Midas Capital Share Discussion Threads

[spurious] 08/8/2006 23:07

Hi Rambutan and all
appologies for posting prior to finishing full text
Now completed
Regards Patrick

[rambutan2] 08/8/2006 23:04

just read your post spurious, and fully concur with your last two paras.

[rambutan2] 08/8/2006 22:55

while i cant say im overjoyed with the proposal, my take is this:

forget the past. previous (much higher) share prices are no longer relevant. the reality is that mds is lucky to still be alive.

but it needs money to grow/survive until caps takes off - remember culs expire in only 14mths time, which is no time in the world of finance.

its raised it at a good premium to current share price. imagine what price would have been got for equity!

the cost is that the historic culs, which had been extended on v generous terms (but only to oct 07), also got the deal.

management isn't blameless as have too many links to past "misfortunes" and certainly haven't made best use of the good news that's been won in 06. are they really up to making best use of what mds has? mr peterson is the only one that is really being hurt by the dilution!

ho humm...

[ph 100] 08/8/2006 22:43

I take back my previous comments on this Bulletin Board.

To air my views. This smacks of gross negligence. I am very disappointed with this latest turn of events. The reasons given are not conclusive enough to sway me to vote for.

[crazycanuck] 08/8/2006 22:21

Johnboy, must confess that I agree with you. Wish I had never read a thing about Corporate Actions because as far as I can see very few banks are buying the software. I'm pretty much fed up reading the optimistic posters on this thread as they always try to paint a bright picture but I don't see any near term gains. Tim Simon isn't stupid and therefore he would not have sold out at 12p (or whatever it was) if he thought that the share price was going to be rocketing in the next year. I dumped half earlier this year and now retain a small position with the hope that in a couple of years Jarlath has transformed the company.

[spurious] 08/8/2006 21:59

Hi ,
Although I have just short of 4% in Mondas shares and am averaged at around current price I am one of the lucky ones however I cannot sit idly by and not be concerned by what appears to be the shabby treatment of existing shareholders by the latest proposal
Many shareholders will rightly feel outraged by the substantial dilution suffered by the proposed amendment to culs. Why should many shareholders who have purchased shares in the 40/80p range over the last few years and displayed equal loyalty to the company as some of our more illustrious culs holders, not enjoy the same rebate on offer. Is it yet again a case of the small shareholder being treated less than equally.I hope not. I have been fully supportive of Mondas and cannot fault the real progress I feel it has made nor the openess of the board, however it is time to get answers to a few questions because integrity and fair treatment of all investors would be cornerstones of my investment philosophy, as I would expect it to be with Mondas
Why do we think now is the right time to re negotiate culs. I would expect this to be done from a position of strength... Do the current board therefore feel they are taking advantage of a fairly valued share price !!!!!
I understand the need for short term sacrifice for longer term gain as Im sure all on this board do but I feel Mondas could be a little more precise regarding current financial situation and proposed expansion plans... Will we make the numbers!!!! and what area of the business will the extra million be spent on!!!! Have any takeovers been identified!!! Do the board feel that the current share price offers real value to any acquisition!!!! What synergys might we expect!!!! if your asking for sacrifice then the shareholders need to be as fully informed as possible
Perhaps increaseing sales pressure is being exerted by some of our global customers for Mondas to clean up the ballance sheet... If so then perhaps the shareholders could be given a more accurate picture re Mondas global ambition particularly re caps , where we are currently, and where the company see us in the next 6 months. Culs is not being fully addressed only delayed so why would the company feel this proposal addresses ballance sheet issues nor should it change any perspective clients view of our financial strength
Shareholders in Mondas could not have been faulted for their loyalty and patience over the last few years, as they have watched the value of their investment shrink. As a fellow shareholder I feel the company owes a fuller explanation to all shareholders, particularly when they are asking for them to accept even more pain,
and I feel it is impossible to reach a considered oppinion on the merits of the culs aamendment without being put in a more informed position. Trust is a two way street, and I hope that all the goodwill that Jarlath and the team have built up turning Mondas into a profitable and truly global leader will not be dissapated by what superficially appears to be dilution for the exclusive preserve of a few institutions at the expense of its wider, smaller, but vociferous shareholders. That would be a serious missjudgement
Look forward to your thoughts George, and hopefully we can get some answers to these and any other questions from concerned shareholders
Regards Patrick

[kelv2] 08/8/2006 19:07

Mine is a No vote for both as we have been screwed once too often and I do not mind stating it. I suggest we let the board know our thoughts by voting on the BB. Rather than by name vote by the recommend option on the previous page currently 24 buys and 1 sell. That way those who wish too can remain anonymous

Kelvin

[magpie99] 08/8/2006 18:54

Very important now to get the view of Orange and the Ovum tech report.

