Ironveld Share Discussion Threads

[aceuk] 23/2/2024 19:42

Probably Mr Jennings that marked my post down - it was factual!

Perhaps Mr Jennings has talked to Mr Wardle since, at that time he screwed us all through his vast experience and knowledge.

[ladeside] 23/2/2024 16:00

4 weeks from the signing of a term sheet to receiving the funding appears to be typical (assuming due diligence is passed).

In the meantime I'll be scouring the SA media to see if I can find anything !!!

Where's ML's tea lady when you need her.....

[ladeside] 23/2/2024 15:23

I'd agree with that Al, ultimately we're in the last chance saloon and share price / company was going nowhere, so personally I feel MUCH better that JW is now the main man at the helm especially as he's got lots of skin in the game and undoubtedly knows what he's doing (well we hope he does !!).

Interesting that RJ has also substantially increased his holding and given what's happened in the past, You'd assume he's now much happier with the direction that JW appears to be taking us.

A funding deal would result in a major change of sentiment so very much all still to play for should this deal conclude as planned / hoped....

[al101uk] 23/2/2024 13:41

"Asset level financing"

"Asset financing refers to the use of a company’s balance sheet assets, including short-term investments, inventory and accounts receivable, to borrow money or get a loan. The company borrowing the funds must provide the lender with a security interest in the assets."

Postitives: Should get closer to fair value on an asset basis than you would on a share basis. I'm assuming, as everyone else is, that the assets are worth far more than the current market cap. On a balance sheet basis, they certainly are, that will be tested with this funding.

Negatives: With the smelter already securing debt, we're talking about Ironveld acerage being used to secure the new funding. Ironveld will have cash, but will be far from debt free.

Given they have a term sheet and there is just due dilligence still to do before reaching a binding agreement I'd be very worried if it fell through at this point.

Good to see John Wardle making meaningful changes, recognising and punishing previous mistakes. The disdain in the lack of fanfare on Martin Eales departure is almost palpable.

Given the situation, I think it's a good RNS, sh*tty situation, but JW showing his colours.

Slight concern in that last line:

"...the Board is assessing the Company's funding requirements until a transaction can be completed."

Indicative of having some time left yet and hopefully one more interim funding to go.

[aceuk] 23/2/2024 11:12

Wardle strengthens his grip



Being a geologist he should know what he's doing?

[bigwavedave] 23/2/2024 10:07

There's your TR1, Ladeside.
Martin Eales out and no words of thanks from Wardle.
Yes, pathetic mkt cap but some hope now on funding. Can JW get this back on track?

[ladeside] 22/2/2024 14:23

100 Million just gone through so looks like we'll be seeing a TR1 shortly.

looks like sells but someone obviously taking them at the other side, irrespective I'm sure we'll hear something shortly as the DMS plant is due to commence production on March 15th.

MCAP now a pathetic £4.9 Million......

[al101uk] 08/2/2024 23:49

Ace,

Never too late to learn :-)

[aceuk] 08/2/2024 20:07

al101 I'd guess you have a much better grasp than most of books, etc. and therefor don't need a nihilistic excuse ;-)

[ladeside] 08/2/2024 17:25

This is true for most nowadays and has obviously been the case here, however if a company is putting out bullish news and everything seems stable with tangible good news expected, then one could easily believe that the share price should have a static to small bandwidth and that on the dropping of the expected "blockbuster RNS" that said company could re-rate / gap right up ??

I get what you're saying though and if there's no dividends in play and an extremely dismal market, then I can see why people choose not to invest / hold funds in AIM stock nowadays.

Being honest, I personally don't have the discipline or access to large lump sums so adding here and there and building up my portfolio is a much better way for me to operate, otherwise it could easily end up on the 2.30 at Kempton or on a Treble on the TV matches at night, that said, maybe that would have worked out better....

[al101uk] 08/2/2024 16:49

I was trying to point out that reverting to the mean for a share price doesn't mean you don't lose money.

