Danakali Share Discussion Threads

[forfaiter] 26/6/2002 10:32

I agree...so why hasn't it been done already ?........and why pay $4m for the option to extend the present facility ?....

[maxbubble] 26/6/2002 10:27

As shareholders the least we would expect from management would be to renegotiate for a better finance deal especially as they are in a much stronger gearing position - makes good sense to lock in these low interest rates when they are available - will considerably enhance the bottom line. Everyone is looking at PE these days - strange!!!!

[forfaiter] 26/6/2002 10:16

Hmmm....not suggesting they will lose the existing finance...it is the company that stated they are looking for alternative finance due to the onerous interest rate rises with the existing facility.....

I suggest you read the 10k filing where the company clearly states that any interest rate rises could effect there performance going forward....

You rampers sure have a problem with the hard facts....

[chestnuts] 26/6/2002 10:15

Morning Jag hope you are ok a good buying oppurtunity today

[psychicdoc] 26/6/2002 10:10

ff you scaremonger again misleading 'if they fail to find alternative finance' they have a credit facility of over 140m which has not been drawn,the entire market is down today, hey big man u made loads of bucks today are you telling us,
under 55p shall be buying again loads

[chestnuts] 26/6/2002 09:40

Charts only show the past not the future

[forfaiter] 26/6/2002 09:13

Don't care what the reason is......the chart has been forming a bearish descending triangle since the results.......which can take between 1-3 months to form.....as they represent a period of distribution.....

If the next results disappoint and they fail to find alternative finance this could quite easily lose all its gains since the break out from 17p....

Momentum has been lost and sentiment is waning as shown by the low volumes...

[blockbuy] 26/6/2002 08:58

ff, yeah and you predicted this would be the reason for it.

You are funny btw.

[forfaiter] 26/6/2002 08:48

Should break out on the downside soon......see you at 35p/37p......LOL

[blockbuy] 26/6/2002 08:30

so is it all out b4 the US opens?

[chestnuts] 26/6/2002 00:41

hi oaks take a look at lmc

[oaklandsway] 26/6/2002 00:40

Funny fans, we don't know how much Danka finally will pay if the payment is extended to 2006 and we don't know what Danka will do with expected "profit margin" if they won't use it to complete debt payment in 2004. There is trade-off in business, regarding the best way to use the capital. A fee of 2.5% is common. Be realistic.

I can't judge before reading the revised refinancing plan.

Seems funny to me if someone wants to see Danka pay $210 million by April 2004 while revenue & profit are growing but before seeing all kind of progress he wants the DNK to go down to 37p or stay at sub 42p. Danka would worth more than GISX (current price is $18+ ) if debt is fully paid and both revenue & profit can grow. IMO, DYOR, etc.

[solis] 25/6/2002 14:18

What's happened to Sharecast.com. Seems to have been hijacked by nothing-ventured.com, another Durlacher Co.

Can any one help to find a way to get in ?

[forfaiter] 25/6/2002 11:54

The crucial wording being... 'may getter a better deal'...they haven't done it yet Oakyhead.....hence the $4m option payment....more uncertainty...just what shareholders need in this market...

[oaklandsway] 25/6/2002 11:34

Funny fans,
Regarding indebtedness, you mentioned somewhere that soft loan (like what GISX have) is better than hard loan (such as credit facility that must be paid quickly and costly). Can you remember this?

I guess the option that was just taken by paying a fee of $4 million (about 2.5% the outstanding $162.7 miilion of credit facility) is finally to convert the hard loan to soft loan. This option was part of agreement before the credit facility was given.

Having the soft loan, Danka may have more power for capex to pursue growth but would pay $47.6 million in principal amount of zero coupon senior subordinated notes by 1 April 2004. Actually, based on Beeson Gregory's study, both outstanding (worth $210 million) can be paid in 2004 if Danka is forced to do so.

Before giving negative comments, please wait the complete information about revised refinancing plan and try to understand why Danka took this kind of option because Danka may get better deal. Very funny to me that since unloading DNK after Q4 result, funny fans can not agree whatever Danka did. Danka is moving in the right direction although looks a bit slower but much more certain than L G D at least.

[easykill] 25/6/2002 09:10

forfaiter

yes there is, somone who has bought LGD.

[forfaiter] 25/6/2002 08:58

Now now chaps.... nothing worse than a bad loser...LOL

[easykill] 25/6/2002 08:46

may be you should pay more concern to your LGD when it comes to massive debt and how its going to overcome it. if there ever was a company with uncertainty, LGD would top the bill.

[psychicdoc] 25/6/2002 08:31

ff scaremongering again you are a real ar..hol..if ever there was one,all your concerns have been answered but you go on,they have a 300m credit facility of which allmost 50% is not drawn

[forfaiter] 25/6/2002 08:24

OH dear....DNK has paid $4m to have the option to extend its credit agreement for an extra two years and is looking for an alternative credit arrangement to avoid the punitive increases in the interest rate......

It has until the end of September to find an alternative source....however the fact that it has not yet found alternative arrangement leaves an air of uncertainty as to why ?......IMHO

[chestnuts] 24/6/2002 22:13

If you look at the chart and look at the last wave the difference in retracement is 32% compared with this of 33% it does sound logic for this to take off in the next day or so and the shape of chart is very much alike. imho

[dazz17] 24/6/2002 20:17

ff

sorry... i did mean dnk ............crucial time on the dnk price action is near......i guess the price will break downward's more than likely going with the short term trend..... the drop being the length of the back of the triangle........which is 16p..and guess where that would land.......you got it right on the 62% fib level at 42p......i'm no real expert but have some idea how chart's work thought i'd let you know to give some of you beginner's a chance.......

all IMO of course and i could be wrong?????????????????