Cloudbreak Discovery Share Discussion Threads

[ridgeback] 15/11/2007 00:00

TT Tell me what you think is going on and I will tell you if you are right or not.

[sg31] 14/11/2007 23:08

I never know whats going on.If i ever think i know whats going on i usually find out later that i haven't a clue.
Do you think you know whats going on or do you really know whats going on?
If its the latter you can tell me and i will keep it secret as there is only the two of us around.
It could be that you are a figment of my imagination in which case i am talking to myself.

[turbotrader2] 14/11/2007 22:53

bit bizzare that no one but me knows what is going on?

[turbotrader2] 14/11/2007 21:27

anyone home?

[david brent] 13/11/2007 01:44

can anyone explain the capital restructuring, the share sub-division and deferred shares etc........ what does it mean at the end of the day? will the number of shares you hold be decreased? loose their value?tia

[turbotrader2] 12/11/2007 16:01

do we think this will merge with the condor company and relist?

[sg31] 10/11/2007 22:19

Xena,I don't know if you are right but you have a really devious mind.Personally i think we should dump Rob Bensh and give the job to you.QVT & SPC would be toast.

[david brent] 09/11/2007 10:46

I'LL HAVE A WHIP ROUND DOWN AT THE RUGBY CLUB........SEE IF WE CAN HELP HIM OUT A BIT, GET HIM A FEW BOB.

[xenawarriorprincess] 09/11/2007 10:01

crazy russian,

Cardinal had no choice but to accept SPC's terms when the original loan was arranged.

At the time, we were only an "explorer" and, as you might have noticed - things are quite different now.

We have dispensed with Silver Point Capital, and any future loan, which may or may not have already been arranged, should be on much more favourable terms.

Xena

[crazy russian] 09/11/2007 09:08

if he needs to borrow 40m that should be easy

SPC have plenty of spare cash having had an extremely lucrative previous loan recently repaid

am sure they would be quite happy to repeat the deal

[david brent] 09/11/2007 08:22

jumbo, agreed.

ridgeback,

phew........ nothing at the moment ;-( but having read xena post last night perhaps i can see a candle flickering at the end of the tunnel maybe enough for me to cancel my stop loss. let's wait and see like everyone here is suggesting.

[jumbo66] 09/11/2007 06:44

lols dav, hmm i will have to think about that one, if theres one thing iv gained from being in the stock market is that things are rarely what they seem to the ordinary punters like us [hd]:-)) and xena you have quit enough :-))

[ridgeback] 09/11/2007 05:59

On the point of auctioning DB's shares. What would you seriously pay for CDL shares at the moment?

[turbotrader2] 08/11/2007 23:06

FWIW, I think he will merge the condor business into us

my view only

[david brent] 08/11/2007 22:32

xena,

interesting and well reasoned post. Maybe he hasn't bought his first class seat to columbia just yet, i hope he'll pull something out of the bag but for now it looking like he's just going to roll over and die (excuse the expresssion) as far as SPC is concerned.

If he does manage to arrange a 40M quid loan, what makes you think that he'll find any better terms than those he agreed with SPC originally? With the Mcap so low any lended has him over the perverbial barrel, don't you think?

p.s there will be no auction of my cdl shares although if you and jumbo care to exchange your jkx....... well you never know.

[upside potential] 08/11/2007 21:56

xena....literally and incessantly first class contribs.....how did u ever end up with funds in cardinal..............i know jkx turn around etc.
brucey bonus now if we get a re-list............i will continue to share your confidence...........and if not...big boys game.

[xenawarriorprincess] 08/11/2007 21:46

Omellete,

I'm not sure where he would get the cash from - Hares is certainly a possibility. The problem with raising cash with institutions is that the market cap is so low at present - that said, our CEO is well connected!

As for re-listing, I'm not sure - we of course need to get a NOMAD and I would suspect that Rob Bensh would want the EGM, new financing and Silver Point Capital out of the way first, so he could come back with a bang.

I guess therefore at present we will be looking at sometime in the first half of December, but things can change on a daily basis.

Xena

[omellete] 08/11/2007 21:27

Xena - Where would he borrow the cash from? Hares?

Anyway, I guess it is a wait till November 30th.

Do you see CDL being relisted anytime soon?

TIA.

[xenawarriorprincess] 08/11/2007 21:15

Omellete,

I think Rob Bensh has several back-up plans.

The problem with Condor is at present we only have 6.7%

But if he is allowed to borrow £40M, then Condor from a RTO point of view is probably redundant, because we simply pay off SPC - problems sorted.

