cant see Claridge or Knifton spending much time behind their desks for nothing!IMO it wouldnt surprise me to see one of these go.

[dell314] 11/11/2005 15:16

bbd2 - I clearly stated that my NAV calculation included PVTD at cost and did not account for the latest post balance sheet events, so there is no intention to mislead. It has to be said that Terry has been quite willing to chuck out a large number of shares and options at around the $0.40 mark. Are they really instantly worth double that?

If PVTD shares are so marvelous, why are CLY only able to raise new funding at 1p and having to chuck in free warrants as well??

Do you think it is realistic for CLY in their NAV valuation to assume that they could offload several million PVTD shares at the full quoted price?

At the end of the day, the NAV of this company depends almost entirely on the value of PVTD, which is currently very hard to determine and I wouldn't rely on a price quoted on a very illiquid OTC market.
FWIW, it should be relatively easy to create a spreadsheet that generates CLY NAV figures for a whole range of PVTD prices.
Maybe I ought to work out a NAV which values PVTD at $0.00 per share, just in case it is all an elaborate Terry Ramsden scam........

All IMHO, DYOR etc.

Rgds
dell

[bbd2] 11/11/2005 14:42

What a laugh.So for your NAV calculation the PVTD shares are only worth what they paid for them then Dell. How do you work that one out ?


BTW You can buy @ 1.31 and sell @1.30 on-line with BSL at the moment. Gaybriefs could be right about a bit of trading potential here.

[rbonnier] 11/11/2005 13:50

I thought the results were poor .100 million shares to be placed at 1p is pretty bad but what is terrible are these warrants at 1p.Jeez this will be at this level for ever and a day with countless sells at 1.1p and above hitting the bid.Sorry to have to say but I think its a dud unless youre prepared to invest for a very long time for me it might be time to cut losses and move on all imo dyor.

[dell314] 11/11/2005 13:49

m1dge - Ignoring options and the 100mln new shares, 180mln is the number I used for my figures and is supported by the most recent holdings notification.

Rgds
dell

All IMHO, DYOR etc.

[william-just] 11/11/2005 13:41

too blody many

[m1dge] 11/11/2005 13:29

Suppose whether you buy these or not depends on whether you consider the investment in PVTD is worth $0.80c a share then NAV of 3.1p and shares are potentially cheap or their initial investment ($0.40 for 7,323,142 and nothing for options)with NAV of about 1.0p! For each $0.2 equals about 1p on NAV.

Two questions how the hell did they spend £1,200,000 and how many shares are in issue, i thought it was 180M (166M?) plus options (about 30M I think) plus these new shares 100M. Answers on a postcard please.

Have to say no surprises in results except the profligate spending and the need therefore to have to issue new shares, not good.

[rbonnier] 11/11/2005 11:37

HMMMM 100 million warrants at 1p!!!....Been involved in a similar situation before the share price never ever goes anywhere.

[gaybriefs] 11/11/2005 09:11

Obviously Mossland think this is a bargain buying 3.9% recently .Must admit this looks tasty trading at a huge discount to its nav think ill be topping up here.

[jessica5] 11/11/2005 09:10

Nice work if you can find it...lol.;-))

[dell314] 11/11/2005 09:07

Ramsden certainly has a colorful record!

FWIW, I just looked up Falcon Securities(UK) Ltd and they appear to be a broker rather than an investment house. Presumably, they'll therefore be farming out the new stock to clients, rather than holding it for investment, so it could find its way back onto the market quite rapidly if their clients are anything like the types that buy City Equities and Hoodless Brennan stock promotions. I wonder if Falcon will be keeping the warrants for themselves........

All IMHO, DYOR etc.

Rgds
dell

[jessica5] 11/11/2005 08:54

Cheers fella,it's looking more and more like "A WHOG" to me,CAN ramsden make it work?,well you would'nt back against the fella would you with his track record...;-))

[dell314] 11/11/2005 08:47

Jessica - I see that in calculating the NAV, they have factored in the conversion of all their PVTD options and profit on sale of resulting shares at full current share price. No wonder they came up with such a tasty NAV figure!

FWIW, I've quickly poked today's balance sheet numbers(as is) into a spreadsheet and NAV is 1.25p based on today's figures alone(which would include PVTD investment at cost).
If you factor in 100mln new shares at 1p, then NAV is 1.13p(Assuming that they receive £900k after costs).

Clearly these figures don't allow for the adjustments required from the final Murray settlement, or the latest portfolio juggle, so should be viewed with caution but they do allow us to get an idea of how much of the CLY stated NAV figure depends on the PVTD gains over cost.

As I said, I'm not motivated enough to do a full number crunch today but hope that helps.

All IMHO, DYOR etc.

Rgds
dell

[dell314] 11/11/2005 08:29

jessica - To me, the fact that they are having to raise additional funding at 1p(plus free warrants!) suggests that those involved in the fundraising think the NAV valuation is extremely questionable.
After all, it depends on the price of an illiquid OTC stock that you or I could probably influence with a relatively small purchase, or sale. I seem to remember calculating that CLY's PVTD stock was obtained at around 23p per share.
Clearly much of the NAV figure that CLY's directors want you to believe is based on factoring in PVTD gains. It will be interesting to see where the stock settles when it is traded on a more liquid market. Has anyone seen any published results for PVTD yet?

It has to be said that this company's recent losses are shocking, considering that it isn't now much more than a holding company for a PVTD interest.

As there are clearly some post balance sheet events to factor in(and I'm a bit knackered this morning), I haven't done a full number crunch on these yet but I'll probably take a look in more detail when I feel suitably motivated...

All IMHO, DYOR etc.

Rgds
dell