Kavango Resources Share Discussion Threads

[frost1] 28/1/2021 22:40

Of course they will exercise all the warrants at 1p. Even if price fell to 2p you still double your money.

[fbrj] 28/1/2021 19:24

Incidentally, the latest TR1 disclosures (27 Jan 2021) are difficult to reconcile. The last full disclosures were in the Nov 2020 prospectus. My calculations (probably not very accurate!) based on that and the latest TR1 show that MM's holding increased by 0.51m, HG by 2.80m, DW by 4.54m and MF by a net 3.63m - totalling approx 11.4m shares. The TR1 says the changes requiring disclosure happened on 26/27 Jan. I suspect they may well have something to do with the 14m shares issued to directors and senior managers on conversion of the loan notes. But if so, surely an announcement should have been made earlier?

[fbrj] 28/1/2021 19:02

Ski - surely it is very likely that all these 1p "A" warrants will be exercised at some stage? There are still some 50m outstanding, although by my rough calculations the directors and senior managers hold 14.4m of those from the loan note issue for £18000 cash and £92000 in lieu of remuneration. My understanding is that those 1p warrants can be exercised up to 28 April 2023 but if exercised before 28 April 2021 then a further "B" warrant, exercisable at 2.5p, will be issued also expiring on 28 April 2023. This A and B structure does seem a bit odd - maybe for CGT purposes?

[skiboy10] 28/1/2021 18:33

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[skiboy10] 28/1/2021 18:21

fbrj - as previously it is highly unlikely that all the warrants will get exercised....but that those that are bring in extra funds to the company to assist the company with the drilling campaign on the KSZ (unless of course a JV is agreed in the mean time with a major)

[skiboy10] 28/1/2021 18:20

Well it looks as though the company website kavangoresources.com is finally starting to be updated. The two new directors are now on but without any photos. List of the largest shareholders is still out of date especially in light of the TR1 announcements yesterday. Apart of course from the various LSE rules and regulations an up to date website is key as it is the shop window to the investing community. It should not be difficult to stray n top of this.

[tonytony4] 28/1/2021 16:39

Thank you for that fbrj.

[fbrj] 28/1/2021 16:35

tt2 - do a dummy trade and you will see if they are buys or sells.

Re warrants. I looked at this a while ago. From memory some 90m warrants have already expired out of the money but there are many others outstanding:

Approx 60m exercisable at 1p were issued as part of the April 2020 financing (includes various convertible loan notes), of those some 10m have been exercised. If they are exercised before 15 April 2021 then a further warrant, exercisable at 2.5p, will be issued - those will expire on 15 April 2023, if not exercised by then.

There are approx 1.4m Broker Warrants, exercisable at 2.8p, which expire on 12 March 2021.

There are also the warrants issued during the Nov 2020 £2m placing. They have a 30 month "life" and are exercisable at 4.25p. Approx 80m were issued.

I should perhaps mention the convertible loan notes which were issued as part of the April 2020 financing. They were settled on 20 December 2020 and resulted in an additional 28m new shares being issued; the related warrants were also issued but are part of the "Approx 60m exercisable at 1p..." mentioned above.

[tonytony4] 28/1/2021 15:21

Difficult to tell.

[frost1] 28/1/2021 14:59

Are the trades at 2.74 buys?

[tonytony4] 28/1/2021 12:11

More 1p warrants exercised! Does any body know how many more remain at 1p yet to be exercised?

[tonytony4] 28/1/2021 12:11

More 1p warrants exercised! Does any body know how many more remain at 1p yet to be exercised?

[d220] 27/1/2021 19:36

I can't help feeling slightly disappointed that we are not in a "closed" period. Had hoped that Directors might have an inkling of results from the long loop EM......

[gamesplayer] 27/1/2021 19:07

Yes that was my point. He leaves so that he can buy whenever he wants. Sorry for being vague.

[2prsimo] 27/1/2021 18:42

Well it has to be taken as good news that both Mike Moles and Hillary Gumbo have increased their shareholdings.

[skiboy10] 27/1/2021 18:38

GamesPlayer - DW left at the end of 2020 so is no longer an insider

[d220] 27/1/2021 17:13

Or maybe he will be a stalking horse for someone?

[gamesplayer] 27/1/2021 16:58

I wonder if DW doesn't want to be an insider?

[d220] 27/1/2021 16:50

As ever with TR1's, seems as clear as mud to me. MF has gone from 3.3% to 2.98%
DW has gone from 3.1% to 4.6%, MM has 3.83% and HG has 4.59% but not clear if those figures are before or after. Anyone shed any light? Either way, DW must be confident, despite stepping down.
Now that is out of the way, maybe we can have some KSZ news? :-)

[skiboy10] 27/1/2021 16:14

RNS out detailing a series of TR1 forms for directors plus a senior manager. For some strange reason ex Chairman Douglas Wright who has interestingly increased his shareholding by getting on for 50% (3.1% to 4.6%) is also on the same list of TR1 forms? But then he is still on the website which clearly needs to be updated as per stock market rules etc

[soulsauce] 27/1/2021 13:26

On the last stockbox they talked of the results of the large loop EM being worked through in Jan/Feb with the hope of getting targets for drilling.
Hopefully they have more than enough hits on the EM to be excited about.
Question is will we drill alone or have a 3rd party with deep pockets excited enough to join us.
We have cash to go it alone but with a partner we may have more chance of being successful.

[the count of monte_cristo] 27/1/2021 13:12

Have the management actually got a plan which they have communicated to shareholders, with timelines on when they will start drilling? Having a read of this now...

[soulsauce] 27/1/2021 12:26

They need to get drilling the KSZ not the KCB, that's the JVs job.
The main event is the KSZ and potential Norilsk deposit.

[the count of monte_cristo] 27/1/2021 12:18

They need to get drilling the KCB though, very slow progress and nothing to excite the market. The drill needs to be doing the work soon. Grab samples and the modelling scenarios are all well and good but they need to start drilling and find something.