Ithaca Energy Share Discussion Threads

[bulltradept] 12/5/2017 07:14

At least holders now get something!

[wbodger] 12/5/2017 07:12

bountyhunter, The bluff was in the boardroom when they got Les Thomas to recommend a stupidly cheap offer. I wonder what Ian McKendrick is thinking now.

As for Hurricane, Kerogen and Crystal Amber together hold 41.2%. Hurricane will come to the market with a Placement or (I believe) a Rights Issue which will take their market cap to over £1 billion with no debt. There was no blocking stake at Ithaca, and big questions over indebtedness.

(Edit, PS may I ask you to edit your last post to get rid of the space between your question and the answer? It screws up the screen!)

[bountyhunter] 12/5/2017 06:35

O/T does this sound familiar to long term holders here - guess the company then scroll down:)

"The Company has applied, and intends to continue to apply, its existing cash resources toward certain pre-sanction long lead time items, including commencing work on the FPSO and mooring buoy, ordering the fabrication of key subsea components such as Christmas trees, and undertaking certain geotechnical and geophysical studies in relation to the proposed location of the FPSO."













HUR

[bountyhunter] 12/5/2017 06:34

Delek played a good game of bluff there I must say!

[jimbobaroony] 12/5/2017 06:31

Nuts, I got that wrong.

[bountyhunter] 12/5/2017 06:27

Steve - we were right - the 'gamble' would have paid off!

[wbodger] 11/5/2017 15:45

#20094 "You might as well put your money on a horse. Buying these now feels like a gamble not an investment"

yes, The AIM market is always a gamble but it usually takes longer to tear up your ticket. If this one pays off it should be obvious within a month.

For me the worry was that I overlooked some hook that allows them to not offer the $1.95, and then you get tied up for months. As I'm not a corporate lawyer it wouldn't be hard to miss something about a Tender on a TSE company headquartered in Calgary.

I have been expecting the market price to recover a bit. I'm beginning to feel they will keep quiet mopping up shares at $1.57 or whatever, and only move for the rump when they need to, to co-ordinate with something else.

[speedsgh] 11/5/2017 12:13

Received my proceeds from Tender Offer on 28/4. Equivalent of 112.9648p. Share price was 107.75p at close of business on day prior to offer rns. Travesty and unfortunately exchange rates have moved against UK shareholders on this one since the offer announcement. Anyhow time to move on.

[whiskeyinthejar] 11/5/2017 12:02

Im sure Delek had expensive legal advice on the takeover so wouldn't lightly say they aren't obliged to buy the remaining shares at 1.95. They could still be wrong of course.

There was a separate ipo mooted for a Delek gas asset which it was told to get rid off- i think to lump ithaca in with that would just complicate the ipo. But new plan i think is to list the entire conglomerate in London.

It would make sense to me if they compulsory purchased the remaining shares but they seem quite happy to have less than 100% ownership all over the place. They own bits of Faroe oil, Ratio oil, Anver exploration, oil services companies, bit of a Canadian oil field left over from when they owned Nauticus oil etc. Delek Group only owns 88% of Delek Energy.

[bountyhunter] 11/5/2017 10:18

yes it would be risky or the current market price would be ~£1.10

[jimbobaroony] 11/5/2017 09:08

You might as well put your money on a horse. Buying these now feels like a gamble not an investment

[bountyhunter] 11/5/2017 08:07

sledge - thanks for the info re HL
Wb - I agree with you on that 100%, imho Delek are playing a game of bluff right now
Steve - it would be quite an irony if they did reverse into IAE and become the new Ithaca; what a horrible thought! :-(

[steve73] 11/5/2017 02:20

Wb, I've been very tempted to take a few at this "heavily discounted" price just incase they do decide to compulsory purchase at $1.95. I can't see it trading much lower than this.

Or, as you suggest, use the IAE listing for their total assets. Wonder how many new shares they'd have to create to balance, or could they just relist having included everything else.?

Anyone an idea of the approx. value of their other stuff?

[wbodger] 10/5/2017 21:33

I'm just amazed at anyone accepting $1.50 (roughly what todays AIM price converts to) unless they have been spooked by Delek's warning to leave them with untradable shares. If Delek are allowed to delist and pay an illiquid price for minority holders in a take-it-or-leave-it manoeuvre they deliberately created, that would be available in every takeover situation. So there must be rules against it.

It doesn't seem worthwhile Delek screwing the shareholders who didn't think £1.95 was enough. Just say tough, you lost, here's $1.95 like everyone else got, and we're taking it private because we have 95%.

So I still expect them to reopen the offer at $1.95 so they can delist, or if they now have 95% make a compulsory purchase at $1.95. I also have a hunch they will re-issue the Ithaca assets as part of a FTSE IPO perhaps including the Israel assets, and their 13% of Faroe.

Any thoughts?

[sludgesurfer] 10/5/2017 20:40

I mailed HL. They have settled the cash from those who accepted the offer initially. Whilst they gave no firm timing, they expected settlement of those who accepted during the 10 day extension shortly.

[bountyhunter] 10/5/2017 20:27

anyone had their cash from the Deleks yet? ...or know when they are going to settle their debts? ...no surprise they are hanging on to our cash as long as they can given their record on this takeover, $1.95CAD still equal to £1.10GBP

[bulltradept] 08/5/2017 13:40

Oh well you can still trade it! lol.

[bountyhunter] 08/5/2017 06:50

yes it is a bit of an odd situation here; in my experience once over 90% the bidder normally compulsorily purchases the remainder at the offer price which makes sense to me - although there is no obligation to do so not doing so leaves a bit of a messy situation for the bidder and the remaining small shareholders who will continue to hold small slices of the company - Delek may be being quiet about future intentions right now as while the listing remains they can scoop up many of the remaining shares at below the offer price

[steve73] 08/5/2017 00:52

I thought usually in a t/o situation they had to offer to buy out any remaining holders at the t/o price...

What then is different with this t/o..?

[thegreatgeraldo] 07/5/2017 21:06

Thing is, buying out 8% would cost them the thick end of £30 mill at the current level, so a bit of admin hassle might be worth it... if they tried a low ball offer, it might not be taken up. A bit of an unusual situation.

[bountyhunter] 07/5/2017 21:02

If they're thinking of paying themselves a dividend from profits in the future they would have to share that proportionally with any remaining minority shareholders plus there would be other administrative hassles so I would have thought they would try to gain 100% even if not immediately.

[thegreatgeraldo] 07/5/2017 20:57

Not sure when the listing is suspended, but you either sell or you end up a minority holder in an unlisted stock. The Daleks might make you an offer in the future just to make life a bit easier, no guarantee of that. There might be some sort of unofficial market?

[arab3] 07/5/2017 19:43

what would happen if you still held shares in IAE

[dozey3] 07/5/2017 15:16

My broker was unable to handle the paperwork in time for me to get rid of my holding within the deadline extension. Others may have also experienced this ineptitude. Fortunately I was alert enough to sell just before the bell on Friday 31st, so reduced the potential severe haircut to a trim. Annoying nevertheless.

Yes, those who sold initially on the market turned out to be the winners. OTOH their submission to highway robbery contributed to all of us being doused with a bucket of you know what, including them. The offer was far too low, and the directors running away laughing are a disgrace.

I have held through the high-risk times, starting with the Valiant takeover in 2013, and adding at 51, 67 and 126 so finished well on the right side. Not going back into oilies though. Already have HUR, my speculative holding, TLW for recovery/takeover and BP/RDSB for income.

Good luck to all fellow Ithaca travellers, it sure has been a disappointing arrival.