Metals Exploration Share Discussion Threads

[recommended] 11/8/2010 00:11

wdurham, it is worth pointing out perhaps more strongly that Solomon have letters of intent but not obligations from 2 parties to vote with them in so far as they are part of the concert party. It would be bizarre if Stephen Smith (Reef Securities) didn't vote with Solomon come what may as he works for them (& is paid I assume). Funds managed by Baker Steel are however perfectly able I imagine to change their mind if there is any new development that would make 13p look the wrong price. So,Solomon may only have 46%.

[wdurham] 10/8/2010 18:38

No, dougcsv - you are not wrong. Percentages of votes CAST is what counts, not percentages of TVR, at meetings to accept or reject various resolutions.

However, what meeting are you referring to?

This is an offer. Each shareholder will be made the offer individually, and can accept or refuse as they see fit. Solomon already have 53% of shareholders committed to accept the offer. If they achieve at least 75% of acceptances - based on the TVR - they WILL delist the company from AIM. If they achieve at least 90% of acceptances - based on the TVR - they WILL compulsorily purchase the shares held by remaining non-acceptees.

There will be no meeting at which shareholders can vote to accept or reject the offer. It is up to every shareholder individually to accept or reject the offer when they receive it.

[dougcsv] 10/8/2010 17:20

My understanding from talking to them is that the offer doc will contain the managements statement/position so shareholders have the whole thing in one go.

I think it is interesting that there are so many declarations being announced and they all seem to suggest increasing positions not decreasing....it may be that some of the larger players are attempting to stop the co being delisted or not for this price anyway.

I also believe that the required amount to delist if it is proposed is 75% of the VOTING at the meeting - not 75% of the entire listing - so those who can't be bothered to vote will be playing into the hands of the large holding voting in favour of a delist should it come to that. I might be wrong of course ...

[holism] 10/8/2010 15:28

I doubt 13p will be the final offer.

[benson384] 10/8/2010 15:22

18-20p maybe a better offer..................otherwise info we all been told over last years would come into question etc.

[newswseller] 10/8/2010 15:16

I'm holding till the end, as 12.75p would give a loss and 13p would give a profit :-)

No news is good news, as management might be doing something proactive which is taking a while.

[benson384] 10/8/2010 14:58

Cheers, I am still well long. In light of broker notes stating imbedded value now circa 38p, before any production. Daylight robbery if no serious defence is put up.

[chipperfrd] 10/8/2010 14:50

I am annoyed with management over the lack of response - so I have trimmed down a bit.

[benson384] 10/8/2010 14:47

Anyone still holding or sold out and moved on ?

[ssadim] 06/8/2010 12:50

After three hopeful years I,m out. And hoping to recoup my losses in SIA(ramp, ramp) DYO.

[newswseller] 04/8/2010 15:07

I hope the board has been busy with their bid defense documents. Surely they have now had enough time to speak to the major investors and have some sort of possible bid defense planned

[holism] 02/8/2010 14:59

massive issue of shares at a discount perhaps with no preemption rights for example.

[recommended] 02/8/2010 10:56

holism

I don't think you will find he is a gentile

[drm4] 02/8/2010 09:04

Holism,

What are his options to shaft us once MTL goes private? Never been in this position before.

Thanks in advance.

[holism] 02/8/2010 08:37

minority shareholder issues surface when a company goes private, is Candy a gent? Or will the small shareholder get shafted?

[drm4] 01/8/2010 14:16

Thanks for your comments chipperfrd. I have no intention of selling as we all know that their offer significantly undervalues the company. And I don't need the cash.

Thanks for confirming the above.

Richard

[chipperfrd] 01/8/2010 12:03

drm4,

My understanding is that 90% is the threshold for compulsory purchase.

Solomon may well de-list MTL if they can gain 75% but this may not necessarily be such a bad thing for share holders who hang onto their shares. I have been a holder in a non-listed company for 2 years and have just been offered x13 in order to get rid of me!

[drm4] 01/8/2010 11:45

I'm a small PI and know very little about the compulsory purchase of shares but from what I've read since the derisory Solomon offer it appears that the compulsory purchase of shares owned by non-accepting shareholders can only occur if Solomon manages to buy over 90% of the shareholding.

Therefore if Solomon do not manage to get 90% of shares and as a result cannot compulsorily purchase the stakes of non-accepting shareholders, these will retain a stake in the newly listed company. Am I right?

Any clarification would be greatly appreciated! Thanks in advance.

Richard

[benson384] 31/7/2010 19:16

CFD's are used to to acquire large positions quickly.Downside,they carry no votes.
Certainly not being bought for 0.25p turn,but to my mind a higher bid.
RNS 23.07.10 explains that Solomon view the project of having REAL long term value and that shareholders will benefit....i.e. CC. It gives every reason why you should NOT accept 13p. That comes fromthe biider who is trying to buy 100%.....
There arguement is that as a private company they willbe ableto raise the $140m easily,as opposed to a severe dilutionwith an equity issue etc. That is cobblers....I have been in this since circa 2006 and seen price at 5prise to 40p then to current level. That is a good few years of prep work in sizing mine etc.all for nothing at 13p.
I amcertainly notaccepting 13p,and I am sure thatwill be qualified over next 10 days as to why. Await developments.Dont sell,and get mugged !!

[dougcsv] 31/7/2010 00:38

MY understanding is that the co will have a section in the offer doc putting it's view. There's not much they can really do about it in real terms. The question is do you stick with it risk the delisting and possible comp purchase of your shares, or get out now. If you stick with it and want out after delisting it may be tricky selling, on the other hand one assumes that if Candy is putting substantially more of his own cash in this he;ll not want to hang around - he'll want to get into production asap - and may manage it a lot faster than the company could as it stands now. Once in production a relisting would most likely result in a significantly high valuation than we've seen and if you've stuck with it will reap the rewards along with mr Candy.
Lots of ifs and buts there as always. IMHO and all that...

Any views on the CFD positions being taken out recently ?

[mikey34] 30/7/2010 19:17

I absolutely agree wendy....but it is just possible that a third party could look at this and make an offer that has Candy willing to accept....it sounds and is highly unlikely but by my calculation this is so lowball that a knockout bid quite a bit above this could still be worthwhile for the bidder and easy uncomplicated money for Candy.

[wdurham] 30/7/2010 18:53

Mikey - there IS no wriggle room. It really makes not the slightest difference where the management stand.

This deal cannot be stopped unless, somehow, the management can persuade Candy to raise his offer voluntarily.

I have just watched a voting exercise in another unrelated company. Many nominee account holders failed to advise their clients that corporate action was in the offing. Those that did still had to be nagged about assuming voting powers/authorities for their clients and actually casting those votes. Some cheap on-line execution only brokers don't even offer a voting service.

The likelihood of enough PIs being able - or being bothered - to cast their vote in order to prevent even the delisting is very slim indeed.

[mikey34] 30/7/2010 18:35

benson,
Thanks and you're right, but that involved "noting" the fact that an offer had been made.I 'd now like some sort of indication as to where they stand.You could say a week isn't long enough but in an ideal world I'd like to think its long enough to say something like.."We believe this currently undervalues the co and would like to explore other possibilities".I'm aware that the wriggle room is limited but would like them to at least show willing.

[benson384] 30/7/2010 15:59

There was on 23.07.10..........