Pensana Share Discussion Threads

[raremurph] 04/4/2023 13:17

Maybe a company will step in to buy it at a huge discount. THAT company might be worth investing in. This one is already on life support, with investors capitol on its way to money heaven.

[value viper] 04/4/2023 10:42

PA said in the summer of 2020 after the 120p placing that the main financing would be sorted by the end of that year - with 2021 being the construction year 2021 then passed with no funds raised2022 then passed with no funds raised And I'm not talking about the keep the lights on money they've squeezed out of a couple of parties en route Here we are in spring 2023 with rates through the roof, credit conditions worse and they haven't raised the money - go figure An execution disaster and no other way to put itWith the precarious state the company now in, amazed it's still at 28p

[wiseacre] 03/4/2023 22:11

The market cap has fallen to just £70 million which makes the company vulnerable to a bid given the value of of the project both upstream and downstream. Private investors have been spooked but sellers likely to regret rushing for the exit.

[anthonyspencer1] 03/4/2023 17:28

Another battering today it seems. Their attempt to calm the market seems to failed but worth a try. Don't panic I have to remind myself. ? while I'm not buying more today. I ain't selling either.

[mwj1959] 03/4/2023 14:26

I suspect the header of this BB may need to be changed!!

[raremurph] 03/4/2023 13:30

The bottom line for me, is that they have not done what they said they would do, when they said that they would do it and been very economical with the truth.This can happen and problems can and will arise, but Pensanas strategy seems to be to bury their heads in the sand, as opposed to communicating with shareholders and keeping us in the loop.

All things considered, the risk us now too high with the current economic climate and flaky management.

[mhssh] 03/4/2023 12:24

If not wipe out.

[mwj1959] 03/4/2023 12:15

Even if he manages to pull these various rabbits from the hat we're likely looking at serious equity dilution.

[wiseacre] 03/4/2023 10:59

Oh ye of little faith.

Give the guy a chance. There is a lot to go for.


The Company has been engaged with three parties to provide the required
funding; namely the previously announced US$175 million bond issue being
arranged by ABG Sundal Collier, for which the Company has received green bond
accreditation from CICERO rating agency, a $220 million strategic equity
investor which is before its investment committee and a $150 million debt
package being arranged by a South African bank.

[mhssh] 03/4/2023 10:32

I think you are very wise. I had an order on to sell 50% of my holding but greed made me cancel. They have issued a long screed this morning (sure you have read) saying how wonderful everything is, just that they forgot to say how they would pay for lunch.

[raremurph] 03/4/2023 10:11

Well, I am now a non holder, as of 10 minutes ago. Sold my entire position and took a 40% haircut. Lessons have been learned and I Will never have anything to do with Paul Atherley, and people like him again, (touch wood). I will consider it as tuition fees and move on.

[mhssh] 03/4/2023 09:47

mhssh a non-holder, is that what you're saying? I WISH.

[lewis winthorpe] 03/4/2023 09:05

Funny how non-holders care so much lol

[mhssh] 01/4/2023 18:39

Small money to M&G but, right now, huge money to PRE e,g difference between survival and wipe out. So I hope, if they do step up to the plate, that they will take control of PRE's profligacy.

[mwj1959] 01/4/2023 18:01

The investment that M&G made was tiny in the context of its overall AUM of £300bn+. Clearly it would have been more relevant to the fund(s) that invested in it, but even then the c.£10m+ they have invested in total might not have been that significant either. Individual fund managers running funds make these sort of calls every day (and are trusted to do so without any reference to a panel etc.). Some they get right, some they get wrong. So far they seem to have got this one wrong. The key for any manager is to to get more right than wrong and if you do that you generally end up with a decent track record. If you don't your career is unlikely to last that long! There are always mistakes along the way and clearly if PRE never makes it off the starting block this will be one, that with the benefit of hindsight, they will regret, but are unlikely to dwell on. Their challenge now will be whether to continue to back the company and I am presuming that tough conversations will be going on with PRE management as we speak (and may have been going on for a while) about where exactly the company is on the funding front. Clearly, participating in these conversations will mean that M&G will be "insiders" so won't be able to trade any shares.

[mhssh] 01/4/2023 17:34

I cannot believe that M&G would allow one person to make an investment of this size and type. I have to believe that the investment would have been signed off by a panel of some sort with everyone having had their say. But clearly, even that, has not prevented this seemingly wrong call.

[mikethebike4] 01/4/2023 17:34

don't you believe all the doom and gloom !

[dumbpunter] 01/4/2023 13:57

"Maybe PA had documentary evidence that finance was no more than a millimeter away which persuaded them to invest."
Finance is years away, if this project is even feasible, which I doubt.
DFS, BFS and two pilot plants is the minimum requirement for funding. That's tens of millions and maybe 3-4 years away.
M&G invested in the whim of one person.

[mwj1959] 01/4/2023 13:39

Fund managers get it wrong frequently, particularly in the more speculative areas of the market...and that's speaking from personal experience! That is why I have said all along that PRE and ALK were option money. They still are, but with PRE seemingly further out of the money than it was.

[dumbpunter] 01/4/2023 13:39

Angola can simply retake the mining license and resell it with whatever addition resource definition Pensana produced.

[mhssh] 01/4/2023 11:39

You would think that M&G would have dug deep before investing and been aware of how things could pan out, namely not only running out of cash but with big liabilities i.e. $9m of debt and $200k cash. For my part I over-relied on M&G thinking they were a reliable weathervane, but alas not so. Maybe PA had documentary evidence that finance was no more than a millimeter away which persuaded them to invest. Clearly, it was all a pie in the sky.

[mwj1959] 01/4/2023 11:02

Teetering on the edge here. What M&G and the Angolan SWF do will be key. Neither will be impressed with PA's lack of delivery (and I suspect overpromising to them).

[dumbpunter] 01/4/2023 09:05

"PA a seller of dreams, but never delivering. He'll be feeling the pain too given his exposure, albeit he's been paying himself a healthy wadge in the interim. All along I've said this was option money (in ALK too). That remains the case!"

PA paid himself the bonus for raising the money and starting the build. Nearly a million.

[anthonyspencer1] 31/3/2023 22:47

Mhssh we need this supply chain to work. Someone somewhere with access to the needed cash will feel the same. I've checked behind the sofa but I'm about 249,999,999.99 short.

[mhssh] 31/3/2023 18:56

AnthonyS1 you're a much braver man than me, if the shares rally I will dump 50%. Hindsight is a useless commodity but, with its benefit, M&G should have made their investments conditional on exec salaries cut by minimum 50%, and stand down the majority of the workforce. With their muscle they could have done this.