 Sadly over here they are toothless and nothing will be done.
The only thing left here is a cheap takeover
Coris will in all certainty convert debt to equity and then have complete control.
What I do find strange is why people are selling 35% below the offer price.
Tuesday they clearly are looking to get the debt to equity RNS out and advised strongly shareholders take no action.
Coris do not really gain anything by putting this in admin as they will want a running saleable / profitable going concern.
It’s only temp fear , come Tuesday or whenever the RNS lands the share price will be back up nearer 2.50
Easy money from here for those of us that understand how to read between the lines.
Feel sorry for the panicked sellers thinking not prepared to wait. Would rather sell 30% cheaper than have a sleepless night. I get it. But I think people should just look at this logically. They want full control.
Putting it into admin will not benefit coris
They could not hint anymore that this is a done deal with paperwork on the way and an upside Tuesday. Don’t throw your shares away cheap theirs a further chance of them getting voted down and the cash flows save the day.
It’s clear Dugbe buyer was to slow and this is the companies plan B
HUM never seems to get leaks and things always tails people by surprise so I doubt anyone that’s sold knows anything. The 11 million seller will prob be able to make the 30% in something else and does not want to hang about.
Should be a move back over 2P Monday as people see a Tuesday RNS indicating the debt to equity conversion. Let’s also realise that debt is unsecured and why on earth if they planned admin would they have extended 30 million and deferred debt.
So the share price is a gift at the min |
Burt777 Not sure if I understand your thinking here. If the AIM investigation proves conclusively that there was something amiss here, how will "they" make a lot of money out of it? In other words, here in the US the FTC would prosecute. This co. wasn't registered in the UK with the FCA. What would be the probably consequences of an AIM investigation? |
No doubting it’s the end game and the damage was done , all my point is that this isn’t valueless to shareholders. It should be pretty nailed on that 2.66 equity conversion will happen.
That is the end game here not admin
And then the asset pass’s to their control and they will make a lot of money out of it. |
Never mind Plat and Infinity888. Now you can fill not only yer boots, but yer waders! |
What I meant is Yano has been discounted for a long time in value.
I think people should read the full RNS again as it’s clear this isn’t over here and Tuesday the 19th November is when they update on the subscription for the debt to equity. Then they have a few weeks max to make a firm offer. But given the offer can only happen if the subscription happens that’s why in my view it said ‘possible̵7;
It’s clear these discussions have been well advanced and there was no leaks. So I still expect with commercial production likely and CIG and coris deferring debt and forwarding liquidity plus they have an overdraft and should not be losing money on a run rate that is commercial production.
All in all I think fear is on the ground through lack of understanding and uncertainty around the proposed restructure.
I expect it’s a done deal as it hands control to coris
But clearly some think it might go into admin which is bizarre thinking given it’s had further deferrals and more liquidity just at a time where it’s likely gone into profitability.
I don’t think this is over my a long shot I just think posters on both boards have capitulated. But selling out at this share price is more fear than logic as coris will want this asset.
To stop this operation in its tracks while it is on the cusp and break all the suppliers relationships prob would half the value of the asset , cost a fortune to coris and damage it’s reputation in Africa. Its been very supportive , if not to supportive so expect its of its word to save this situation. |
Exclude Yano? Perhaps "the asset was always producing a lot of gold". It's where the gold ended up that worried me. |
Absolutely understand why people think this is a lousy risk. But I look at things like this , coris are far better converting to equity the CIG loan , why lend it 10 million more on the 6th November ?
Surely they will convert then the share price gets a shot in the arm as people realise the 2.66P offer is coming. Nobody gains from admin when you have an asset that’s producing a lot of gold , exclude yano
Today’s drop was one big holder deciding they want the money now and don’t want to wait. It probably means absolutely nothing other than they are taking the hit now.
Nothings changed and the share price is irrelevant.
All that matters is they convert debt to equity.
Update Tuesday we have been promised. I’d of expected a lot more selling after that dump if there was a leak of coris changing their mind.
It’s for the brave now but 35% arbitrage is a nice return from here if you have the stomach for it.
Shareholders were Strongly advised to do nothing. I’m on the side of logic on this one , admin suits nobody. |
Looks very sick now! |
"IMO, this is a lousy risk-reward to try and arbitrage. Yanfolila is finished (see recent events in Mali), the Dugbe deal has seemingly fallen through, and Coris have no reason to be generous to equity."
You have no more idea of the state of any deal for Dugby than the rest of us - beyond what information has been released, which did not say it had 'fallen through'.