It seems shareholders are being diluted so that they have less and less control

What will the next renogotiation be 2020 5% 1 for 8?

[cocker] 08/8/2006 07:46

Only last year most of us on here were celebrating the agreement mds had made with regards to settling the culs issue. Now we are praising the fact mds will have to pay .75% less a year for five years and give them double the amount of stock. Talk about xmas coming early.With the company's order book & revenue in its best shape for years, why do the management continue to shaft the shareholders.

[gac141] 07/8/2006 10:37

I think the company recognises that it has been missing the mark on PR and I hope to see a change for the good in the future.

I am comfortable with today's announcement. Just need some more business and to get confirmation that they ARE going to hit at least market forecast maybe exceed it.

George

[rambutan2] 07/8/2006 10:13

yes, all in all not too bad.

although i feel that if they'd handled pr better in 2006 then share price would have been higher and we'd have suffered a bit less dilution ie cnv into 3 rather than 4 per £.

[mollymolly] 07/8/2006 08:39

I agree with George & Steve,

It was necessary to get the CULS resolved as the CULS would soon have been a hinderance to obtaining both new business and new investors.

The dissapointment for existing holders is theextra dilution, but that is because of the share price, which is still at a pitiful level. I do not think it will take much more positive news to get to 25-30p level.

[steve_wilson] 07/8/2006 08:17

CULS not an issue now until 2011. Takes away uncertainty.

Mondas does not need money to sustain the business but to grow it.

Company is trading in line with internal forecast? Through experience internal forecasts are always higher than market forecast so one can safely say the £700,000 is 'In the bag' probably exceeded. If I can suggest that is what the market has been waiting for.

Dilution for existing shareholders. That was always a known factor it was all about what price. 25 pence is a bit kind to Foresight and co but they have stuck with the company and extended before.

All in all not bad and a much more stable company for it.

SJW

[birdie4] 07/8/2006 08:09

Makes good sense to me.

[gac141] 07/8/2006 07:45

Not worried about money- They are trading profitably and 3m was never going to be in the bank in 15 months time. It looks like the business is gearing up for the opportunity of expansion.

Also...Having the CULS looming could have caused a major headache when negotiating posible contracts and may have made the balance sheet look very sick.

It also makes Mondas a much safer bet for any new investors.

George

[cocker] 07/8/2006 07:28

I'm not sure what too make of the annoucement this morning. Perhaps a good deal with the culs,but how long will 1mill last this time & it won't get you very far on the aquisition trail.

[amt] 07/8/2006 07:26

This looks like a large dilution of existing shareholders funds (40% when excersied) which is what I thought was always the danger with Mondas. I have pointed out before that until they got their finances in shape it would hinder opportunities in the future. Now they have corrected that problem but its a high price to pay for existing shareholders.


Loan Stock Amdmnt & Placing

RNS Number:3063H
Mondas PLC
07 August 2006

Mondas plc ("Mondas" or "the Company")



Proposed amendment to 8.75% convertible loan stock 2007 ("CULS") and Placing.



Mondas plc, the AIM listed Financial Markets software specialist, has today
announced details of a proposed amendment to the terms of its existing CULS to
extend its redemption date, enhance the conversion rights and reduce the annual
coupon payable. At the same time the company has announced details to raise
#1,000,000 through a placing of additional CULS on the amended terms



Background and reasons for the Proposed Amendments and the Placing

The CULS are due for redemption on 31 October 2007. Although the Company is
trading well, following improving trading conditions in the financial markets
and the recent acquisitions of Eclipse and Blue Curve, the Mondas directors
believe that the Company may not have the necessary financial resources
available to redeem the CULS in 15 months' time. It is clearly desirable to
eliminate any uncertainty caused by this situation and, accordingly, the Mondas
directors propose to amend the terms of the CULS as set out below. The Mondas
directors believe that this, together with the proposed placing, will strengthen
the Company's financial position, particularly when it are being evaluated as a
vendor of large and complex systems to the financial sector. The proposed
amendments to the terms of the CULS, together with the net proceeds of the
placing of Additional CULS, which amount to approximately #0.92 million after
expenses, will allow the Company to expand its sales and marketing capability,
to continue product development, to provide working capital and to take
advantage of the growth opportunities presented to it.

[cocker] 05/8/2006 22:17

quality answer to question 4 ram. Richards,Botham & Garner,those were the days indeed.We however do have Tresco,but I'm not sure you can call a full international player a county player anymore.

[amt] 05/8/2006 20:11

Yes, I think that is one of the reasons for the share price not doing as well as maybe you hoped. The track record is full of disappointments and so the company has to demonstrate a long lasting recovery before it gets the full reward from the city.