Grit Investment Share Discussion Threads

[spectoacc] 13/5/2016 08:20

450k & 471k reported yesterday at 4p vs 4.75p bid, but size of trades means probably delayed. Still - hard to imagine they were buys & not flagged as rollovers.

[spectoacc] 03/5/2016 20:59

Good spot; suspect that's our friendly neighbourhood ramper - cash-&-new for 600k, probably a rollover of a T+ settlement. Expect more "broker notes" imminently :)

[mister md] 03/5/2016 18:40

interesting trades reported after hours ... 7p

[spectoacc] 03/5/2016 09:32

Def :) Mind you, the problem still remains with illiquid smallcaps - trying to sell eg £200k's worth.

[mister md] 03/5/2016 09:02

a shame AVM isnt one of their holdings ;)

[spectoacc] 03/5/2016 08:57

@Mister - suspect the difference between NAV & realisable NAV may put them off a little.

[mister md] 02/5/2016 12:09

just odd they dont seem to own any between them

Still, lets hope the shareprice continues its recovery

[richie666] 02/5/2016 11:36

I guess they are restricted. They certainly were until last Thurs and the a/cn'ts publication.

No brainer.

[mister md] 02/5/2016 10:05

Isn't it about time the directors invested in this if they believe the gap to NAV is so unfair ?

[richie666] 02/5/2016 06:19

Should be on a discount of 20-30% to NAV if in line with peers - gives a price target 20p.

[mister md] 30/4/2016 17:56

NAV update RNS at close - increase to just over 26p

[spectoacc] 29/4/2016 14:52

They sound significantly more hopeful than when they signed up to the massive 2p dilution deal that later fell through. Not seeing much new or unexpected in it.

"The ability of the Company to continue as a going concern is therefore dependent on the continued support of the CULS holders in not seeking immediate repayment which would result in a liquidation event"

Slightly surprised they're quoting "3-4 months" to raise the relatively small amount remaining (post NuLegacy) to repay CULS - I've mentioned before how illiquid (in some cases unlisted) most of the holdings are but it's been a pretty decent market and the sooner repaid, the sooner the survival of the co is confirmed. That's probably the only surprise in the results - when I last spoke to the manager he said the CULS holders were being supportive "..So far", & I'd have thought getting shot of them ASAP would have been a priority. The obvious point being that it is a priority, but is maybe proving difficult. Still - more value left in the co if LIM remain patient.

NAV of only 25.7p will surprise the rampers but as I've said before - it's IMO been highly dubious in the past and I've no particular reason to trust it now, as shown by this latest drop from c.32p to c.25p in what's been a stronger market.

The share price reflects the risks for me & I'm happy to hold what I've got left, in the hope the CULS are soon repaid and eventually GRIT comes good when small-cap gold/miner liquidity returns. Hope that's well before the co's been bled dry in costs of course.

[mister md] 29/4/2016 12:58

'"As reported above, the Company sold its whole position in NuLegacy Gold in April, realising GBP2.2m, and the Manager has said that it expects to be able to realise sufficient proceeds from the sale of a small number of quoted positions over a period of 3-4 months to allow the CULS to be repaid."

"The NAV at 27 April 2016 was 25.7p, an increase of 27%"

--
Looking slightly more hopeful here ?

[richie666] 20/4/2016 08:04

I see Merrex Gold and Nulegacy were up near 10% and near 20% respectively last night. That adds another 2p to the NAV

This afternoon's NAV figure will be interesting - my guess is we will be near 34p. Stock price of 5p is biggest gimme I ever seen.

[spectoacc] 18/4/2016 13:11

@mal66 - thanks, had no idea, that's hilarious.

[richie666] 18/4/2016 11:57

Mal - there is no secret on that. Openly disclosed.

"CLEAR DISCLOSURE – Keith Bayley Rogers is broker to GRIT and receives fees in relation to their services to the Company. A director of Align Research Ltd holds a personal interest in GRIT & is bound to Align Research’s company dealing policy ensuring open and adequate disclosure. Full details can be found on our website HERE"

Unlike most other research houses we eat our own cooking. Additionally, the hit ratio on our specific recomms (of which I hold all stocks) has been pretty good if you care to check initiation dates and prices now with one near 4 fold increase at one point - GPX. And LCG & OCT moving the right way...

[mal66] 18/4/2016 11:37

Are you aware that Richie666 is the author of the note and a holder in GRIT?

[spectoacc] 18/4/2016 08:28

"Should the....We believe...Likely result...". Better to think critically, better to examine the facts, better to talk to the investment manager. Nothing to add to my post above.

[spectoacc] 18/4/2016 07:30

I didn't buy, though I didn't sell what I have left either. The "note" appears to be dated 17th April, ie yesterday, but was clearly out/acted upon last week. Also:

"CLEAR DISCLOSURE – Keith Bayley Rogers is broker to GRIT and receives fees in relation to their services to the Company. A director of Align Research Ltd holds a personal interest in GRIT & is bound to Align Research’s company dealing policy ensuring open and adequate disclosure."

Broker to GRIT? Surely he spoke to the co too? This is what they said to me last week:

- No, they've not yet been able to raise the money to repay the CULS. Yes, over a month has elapsed but the holders are supportive "so far". Yes, they expect to be able to repay them and yes, they expect there to be value left over for shareholders.

What seems clear IMO is that they're struggling to raise the money from even the most liquid holdings - but they will eventually, albeit at a discount to the market. What will remain is the unlisted, the less liquid, and the junk bonds (some of which yield 15%, if memory serves). The NAV proved false before, and I don't trust it now or after, but I don't doubt eventually there'll be an RNS saying "CULS redeemed, NAV now XXp (eg 25p). When shareholders ever see a return is another matter.

I won't pick apart that note except to say that the manager was initially wholly behind the 2p capital raising (I spoke to him after the original RNS), since he said it kept shareholders in for future upside. The only thing I can see that might have changed is the subsequent bounce in the market.

[richie666] 17/4/2016 19:15

U happy Specc? One of the biggest bargains I/ve seen in a few years IMO

[spectoacc] 17/4/2016 19:13

Doesn't answer the questions I asked, but thanks anyway. I spoke to the company last week.

[richie666] 17/4/2016 18:09

Specc - this probably answers all your questions -

[spectoacc] 13/4/2016 11:12

My question was "which part?", but ignoring that - have the debentures been paid off? No RNS to indicate they have been, and the website's seemingly not been updated for over a month.