Kazera Global Share Discussion Threads

[tommygriff] 29/9/2019 18:50

Sorry years ago

[tommygriff] 29/9/2019 18:50

I think it would be a good move for Kzg to list over in Canada, must more appetite for junior miners!Ironveld & Amerisur should have some the same months ago!

[cyberbub] 20/9/2019 14:14

Little bit of nibbling at 0.5p...

[hedgehog 100] 17/9/2019 13:41

KZG announced in 25th. March that it had raised £0.5M. at 1.7p. -

25/03/2019 08:25 UK Regulatory (RNS & others) Kazera Global PLC Placing to raise £0.5 million



The share price then began a new leg downwards in early July, apparently because of the need to raise additional funds.

And then on 27th. August the company announced that it had conditionally raised £04.M. at 0.6p, i.e. 80% of the previous sum, at barely a third of the price. -

27/08/2019 07:02 UK Regulatory (RNS & others) Kazera Global PLC Conditional Placing



On the basis at which the March funds were spent, there could therefore be a new fundraising in about late December, with this starting to impact upon the share price in the second half of November.

[horneblower] 01/9/2019 21:45

I cannot disagree with your logic and have no insight into what is actually going on...and yet it seems someone has promised to put in £400k...someone presumably with more insight than we poor shadow-boxers on the periphery!

[cyberbub] 01/9/2019 19:28

I understand the 'something is better than nothing' argument, but at a 70% discount, the value of their main holding will lose far more than anything they could hope to gain. By my BOAFP calculations if a large holder's average is 6p, adding 25% to their holding at 0.6p only drops their average to 4.6p. Further shorting that 25% down the discount cliff (as you say if a counterparty could even be found) only reduces their average to 4p.Looking at the chart today, who with an average of say 4p would hope that they would get much/any of their money back? The problem any large holder in a minnow has is that they are unable to get out in the market, so it really doesn't make sense (IMO) to throw good money after bad by making a large holding even larger.The only thing that a large holder averaging down can hope is that the company (or in this case its key investee company) gets taken over, at a price higher than their latest investment - that's their only route out.Will that happen here? Quite possible I suppose, looking at IRON etc. A firm takeover worth 1.5p to KZG would probably be welcomed by a lot of holders!Just my views, happy to be challenged, no advice intended etc

[horneblower] 31/8/2019 22:23

I can't believe I'm having this conversation.

Surely you've been in a situation where you've put money into a venture and after a while, when things have been difficult, they come and say we need a bit more money or we collapse?
Yes it's sending good money after bad, but a possible fiver is worth more than a definite zero....and, you're getting it at a discount...ha ha.

If not, you must be very young!

[cyberbub] 31/8/2019 20:42

But if they're already involved what's their benefit in seeing the share price fall 70% and wreck the value of their existing holding?

[horneblower] 31/8/2019 19:29

Of course not.
All I'm saying is that you can't short stocks like these. They are simply too illiquid and insignificant.
Placings are done by outfits who are already involved. They have plenty of time to sell some shares before D day, partly to finance the job. After all, £400,000 is not all that much. That is why the price tumbles prior to the placing.
The 'placees' are taking a risk. They offset it a bit by selling some shares to reduce the overall cost. It's standard practice.

[cyberbub] 31/8/2019 15:12

I appreciate someone has to loan shorters their shares HB. There must be a number of large holders in KZG who can't get out and might be willing to loan their shares for a say 10% fee. I don't think they (or we) could have imagined that the shorting would cause a 70% fall in a few weeks.Alternatively it could benefit some large holders to get the share price down quickly if they want to buy more at these levels. Who knows what discussions go on in smoke filled rooms in the City.Surely you don't think the share price going off a cliff a few weeks before a placing is coincidence?Yours cynically :-)

[wrtmf] 29/8/2019 22:01

these guys did a placing at 6p, 2yrs and 1 month ago
i was fortunate to get out just before.

[horneblower] 29/8/2019 08:56

Yes, but there has to be a counterparty to a short position.
Where do you think these wideboys find such a wise fool?

[cyberbub] 29/8/2019 07:49

I believe that most AIM minnows raise money from the same pool of "investors" (City wideboys). It's very rare to see increased holdings RNSes after a discounted placing in a minnow, therefore these "investors" are all smallish. And it's extremely common for both a good news announcement shortly before a placing, and then for the share price to plummet immediately after the news. Therefore logically the "investors" either guess or know that a placing is imminent. It's likely that the good news announcement is intended to briefly boost the share price to allow the "investors" to be able to short their target purchase size in the placing, and guarantee them a profit when they get their shares in the placing to deliver back - otherwise they simply wouldn't take part in a placing in a risky minnow, and the company wouldn't get its funds. Hence the reason why the share price in minnows rarely increases much above the placing price - because the "investors" never actually hold any shares at that price!Just my view. I fall for it every time.

[horneblower] 27/8/2019 20:16

It's just your terminology I misunderstood.
A discounted placing is not usually described as a short.

[cyberbub] 27/8/2019 09:36

AIM typical practice HB, surely you've been around long enough to see it happen time after time?

[horneblower] 27/8/2019 09:35

cyber, where does this 66M short info come from?

Imo, this will bounce off a ha'penny.

[cyberbub] 27/8/2019 09:00

The people in the know will have made a packet shorting 66M shares from 2p, sigh

[cyberbub] 27/8/2019 08:06

There we go. Screwed over at 0.6p....

[cyberbub] 21/8/2019 13:22

Someone (or some people) are desperate to dump here...

[cyberbub] 20/8/2019 18:46

Anyone who thinks the participants in previous placings will be hurting doesn't understand AIM... Almost all placings are forward-sold to shorters - they close as soon as the new shares hit the market, after a nice 10-20% gain... They'll all be long gone!

[horneblower] 20/8/2019 15:06

Well, the chart now looks terminal.

Perhaps the BOD could make some comment?

Even if it's just "Ciao to all our mug punters and thanks for all the money.

[cyberbub] 17/8/2019 10:33

Great, another £400 trade knocks another 5% off the share price ..

[cyberbub] 08/8/2019 15:01

Great £250 of trades takes it down 5%....

[horneblower] 08/8/2019 09:39

I feel the lithium may prove to be irrelevant (unless it is a world class resource).