Coris are only interested in what Coris is trying to achieve. Which is not aligned with the interests of shareholders that are not associated with Coris. They are trying to cheaply take over the company as it is on the verge of reasonable production rates(we can see this from kouroussa's latest declared weekly production). To me it seems utterly nuts that there are apparently independent shareholders on here 'saying' they are going to vote in favour or what Coris is is seeking to do. Why would you do that? If you believe your shares are truly worth 2.6p or less why did you not sell them a couple of weeks ago??? What do you believe will happen if you exercise your right to vote against this? Coris certainly seem to believe the shares are worth more than 2.6p.
Any value here is about Kouroussa and to some degree Dugby, the Mali operations are a fairly irrelevant sidehow imo. Hence the fearmongering regarding the tax situation of a marginal operation is also disingenuous or misguided. The Mali Junta have very good visibility of which mining outfits are capable of paying them more tax. |
Yes, I'll tell you. This is HUM. Everything which looks good turns out to be 'fool's gold' !!! |
Biggles - Because the offer to buy shareholders out at 2.6p has NOT been made, only mooted, and may be reduced in value or never made at all.
IMO, this is a lousy risk-reward to try and arbitrage. Yanfolila is finished (see recent events in Mali), the Dugbe deal has seemingly fallen through, and Coris have no reason to be generous to equity. |
Anyone tell me why I wouldn't by at 2 to get 2.66????? |
Those who have been saying for as long as I can remember that they see light at the end of the HUM tunnel (and especially those who backed that assessment with purchases when the price briefly spiked up a bit toward 10p) now appreciate that such light was an oncoming train.
Education is expensive, but lessons are easier to remember when you have paid heavily for them. |
Interesting the market will pay over 1.95 for 1 million shares , feeling that night their must be a big buyer as well as seller.
In the Scheme of things it’s all irrelevant I guess. Fun and games. Would not be surprised to see the share price up later.
Tuesdays update will be interesting surely they have no choice to convert debt to equity and the preludes the possible offer.
The Mali goings on are a side show that will of been going on all year
HUM is a small loss making company in Mali I doubt they are in the same league as Barrick and resolute and deals will be struck. It still has a value but I believe that the only thing that matters is Koruso and it’s got to be worth taking it out at 2.66 along with the Dugbe asset |
The market is deciding that 2.66P is a good offer currently. Regardless of where we are or the potential for investigations I’ll be voting yes with my shares.
It’s clear that the big sell would rather cut loss’s now and take 35% less
So I am sure they will get the votes up at 2.66P easily.
News on Tuesday will give all the indicators. |
Gentlemen. Approximately 5-6 years ago I was told things about Hum that I found disturbing, more or less along the same lines as the information trader465 put on here. I believed at that time that two of the "investors" had reported this to the FCA but nothing happened. We all know now that was because Hum were not registered with the FCA.
They are however registered with AIM and the way I understand it, there is an on going investigation. The speculation about "what went wrong" has been considerable. Wouldn't it be better now for the long-term investors to wait for the outcome of that investigation before they cast their vote? If not, why not? |
Burt777 I believe in meeting problems head on. Perhaps the AIM investigation will confirm that Hum was actually profitable for the right people. If that happens, new management could make a big difference don't you think? In that case the listing may stand. |
Let’s see who accumulates when and if an offer is put forward , let’s not forget it will only require just over half of 28.8%
But yes interesting from here , they might end up having to leave it listed or offer more. Hedge fund activity will be the clue with the 8.3 disclosure.
Either way when they convert equity they intention is clear that they want the rest. |
dusty42 I will definitely be voting against it. Eventually, hopefully the AIM investigation will provide some clarity. |
"They prob have already asked the directors and minority holders and all are happy to accept 2.66"
What is this statement based on? Logically, why would any independent shareholder who paid more than 2.66p decide this was a good offer, unless influenced in some other way to pretend it was. If you ask me, any shareholders would be well advised to vote against this.. and if unsuccessful - and only as a last resort, take the offer. |
I understand all this. This is now and for several years gold was being mined successfully but all the time the share price was deteriorating.
Please read the information that was provided on here by trader465. It would appear from that information that Betts Metals thrived and sales increased during that same period. Does that information suggest skimming? Who knows. But I think in view of how things have deteriorated here I believe long time shareholders deserve answers. |
Hi Farrugia!
I'd agree with that, but I'd go further. Not only is Mali finished for Westerners, but Burkina Faso and Niger (where a French uranium mine is being "taken over" by Russians) are following closely behind. All told, West African looks pretty lousy from an investment perspective. |
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