Xena

[omellete] 08/11/2007 21:10

Xena - Is there not a possibilty that he plans to do a deal with Condor via an RTO?

Now the nominal face value of CDL shares is 20 pence - then obviously they cannot issue shares below this value. So he needs to be allowed to issue lower valued shares to Condor in consideration of the transaction -i.e 7 pence and will value Condor at $40 million - larger than CDL thus an RTO.

If they are allowed a change in face value - then he can issue the shares at 7 pence to Condor and they get a listing via an RTO.

[omellete] 08/11/2007 21:02

TT2 - Tell us what is bright please?

Have you spoken to Bensch for extra info?

Is he thinking of getting Condor to do an RTO?

Has Condor actually got some oil?

One thing that Xena may be able to tell us how the future business will be structured. Currently the Ukraine staff for CDL will presumably be taken on by the Kuwait company, and these same guys (I assume) are the ones who also do the Condor administration.So now that CDL is separate, will some of the money go to the Kuwaiti company or will the all go off and work for Condor?

[xenawarriorprincess] 08/11/2007 21:00

I've been having a think about the recent RNS's, and it appears to me that there is more going on here than meets the eye.

I don't intend to post in detail about the Kuwait RNS of 30th October - I have my own views on that - but I will say that after that RNS I believed that either Cardinal will not leave Ukraine, or if we did it would only be for a matter of a couple of days/weeks and we would be back pretty quick.

There are various reasons for my thinking this, but a google search of Cardinal, and looking through about 50 pages of articles (the Russian ones are most revealing), throws up enough clues as to why this may be so.

But until the RNS of 6th November the situation from the 30th October RNS, on the face of it was as follows:-

- Cardinal would enter into an agreement on 9th November, completion on 10th December
- EGM early December
- Cardinal would leave Ukraine and sell all its Ukrainian assets, because of
intolerable financial pressure
- SPC's loan and the warrants would be paid off
- Cardinal would be left with 0p-8p cash, depending upon ones interpretation
- Cardinal is left with 6.7% Condor and a small income
- Failure to agree to this would leave shareholders with nothing

So far so good......

.....but not so good as we lose the only thing worth keeping which is the Ukrainian assets

Then - and this is where it gets really interesting - we get another RNS 6th November which proposes

- Capital reorganisation to issue new shares sometime in the future
- Allowing Bensh to borrow upto £40M
- An EGM on 30th November

Hang on a minute!!!

Cardinal are proposing to have one EGM on 30th November to vote on borrowing and then another EGM about a week later in early December to vote on Kuwait.

Does this appear a bit odd, or, more likely, does this appear very odd?

Either the Kuwait agreement has gone pear shaped (unlikely IMHO) or Bensh is upto something.

Like what?

Well, now us generally highly critical (having believed we [sorry, you] were completely stuffed) shareholders now have 3 options

- Take the 0p-8p option

- Reject it and allow Cardinal to go bust

- Allow Bensh to borrow £40M and keep the Ukraine assets.

Surprise, surprise ...we get to vote on the £40M borrowing option first.

I suspect that if we the shareholders approve that, then Hares and others will then vote against the Kuwait option a week or so later and that will fail.

QVT? well all the things they were complaining about re. SPC at the last EGM ie. the interest, the poison pill warrants etc. now appear to have been dealt with ie. SPC will take $52M and be shot of the whole thing. And all that was on offer at the beginning of the week was 0p-8p, or going bust.

Allowing Bensh to borrow £40M and keeping everything suddenly seems a whole lot better.

Is Rob Bensh making this whole thing up as he goes along? - of course not. It is all part of a plan, he probably even has several plans.

But £40M is an interesting figure - it is at present about $80M, give or take a couple of $M.

Paying off SPC - $52M
Reinstate RC - $25M
Pay Kuwait - $ 3M

Total - $80M

So Rob Bensh is allowed to borrow £40M, we keep all Ukraine, SPC are paid off, all the warrants are gone together with 50% dilution, and IMHO, with Tymoshenko as (is still likely) PM we will get RC back shortly.

There's nothing quite like suggesting to shareholders they will be stuffed and get 0p-8p, and then offering a week later a much better alternative - I guess looking into the abyss helps to concentrate a few minds.

I'm sure some may disagree with my 'rosy' scenario, but if you do then you have to explain why we are having one EGM on 30th November (the second to be announced) relating to borrowing and another EGM a week later in early December on Kuwait.

IMHO, DYOR etc.,

Regards,

Xena

PS. Jumbo - I think we should have an auction of David Brents shares - you mustn't be too greedy wanting all of them!