Cabot Energy Share Discussion Threads

[25october1969] 15/4/2004 13:08

Ian Proud

Thanks for posting the Press Release of 5 April, it did not seem to make any of the news services.

Perhaps you can advise what is happening with the Rights Issue, which first was to all shareholders, then was a placing, then might be neither but would happen in the first half of April.

The sharehiolders are getting that mushroom feeling and for a company like CAB I would have thought good news flow to those who have stayed loyal is essential and vital

Many thanks for any comments you can add, if unable to help I will phone the company again

[dfgo] 13/4/2004 23:17

Investers Chronichle 8/4/04


we have analysed 250 penny shares to select 10 STAR BUYS CARBO
was number 8


dfgo

[esrimeur] 08/4/2004 23:45

Jeff: We are looking at a much larger old-economy concern reversing into PNC. It is clean now and I suspect either Gardner Aerospace or Texas Group will be floated on it. All depends on the flotation price and shell/target issue ratio, but some ex-Kingsbridge directors are still in here, so it looks like their way back, given the interconnections twixt them and the Gardner/Texas axis. A definite DYOR one is this!

But back to Carbo. The board industry (chipboard & MDF) is using much more recycled wood recently. The impurities (shards of metal, ceramics, glass, etc.) cause the saws and sanding belts to wear much faster than with pre-consumer wood - ie trees. Kronospan, Sonae, Egger, Caberboard , the top european mfrs, are all increasing recycled content, because the moisture loss in seasoned post-consumer wood is a fraction of that in unused timber and far outweighs the retooling costs/downtime for replacing saws and abrasives. The recycled material is mainly used in the "core" of the sheet boards, so impacts saws more than surface finishing abrasives, as saws cut through the core as well as the outer layers formed by compressed sawdust, whereas sanding belts finish only outer surfaces. Nevertheless, the contaminants frequently reach the two board surfaces and shred the sanding belts as they do so.

So it is not only the volume of board produced which helps CAB, but the raw material mix, in this important market. They cannot tell you that, of course, because the board mfrs frequently deny claims from their customers (furniture& worktop mfrs, flooring contractors, &c)that their tools are being destroyed by the recycled contaminants, which they rigorously deny in order to avoid admitting that their raw materials are becoming far more cheaply sourced.

[alexicacon] 08/4/2004 22:28

Cheers for the info cmlane. Most on here know CAB has great growth potential. Hopefully IC article will help steer more investors to this bargain. IMHO it won't take much to squeeze a profit out of such a large turnover. What would a 1mil profit and P/E of 10 do to the price? Work it out.

[cmlane] 08/4/2004 12:35

just in case you folks didn't know. Investors Chronicle ....

The front cover shows a big jar of pennies, with the words "PENY SHARES, turn pennies into pounds". The front cover makes reference to an article on penny share opportunities inside. The main part of the article is the identification of ten top shares that are considered to have great growth possibilities.

One of these shares is Carbo!!!

[slapmewithkipper] 05/4/2004 22:24

yep sssshhhhhhhh

[alexicacon] 05/4/2004 22:19

A profit is somewhere down the line, it will just take a bit more time. Worth waiting for though i believe.

[sugarbeast] 05/4/2004 13:28

quite.

I do not understand this share at all.
The recent news,imo,has been good and yet the share prices remains resolutely unimpressed.

[jeff_v] 05/4/2004 13:13

and the reaction of the share buying world is...

[ianproud] 05/4/2004 10:14

Carbo plc

Press Release

5 April 2004

Carbo Introduces Third Shift To Meet Increased Demand

Carbo’s coated products factory in Hannoversch Münden recently increased production from two to three eight hour shifts for five days a week. This reflects the requirements of the chipboard industry across the world for abrasive belts to meet increased demand for chipboard furniture. These belts are up to three metres wide and four metres long and are specifically made for the industry’s abrasive belt machines.

The main areas using Carbo’s abrasive belts for chipboard furniture are Luxembourg, Belgium, Russia, Portugal, Spain, Poland and the USA. These big specialist belts are sold directly by Carbo to its end user customers, mainly the chipboard and MDF industries. The company’s success is based on its strategy of a high level of service, flexibility and JIT (just in time) deliveries. The ability to increase production by introducing a third shift at very short notice is evidence of its flexibility and level of service.