I think the key thing I learned from Amerisur and others all those years ago was that I don't miss out on a great deal by not holding during uncertain times. I can buy or sell within a few minutes, with a few swipes of my phone. I might lose a percentage of the gains in the meantime, but I more than make up for that, especially on AIM, by avoiding companies where the uncertainties turn to large losses.

In Ironvelds case, what is likely to happen in the next day/week that could cause a large and sustained rise in the share price? If the answer is nothing or something that looks unlikely, then I can wait and it's a two minute process if I'm wrong.

Luck is needed in investing, but you can stack the cards in your favour before making the bet. That's what a strategy is for.

I don't subscribe to nihilism in investing.

[ladeside] 08/2/2024 15:31

Yes, there's no doubt it has been abject failure after abject failure, let's just hope that TDH is right and JW can now turn this around from this hellishly low price.

I think we can all agree that everything now depends on this funding deal and of course the hope that if it does appear that the terms are not completely destructive to the existing shareholders.

If it does come off then there's no reason why we can't get to a mcap of £30 Million+ but of course who knows how much debt we'll have or how many shares are in issue by that point ??

Personally I'm pretty scunnered but also staying put for better or for worse...

[al101uk] 08/2/2024 15:03

To put that in to context, shareholders when Ironveld first hit the market had a share of £16.8 million of market cap.

If those shareholders held on until now those same shares as a group are worth £363K.

[al101uk] 08/2/2024 15:01

Still tracking this :-/

16/08/12 - £3 million Initial Placing

203 million shares for Acquisition of Northern Limb of the Bushveld Complex, equivilent of £13.7 million @ placing price of 6.75p.

Ironveld lists on AIM with about 250 million shares in issue.

The Market Cap at this point is around the £16.8 million.

20/09/13 - £1.575 million - Disposal of legacy Company
03/12/14 - Placing £750K
18/06/15 - Placing £1.5 million
26/10/16 - Placing £1.8 million
21/06/17 - Placing £2.1 million
27/11/17 - Placing £1.765 million
19/11/18 - PLacing £0.4 million
19/02/19 - Placing £1 million
26/11/20 - Placing £1 million
18/2/22 - Placing £0.13 million
13/7/22 - Placing £4 million
23/2/23 - Placing £2 million
26/10/23 - Placing £1 million

Capital Injected: £35.7 million

Market Cap: £5.71 million
Book Value: £22.16 million

Shares in Issue:3.93 billion
Warrants in Issue: 470 million

[vaston] 08/2/2024 09:56

SYME IS NOW READY TO FLY

[the dark horse] 08/2/2024 09:55

I feel at this price and in the current circumstance of JW taking the helm and being prepared to support the company that it was time to do a bit of averaging so I bought another 1m this AM
GLA
TDH

[malcolmmm] 08/2/2024 08:24

Best to have a 20% stop loss on tiny companies You never know what is really going on. There is a lot of corruption about especially on SA mining companies This did look promising years ago

[aceuk] 07/2/2024 20:47

Exactly so don't bother - laws of average and reversion to mean are pretty universal 🙂

[newforestlad] 07/2/2024 19:58

Selling one dog for another is how it tends to work.

[ladeside] 07/2/2024 19:54

There is no definitive right or wrong in terms of strategy, it's all down to the individual and their personal circumstances and of course there's lots of luck involved also. People can research until the cows come home however the PI is always at a huge disadvantage, especially where AIM is concerned.

I'm not doing great in here but when you read some of the stories of people caught up in the COPL debacle, it makes you wonder what some people are thinking about in terms of their risk appetite and what the repercussions are for them and their families if / when things go wrong.

Thankfully I'm nowhere near that situation and hope others who are suffering in here are the same.

[aceuk] 07/2/2024 19:36

Since I started owning a few shares about 20 years ago I always thought if I sell anything at a loss all I will end up doing is buying another loss. Those 20 years have in very rough terms have proven that my attitude worked, yes I've taken some very big losses because there was no choice on 1 or 2 things but overall I am well up and have achieved a reasonable income to boot, considering most of the time bank interest has been nil.