Commenting on the increase in production, Lars Nyqvist, Carbo’s Chief Executive, said, “We have very good communications with our customers and the work force at the factory is organised so that the whole team can react very quickly to variations in demand. Carbo is one of the top five abrasives production companies in the world and it is only by providing an excellent service will we retain the confidence of our customers.”

Carbo PLC has subsidiaries across Europe in Germany, Belgium, Norway, Italy, Portugal and France. Manufacturing units are located in Germany, Italy and the UK. Carbo supplies high quality abrasive products throughout the world under various brand names including Carborundum, Carbo-Schroeder and BMA. They are used in a wide variety of industries including automotive, aerospace, metal work, furniture, cutlery, valves, power tools, hand tools and tobacco production. The Group also owns Anglo Abrasives Limited, one of the largest distributors of abrasive products in the UK, with branches located throughout the country.


For further information please contact:

Ian Proud, Franklin Associates, tel [phone], mobile [phone]





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[jeff_v] 02/4/2004 17:33

I must be missing something Esrimeur because it looks like a shell so empty it's got -ve assets. What am I missing?

[esrimeur] 31/3/2004 21:22

Mmm, know what you mean, Jeff. EVP also had Amber Rudd as a non-exec (she was intimately involved with the classic OFEX dot.com scam Monticello). And I personally delayed the admission of EVP to OFEX by refusing to provide a Certificate of Satisfaction for a largish judgment which one of my companies obtained against it as a result of its failure to pay a large debt incurred at its Warrington premises.

I don't know why Knight is needed, either. He is not exactly out of the top drawer, is he? Yet Hodgson certainly is and the new directors and shareholders are all insiders of one kind or another - either industry or finance.

I may live to regret saying this, but I do think we can trust Hodgson not to have engaged a total w&nker.

PS If you don't mind living dangerously, take a peek at the cash shell PNC, just down the road from CAB, and tell me what you see.

[jeff_v] 31/3/2004 17:55

No disrespect to S Knight but I did lose a few quid on Environmental Polymers a year ago. Is it an odd appointment? I don't see the angle, why do CAB need him?

[esrimeur] 29/3/2004 13:10

ACTIVITY ALERT ONLY^^^^^^^ LOL!

[alexicacon] 22/3/2004 22:35

I won't be subscribing to them then.

[jeff_v] 22/3/2004 18:41

It's the wrong price?

[esrimeur] 19/3/2004 19:02

What are they saying, please, warnock?

[warnock] 19/3/2004 14:10

Just been tipped by Thewrongprice

[jeff_v] 19/3/2004 08:50

Been asleep for 4 years. Could be very big rewards if you are very patient.

[alexicacon] 18/3/2004 22:13

ZZZZZZZZZZZZZZZ!!!!!!!! sleeping GIANT.

[jeff_v] 18/3/2004 11:55

Dry? It'll be peeling soon.

[esrimeur] 18/3/2004 11:28

251069:

Err, isn't that what I said? Holding and waiting, but like watching paint dry.

[25october1969] 17/3/2004 22:50

Esrimeur

The article you refer to on the Nicholson Graham & Jones site relates to the issuing of the convertible back in 2002 not the current conversion

"Corporate partner Richard Herbert acted for Union Investment Management Limited who coordinated a syndicate of investors to loan new funds to Carbo plc.
These funds are to be converted into a new Convertible Secured Loan Stock, subsequent to Carbo shareholders' approval being obtained to the issue of the loan stock, a capital reorganisation and a whitewash to disapply Rule 9 of the City Code. The new Loan Stock, on full conversion, will give the syndicate of investors 72.39% of the enlarged share capital.

In addition, arrangements were put in place with Carbo's UK Banks for a standstill from any enforcement action. Provided certain conditions are complied with, the UK Banks have agreed to accept less than the full amount of the sums owing to them in full and final settlement of Carbo's obligations to them.

"The entire transaction from the time of our involvement was concluded by email and phone without any all parties meetings or lawyers meetings," said Richard Herbert, who lead the deal. "It was extremely efficient but I missed the personal interaction."

They had the choice of converting at 21.25p or letting the company go under as GMAC would not lend unless the conversion took place at that price and new equity was raised

[alexicacon] 16/3/2004 22:36

You guys are much cleverer than i. Most of that stuff is over my head, i just look at turnover per share of 709p and think that there's got to be a profit in there somewhere.